All Forum Posts by: Terry McPherson

I'm a relatively small new investor with 4 properties and currently selling my first flip in Ky. The buyers or their title company or mortgage company is asking for the operating agreement for my LLC. Is that a standard practice? Just seemed strange to request that.

Thank you,

Terry

Got it, in the future we may do a 1031 on one of our rentals if we need to.  

Thank you

Gentlemen, 

Awesome info.  Yes my intent is to flip so will not do the 1031.   Again, we are new to flips, I focused in on the numbers and not on the admin side. Lesson learned.  

Thank you guys! 

We are currently in the middle of our first flip. Purchase price 68K and will invest about 30K for rehab and the ARV will be around 140-150K (3Bed 1.5 bath). I took a mortgage out on a paid for rental property to finance. Everything is going well and it does look like we will go a little over budget. "shocker".

I have two questions.

1. If we go to 110K total invested should we take out a mortgage on the property we are flipping, prior to filing a 1031?

2. Does anyone partner with a solid contractor for percentage of the profit? If so, whats a fair percent?

Since this is our first flip, we were doing most of the work ourselves to learn as much as possible and save cash.  We know quality contractors and going to hire them to help complete this project to decrease holding cost.   

We are relatively new in this business.

Terry

John, 

Thank you,

Getting ready to purchase a property that has a lien "assigned as unassigned" from the lender.  Never run into this before.  Basically, Citi bank sold the lien to Uni Mortgage but no one has a record of who it belongs to.  The lien is 4K, the amount is not a deal breaker on the purchase but the legal semantics could be.  The lawyer says he is comfortable that we will get the release on the lien??  Anyone have any advice on this?  

Thank you, 

Terry