All Forum Posts by: Richard Wormwood

I am assuming you are a realtor. Otherwise listing it on the MLS is going to cost to 3-6% on your income on both ends.

Zillow and Trulia work perfectly fine and cost nothing if you wish to easily market your deal.

Get an assignable Purchase & Sale signed...

Open title...

Then market...

As a wholesaler, I can tell you the only money you NEED is marketing liquidity and VERY few lenders are going to give you money for overhead. Unless of course, you've been in business for a while, have an established track record and can convince a lender to give you a Small Business Loan.

Why was their food left out with no one home?

Yeah, you can change the ringtone within the GVoice app

Menu > Settings > Account > Notifications > Incoming Calls > Select Ringtone

If that doesn't work, you'll need to download the HANGOUTS app and follow the same steps.

@Kuba F. That was actually the problem on my first deal. The comps were all over the place since the area had seen a number of investors recently. One house in particular completely skewed my numbers by over 20% and nearly cost me the deal.

Having a seasoned agent to pull comps or to help you pull comps is the key to getting a confident ARV but just expect to get it wrong occasionally. Even investors that have done 100's of deals will blow their comps from time to time.

Photos and a copy of the estimate would help tremendously.

Another option is to find a chunk of vacant commercial property that borders residential/agricultural then get friendly with the local council and zoning. You'll then go through the motions to rezone it and if you know they will; buy the land and zone/sublet it for a mobile home park.

My personal rule of thumb that has been verified by other investors is a 10% contingency.

Not to mention, most short sales come with a minimum 3-month hold and sometimes even longer.

If you don't mind, posting your numbers could better help the people here to verify the deal for you.

@Linda Weygant is correct from all information I have been able to glean from Lawyers, CPAs and reading through a tedious amount of law.

Keep in mind, I'm not a lawyer and do not reside in your state but as long as each LLC is completely separate (organization, accounts, accounting, etc.) there is no way California can stake claims on a California LLC operating as a foreign entity. They simply don't have the jurisdiction.

But these are fully formed LLCs/Corps in each state that are owned by your corp. Not your corp operating as a foreign entity.

As of right now, it will be filed as a 1099 income. You local CPA will better help you with the tax issues and amounts owed.

If you plan to do this more than once or twice a year and especially if wholesaling will push you into another tax bracket. It's a very good idea to form an LLC or S-Corp to mitigate and minimize your tax burden.

As an LLC, you'll need to file IRS Form 8832 and Form 1120S in order to get the S-Corp election and be taxed as a pass-through entity. Otherwise you can be double taxed.