All Forum Posts by: Tyler Gibson

@Jeremy Williams If you can find a way to hold off on renting and buy with FHA then I would definitely got that route. The question I have is if you have had changes in employment recently it might hamper your ability to get approved for a loan. Have to talked with a lender about your credit worthiness? If you have family that will take you in for a specified period of time so that you can position yourself to buy then go that route but figure out if you can get a FHA loan first or at least know what you will need to do to position yourself to purchase in a year or 2. Stable employment history can and will impact a banks willingness to loan to you.

@Redha Laafia I invest with my father. He is the money guy but he has some knowledge. I am boots on the ground and the time and energy contribution. I have some skin in the game financially but it is fractional at best. We put things in writing as I suggest you do, simply so that when and if there is ever question on what was agreed to you can both look back at what is in writing. As to how to actually structure the deal. What we agreed to is that I would be a 25% owner and he would retain 75% this applies to both equity and cash flow. However since we were looking at BRRRR what we agreed to is that I am able to refinance the property and pull out all initial capital then we would move to 50/50 split for that property. Again this was a conversation we had many times. It was a negotiation back and forth. I put forth what I thought was fair he countered until we came to an agreement. If you and your father have talked about doing something then start asking him what he thinks would be fair. Remember that in any partnership you want it to be positioned so that all parties feel like it is a win.

@Dave Ba I would be happy to help you get familiar with the area and answer any questions you might have just send me a message. 

@Kevin Luttrell 8% vacancy seems high to me but I don't know that market. Also aren't the Rams building their new stadium right there in Inglewood? Numbers don't lie if the numbers are right then yeah this is not a great deal. Also how did you figure 900k ARV that seems high. If you see comps that support it then you would be fine but make sure you could get a bank to loan at that value or you will end up with cash in the deal and no cash flow.

@James H Webb III Agents serve a few purposes but mostly they are in place to protect you. If you were buying form someone that had an agent then I would say get an agent. If you trust the person you are doing business with then just figure out the pieces. The title company should be able to help you with most of the steps to get to closing and the bank will will with the financing. An agent coordinates between all those people in transactions. 

@James H Webb III so am I understanding that you are going to buy the property from your friend? I assume you both don't want to get an agent involved so that you all don't pay commissions. If this is the case you will need to talk to your lender to figure out what they will need to close. Both of you need to sign a purchase agreement contract and then find a title company to perform the closing. There will be fees but no commission. 

@YiBing T. I don't see this working out the way you are thinking. Mortgages typically have legal language that state if the title is transferred the entire balance of the loan is due(due on sale clause). This means that transferring them to your name would cause this action. I would think it would be easier for you to outright purchase them from your parents that way you are qualifying for the loan. However when you try and put them in the LLC it could trigger the due on sale clause. Have you asked the lender about you being a co-borrower on the loans to try and refinance?

@Cindy Dunn I have seen airtable as an option. 

@Andre Jernigan Yes I met with my mentor and the broker before I even started taking classes. However I had those meeting because I wanted to know more about the business and I didn't want to invest the time and money of getting the license without having a plan on how I would get started. To be fair my mentor is actually my personal realtor that I had used to purchase 3 homes and sell one so I already had a relationship with her. She saw the hustle I had in my personal life and in the corporate world so when I asked if she would mentor me or if she thought I had what it would take she said yes and yes then hooked me up with her broker. 

@YiBing T. I worked in the world of county records and recording for many years and I can tell you that you would at least have to pay recording fees for the quit claim deed (which would transfer title) but taxes are depended on the consideration which you could list for $0-$10 depending on the rules of your county recorder. But I have other questions. Do these properties currently have mortgages? If yes then transferring title could trigger a due on sale clause depending on the loan fine print. what is the ultimate goal? so far it sounds like too many moving parts to be effective. Transfer, refinance, transfer again to accomplish what? A little more detail about the current state of things and what the end goal is would help people answer you question better.