All Forum Posts by: Steve Perkins

I'm not sure why you would want to use 401k money to pay off debt on your investment properties. However, assuming there is a reason to do this, the only thing I would recommend (and I use that term loosely) is taking a loan from the 401k (not distributions) if your plan allows it.  You will still have to pay it back, and I'm betting the interest rate will be higher than the interest rate you're currently paying.

Depending on your plan rules, there may be additional cons for borrowing from a 401k.  For example, my plan allows you to borrow a maximum of $50,000.  That's not a lot in the grand scheme of my investing plans.  Some plans will not let you contribute to a plan while you have an outstanding loan.  That's HUGE, in my book, because you're foregoing the ability to continue your pre-tax contributions.

Bottom line: learn your plan rules.  My personal advice is to not touch a 401k unless you absolutely must.

Not sure exactly what you're asking, but I would recommend you use hard money for shorter term projects and only when you're confident your investment return will cover the cost of the loan and still get you a profit. Flips are the most common way to use hard money, but I could see it as something to use in the short term for a BRRR. Just make sure you have the refinance portion available and ready.

@Steven Tawresey:

Echoing @Travis Sperr, don't confuse liability for loan repayment with general liability.

While you may be required to personally repay the loan, You shouldn't be on the hook personally for something like a slip and fall, which could only be satisfied by assets in the LLC, assuming there's no other way to piece the corporate veil.

John:

My advice would be to get out of this now.  Do NOT continue to trust this guy to do anything.  His track record says it all.  Is it possible that thieves stole $4K of wiring twice and your HVAC and your water heater?  Sure.  MAYBE all this is just a perfect storm of unfortunate circumstances.  But I doubt it.  Even if all of what he has told you is true, you need to proceed under the assumption this guy is stealing from you.  You aren't there.  You can't verify anything.  Get out now.

I wouldn't be insulted.  I'd offer what I'm willing to pay, and if the seller thinks it's low-ball, that's his/her prerogative.  What I WOULD assume is that this seller probably has an inflated idea of what his/her property is really worth, and is most likely looking to take advantage of the seller's market here right now.

Given that this has been on the market for 66 days in THIS market, (s)he's probably asking too much, but who knows?  If (s)he's patient enough someone will bite.

Sorry for the double post.  Seems the iPhone app does that occasionally.  

Title says it all. Do you put your Property Manager on the policy as an additionally-named insured?

Title says it all. Do you put your Property Manager on the policy as an additionally-named insured?

Congratulations, Brie Schmidt . That is SO cool. I'm simply amazed at how you've been able to do this.

Blake McBee It SOUNDS like this is merely a brokerage account. If so, you would pay capital gains on the distribution when you sell the fund. Good news is that if this has been funded since you were a kid, it seems likely you'd pay mostly (if not solely) long term capital gains, depending on how long the current fund has been held. I'm not aware of any way to transfer in-kind from a non-IRA brokerage to an IRA account. That said, I'm not a financial planner and I have no idea if there is some other way to defer taxes on this account. It might be a good idea to find someone in the industry to provide some guidance.