All Forum Posts by: Thomas Bullock

I'm looking for a new CPA this year to help utilize tax advantages. I own one multi-family real estate property so there isn't too much required but I would still like to start building a relationship with a solid CPA. My CPA now is fine but I'd like to find someone who is more real estate-oriented and understands the space a bit more. What qualities do you look for in a good real estate CPA? Any recommendations for the Manchester NH area would be fantastic. thank you.

I'm looking for a new CPA this year to help utilize tax advantages. I own one multi-family real estate property so there isn't too much required but I would still like to start building a relationship with a solid CPA. My CPA now is fine but I'd like to find someone who is more real estate-oriented and understands the space a bit more. What qualities do you look for in a good real estate CPA? Any recommendations for the Manchester NH area would be fantastic. thank you.

 

Well i guess the main reason for it is to get approved for more money so i can actually afford these multi families and to pool money for closing costs

Well i guess the main reason for it is to get approved for more money so i can actually afford these multi families and to pool money for closing costs

My friend and I purchased a 3 family home about 2 years ago. We started out by watching bigger pockets youtube videos and dove right in. I see tons of success stories and I’m trying to get myself in that position as well one day.

I can't seem to wrap my head around how to make a "business" out of the real estate avenue I've chosen. I want to buy multi family properties with 30 year fixed rate loans. The issue I'm noticing is that doing this strategy with a partner who isn't a spouse is foreign to most people. Every time i mention my investment strategy to other investors, they don't understand why I'm working with a partner. In addition, loans have been difficult to process while working with a partner. We're both veterans and we're trying to start out by using VA loans and FHA loans to avoid the massive down payments, but there are restrictions with those loans. So now my partner and i are both on the loan but only collecting 50 percent of the income. So now our debt to income is negative which makes purchasing the next property difficult.

So here’s my dilemma… I can’t afford 20 percent down to go conventional and avoid all the owner occupancy restrictions and what not. So the alternative is working with a partner to be able to increase my loan approval, split the risk, and obviously help with management. Seems like a great deal. So how do I make working with a partner a business and become one unit instead of 2 individuals.

This is long winded and I guess I don’t have a clear question. Im looking for any insight or any mentorship in how I can organize this strategy because as it stands, I can’t process how this actually works in terms of scaling.

My friend and I purchased a 3 family home about 2 years ago. We started out by watching bigger pockets youtube videos and dove right in. I see tons of success stories and I’m trying to get myself in that position as well one day.

I can't seem to wrap my head around how to make a "business" out of the real estate avenue I've chosen. I want to buy multi family properties with 30 year fixed rate loans. The issue I'm noticing is that doing this strategy with a partner who isn't a spouse is foreign to most people. Every time i mention my investment strategy to other investors, they don't understand why I'm working with a partner. In addition, loans have been difficult to process while working with a partner. We're both veterans and we're trying to start out by using VA loans and FHA loans to avoid the massive down payments, but there are restrictions with those loans. So now my partner and i are both on the loan but only collecting 50 percent of the income. So now our debt to income is negative which makes purchasing the next property difficult.

So here’s my dilemma… I can’t afford 20 percent down to go conventional and avoid all the owner occupancy restrictions and whatnot. So the alternative is working with a partner to be able to increase my loan approval, split the risk, and obviously help with management. Seems like a great deal. So how do I make working with a partner a business and become one unit instead of 2 individuals?

This is long winded and I guess I don’t have a clear question. Im looking for any insight or any mentorship in how I can organize this strategy because as it stands, I can’t process how this actually works in terms of scaling.

My friend and I purchased a 3 family home about 2 years ago. We started out by watching bigger pockets youtube videos and dove right in. I see tons of success stories and I’m trying to get myself in that position as well one day. 

I can't seem to wrap my head around how to make a "business" out of the real estate avenue I've chosen. I want to buy multi family properties with 30 year fixed rate loans. The issue I'm noticing is that doing this strategy with a partner who isn't a spouse is foreign to most people. Every time i mention my investment strategy to other investors, they don't understand why I'm working with a partner. In addition, loans have been difficult to process while working with a partner. We're both veterans and we're trying to start out by using VA loans and FHA loans to avoid the massive down payments, but there are restrictions with those loans. So now my partner and i are both on the loan but only collecting 50 percent of the income. So now our debt to income is negative which makes purchasing the next property difficult.

So here’s my dilemma… I can’t afford 20 percent down to go conventional and avoid all the owner occupancy restrictions and what not. So the alternative is working with a partner to be able to increase my loan approval, split the risk, and obviously help with management. Seems like a great deal. So how do I make working with a partner a business and become one unit instead of 2 individuals.

This is long winded and I guess I don’t have a clear question. Im looking for any insight or any mentorship in how I can organize this strategy because as it stands, I can’t process how this actually works in terms of scaling.

 Great advice. I'll do some more research on that and start my hunt.

 Ideally id like to go fha or use my va loan but if thats not an option because of the tight restrictions on these loans, then ill surely consider the other types. We do not have enough to cover 20%. I dont see how its possible to scale at any rate faster than a property every 2 years without having a major savings from the start.

 Hi Kerry, thanks for the response.

So you're saying that transferring a title with the lender permission, into an LLC will only change ownership. My partner and I will still show the debts personally?

Hard money generally isn't used for long term investment properties? Why is that the case? Is it still worth looking into or should that route be avoided altogether for my current situation?

DSCR mortgage can only be used with LLCs?

The last option you mentioned sounds very interesting but also difficult to pull off.

Thank you for your response!