All Forum Posts by: Shawn H.

What kind of terms and rates can I expect for a cash out refi of a rental held under an LLC? My local bank is telling me 6% 5 year balloon. Excellent credit. Thanks

Eight unit listed for sale by broker. Looking at the county tax site shows 2017 taxes were sold. Owner lives a couple hundred miles away. Does the taxes being sold cause any issues? Who resolves this? The current owner? Or at closing? Or other? Thanks

I'm considering getting a line of credit, on a rental property, to use for the purchase of future rentals. I would plan on using the cash flow, from all rentals, to pay off the line in 2-5 years, then repeat. I've found a lender that will setup the LOC. What should I be looking for as far as terms of the line? Has anyone used this strategy? If so, pros/cons? I feel I will be quicker at making offers, and realizing I will pay higher interest rates, but save on closing costs. Thanks

He should have insurance on his truck. Your insurance is to cover your property and personal liability. If a limb, from a neighbors tree, breaks off during a storm and damages your house, your home policy should cover it.

@Dave Toelkes The only reason I got the EIN was so I could setup a separate business account.

@Steven Hamilton II Thanks for your honest advice, I've been reading through some of your other posts. I already decided to not take the election, but it's good to be verified by someone credible, thanks again. I will look into your suggestions.

Also, can I change the tax election, at a later date, if I chose to?

Apparently I misunderstood some of the terminology in the discussion with my CPA this morning. He got back with me and agreed, I can do nothing and remain a disregarded entity, or elect to be treated as an S corp. He said he prefers to make the election and separate from personal tax return and file 1120s, to keep personal activity separate and avoid co-mingling. So does the SMLLC, as a disregarded entity, not limit liability, even if there is no co-mingling?

Thanks, I did research before I created the LLC, but made me question myself.

I created a Single member LLC at the end of last year. I called my CPA to ask about any consequences transferring from husband/wife to SMLLC (myself as the sole member). He mentioned that I would have to choose partnership or S corp? I told him it is single member and I selected disregarded entity when applying for EIN. He said I still had to choose partnership or s Corp within a certain amount of time after creating the LLC. Am I missing something?