All Forum Posts by: Ron P.

Yes, you have to be state specific.  Every state has its own licensing agency, however, I've heard that once you have a CA license there are reciprocity agreements with several other states wherein you can with reduced procedures get a license in that state.

Licensing and MLS access are two distinct issues, for the most part. You can have 90% MLS access through the likes of Zillow, Redfin, etc without being licensed....that get's you pretty much Nationwide.

MLS's have traditionally been very disparate geographically, competitively, economically and in any other adjective you can think of, they are, SLOWLY, coalescing in may areas. I can for example using my local MLS get everything from Los Angels to San Diego.

MLS's in general are and remain very local, kind of like the internet must have been in its first few days of existence. You can think of it as the Federal, State and Local governments relinquishing control to the people rather than keeping it to themselves...it ain't going to happen anytime soon.

pro: most hard money lenders will only lend to an entity.

 Maybe you can, but I couldn't afford to spend oodles of time on a file only to have the borrower go somewhere else.  Shop around to your hearts delight, the rate and terms are the same regardless of where you go.  You are a perfect candidate for what I call the biggest liar wins mortgage brokerage business.  I've seen it happen, borrower shops around, finds the lowest rate, borrower submits all paperwork, waits weeks if not months then is told interest rates went up and the rate will be higher than originally quoted, you're burnt out and running out of money, so you suck it up close the loan AT THE RATE IT WOULD HAVE BEEN HAD THE BROKER NOT LIED IN THE BEGINNING.  You can always go to a commercial, portfolio or hard money lender and get the rate quoted but it's going to be much higher as soon as you step out of the Fannie/Freddie domain.

No offence Max, I feel the same way as you when I'm on the borrowing end of things, even if I know the reality of the business.

I was a mortgage broker for a short while.  Many times after spending hours and hours reviewing borrower documents, searching for the best rates and terms, etc, I would find out the borrower was at the same time working with another broker trying to get a better rate.  My allergy to starvation soon kicked-in so in order to eat I had to either a) lie and say I could deliver lower rates and terms than I really could then switch to the true rate and terms at the end after borrower was locked in, or b) only work with borrowers with quick and simple loan scenario's that I felt were only working with me.  I didn't feel comfortable with option a), so if I thought the borrower was working with somebody else, or, it was a complicated file, I would move on to the next file, much like real estate investors do when looking for a deal. It's just too dicey working complicated files.

Take a look at this link: http://www.irs.gov/Businesses/Small-Businesses-&-S...

Seems to be saying you can file schedule C, E or F, whatever is appropriate. And if owned by husband and wife in a community property state the LLC can be considered a disregarded entity.

I voluntarily cut 20% last year, now I have to do another 25% ... makes me wish I didn't conserve last year.

If there is no money involved have dad grant deed to sis the property, go to your local recorders office and record ... done.  If there is money involved and sis doesn't trust dad, or sis wants a title policy, go to your local escrow office and have them draw escrow instructions (no contracts) and close.  This is a principal-to-principal transaction, what is all this car form stuff, why do you think you have to be involved at all?  I know CA likes to put their butt between private parties but I don't think it has (yet) gotten to the point  you suggest.

Tell them to chance the sign on the 4% when doing the calculation and it will be correct.  They accidentally input a -4 when they should have input a +4 into the calculator.  Try it, you'll see. The monthly pmt should be $2,625.78.

S-Corp or LLC taxed as an S-Corp avoids the 3 1/3%, and you don't have the gross receipts tax. Confirm with your tax guy.

Do like the mayor of Lancaster CA did, out of his own pocket.  Offer them a one way bus ticket to anywhere they want to go plus a little cash...problem solved.