All Forum Posts by: Account Closed

If the tree was living then it is your insurance company's responsibility. In most states, this will be paid under your comprehensive coverage.

If the tree was dead or diseased AND the landlord knew it then you may have a claim against the landlord.

Either way, if you contact your insurance company and their is a possible claim against the landlord or other insurance company they will usually handle it all for you.

Depreciation is a phantom deduction, it does not reduce your cash flow.

Abby, have you retained counsel familiar with the SEC and all state regs? Did they review the offering you posted in this thread?

I'm not trying to be negative and investment pools like this are a great idea. But, this type of public advertising for investors/partners is frowned upon by the SEC and most states without the proper registrations having happened beforehand.

They frown upon links to articles here and I do not spam so if you want, send me a PM and will give you the link to an article discussing how to stay legal when seeking investors/partners.

I find it increasingly amazing that so many do not understand the way things worked just a year ago is ancient history.

If you are buying REO and have the ability to perform, meaning ready access to the funds, you are in the drivers' seat. The lenders will jerk you around as much as you let them.

The odds are in your favor as an investor. The lenders have potentially MILLIONS of these things on their books for sale. They want to believe they are in control but the fact is the buyer is always in control of the purchase transaction.

Sure, banks don't want to waste their time with newbies but there is a difference between being vetted and being manipulated.

The best way to buy REOs is to make offers that make sense to you as an investor. That means at a deep discount and at a price point where your profit is assured for your business model.

It does not matter what the bank "wants" as a seller, only what they "get". They are sitting on assets with declining book value. They are the ones with all of the real and perceived pressure in this market.

Ten years from now, things might be different. But, right now, today, the lenders are in the weakest bargaining position in any REO transaction, they just hope you don't realize that.

I started buying rentals in 1984 just out of college and in a new job. It was not by accident, I am a second generation investor. It was a SFA wrap near Lake Washington. Total out of pocket including repairs was $2500 before renting it out.

We are so flexible on how the tenant can demonstrate the validity of the service animal designation I am very comfortable we would have no problems in court. Even more importantly, our attorney feels the same.

The 50% rule of thumb to estimate the likelihood of profitable cash flow has absolutely NOTHING to do with accounting entries.

Depreciation is deductible but is NOT part of operating expenses for the purposes of the 50% rule of thumb.

I am sure you will get lots and lots of suggestions and advice about this.

But, please remember one thing, you will never know if your asset protection strategy is solid or effective until it is actually tested. If/when that happens it is too late to make any adjustments.

Therefore, I strongly encourage you to seek the advice of an attorney who specializes in asset protection for real estate investors. He will have additional things that protect you like a license and a paid up malpractice insurance policy in case he guides you in a faulty direction.