All Forum Posts by: Tanner Lewis

It depends on the market, but in Austin, having a washer and dryer either in unit or in the complex is pretty market standard. I think you would have better marketability by adding this instead of the washer/dryer hookup

Hey Brittney - no need to wait 6 months for an LLC. Most hard money loans are personally guaranteed, which means you will take the loan out in your LLC, buy you will qualify with your personal credit.

I would have both parties involved, especially if it is a complicated nesting structure. 

Hey Eric - I would do this as 1) gift funds and you are the sole owner or 2) make an LLC with the two of you and put them as a 24% owner so they will not have to sign onto the loan. Pretty easy to do either!

Hey Horacio, if you are shopping terms, most DSCR lenders will not pull credit until you submit a full application. Any quotes will not require a credit pull.

Since you have an ITIN number and are borrowing with your son, you will probably have to be a minority owner in an LLC to make the deal work. I would bring this up as the first item to lenders to see if they can do your loan. Most lenders will have requirements against foreign nationals.

For bullet point #1 I would do each rental property LLC the same as the state in which the property is located. There is no need to double nest with Wyoming LLCs; same-state LLCs sometimes offer more protections. You are already off the articles of incorporation since the Wyoming LLC is established first through a registered agent service. (side note: you can still tell that you bought the property in your own name and did a deed of transfer to an LLC when you look at the chain of title.

For question #2, I advise against an S corp since there are higher fees. The break-even would be about $50k in cash flow/year (at least in Texas). 

For questions #3 and #4, you need to have a reasonable and ordinary expense for doing this, and you would likely need to track usage. 

I am not a tax/legal expert, but as an underwriter on DSCR deals, I have seen many entity structures.

Happy to connect! I have funded a few deals outside the Columbus area. Also: who else has heard of the big tech installation? I think its Meta, Nvidia, and Google and maybe a few others. 

I suggest working with a STR-friendly realtor! I use https://www.getchalet.com/ for this. 

Since you are looking to rent it out for more than half the year, you may be better off with a DSCR loan that does not require that the property be available for personal use for more than half the year. It would be 20% down, but you would not be in violation of the loan docs. See below for the Freddie Mac second home loan requirements:

https://guide.freddiemac.com/app/guide/section/4201.15

Hey Antonio - I have a couple of GCs in the Austin market that I refer over to investors. Just shoot me a DM!