All Forum Posts by: Damien Shoemake

@Ray Hackney you can use your free & clear properties to obtain a commercial line of credit vs going the traditional mortgage route. Expect to pay a few points in origination and you will have a closing as well. Then you can access your cash as needed. A local "small town" bank or credit union is a good place to start.  

I would be interested in seeing any deals you have under contract now. We are cash buyers and need to close on a few more before year end. Please email me, my contact info is on my profile. Thanks!

Hi @Juliette V. it's been a while! Did you ever find that investment property you were looking for out here? 

In terms of a good country location to invest in with the best future appreciation here in Mid TN, I would go for anything in Williamson Co. Think Nolensville, Arrington, College Grove, Thompsons Station, Fairview or even Franklin if something under $200k exists there! 

Good luck!

@Jim Adams  

Or20 = 20 units per acre so 0.17 acres allows for 3 units. You may have to file an appeal to the zoning board for a 4th unit. Question: Is the dirt worth $100K? 

Bob Notestine - Belle Meade Title

@Dana Bible  You should have some active MF prospects up in Sumner Co or down here in Dav Co out in Madison. You may want to talk to Prime Lending in H'Ville about your 203K idea. I'm about 99% sure it's only for Rehab's/Reno's of existing homes, not for "New" Construction. Sounds like you may need a Const-Perm Loan. I have a broker who specializes in those out in Williamson Co if you need it.

@Seth Mosley  I'll email you my 2 local contacts, 1 is an in-house Portfolio lender and 1 is a Comm Lender.

The "First in Time, First in Right Rule" I'm sure applies to this Criminal Restitution Lien as well, so just like an IRS Tax Lien, it makes sense that they should also have to get in line. And I know the IRS's Redemption Period is 120 days but what I was unclear about was did this kind of lien have any special redemption periods or did it simply follow the same set of rules outlined in the IRS's site here about Fed Tax Liens: Section 5. Redemptions

In researching some up-coming auctions, I came across a house with a lien entitled: 

“Notice of Lien for Fine and/or Restitution Pursuant to the Anti-Terrorism and Effective Death Penalty Act of 1996”

Here's a link to the Code: Title 18, US Code, Sec 3613(c)

This lien is fairly recent but the senior lien is the one foreclosing. And in researching this type of lien, it appears that it stays for 20 years… so the question is, does foreclosure wipe out this type of lien or does it have a redemption period like an IRS Fed Tax Lien or does it have some kind of special treatment?

The Restitution Lien posted is far greater than the value of the home, but I’m just curious about the process as this deal may be worth it if this lien can be wiped!

@Juliette V.: @Jon Hopper has it correct, we have no state income tax here, although you being a resident of CA, you may very well have some tax liability on rental income from your out-of-state holdings when you file your own return, but you should double check with an accountant in your home state on that one... but as for TN, you're clear here. Now if you were operating a short term "vacation rental" you may have business taxes to file and of course all hotel/motel operators must collect and pay Sales & Occ Taxes + County Taxes and here in Dav Co, a Privilege Tax (for the new Convention Center).

@Scott Isley For Multi-Family Units, area # 2 seems to be the best in my view, in terms of appreciation and livability: That's mainly West Nashville with 37205, 37215, parts of 37209 plus 37212, 37204 & 37203... And then you have area # 6 which is mainly East Nash with 37206, 37216 and certain parts of 37207.

As far as buying actual apartment buildings, depending on how big & how many units you are referring to, you'd be hard pressed to find a good, full complex for sale, rather maybe look into multiple units for sale in an already existing complex.

After being in the Hotel business for awhile, I know that there are a lot more day-to-day maintenance and liability issues, management costs and other misc factors in running a big complex that could add alot more expense to your overall budget, slowly eating away at your bottom line… You may have to think about and budget for the following: pool, dumpsters, common grounds, insurance, exterior lighting, signage, landscaping, security, employees, etc... Your lender may also require a certain % of CapEx in reserves for the building plus each unit and then you may also need to think about FF&E (Furn, Fixtures & Equip)

It may be less of a hassle to own several units in 1 complex and just pay the building fund and/or HOA fee and let the owners deal with the rest of the complex. And your insurance will be much cheaper as well, you will typically only need to cover from drywall in. The HOA's should cover things like roof, grounds, exterior insurance, termite, water, pool, etc…

The Pro of owning the whole building would be the upside in appreciation down the road if bought in the right area. The Con is that you might not be able to sell it as quickly as you could your units piecemeal. Just some points for you to think about.