All Forum Posts by: Eric Tait

No it is not illegal, you just have to follow all of the rules associated with securities law, and disclose to your potential investors what it is that you are doing.  

https://realestateguysradio.com/events/how-to-rais...

A great introduction to syndication, great actionable steps. I have gone to at least 4 of them myself. 

Hey @Kenneeth Strauss, 

Welcome to BP, what is it that you are looking to accomplish these days on the investment front?

It's always price.  If you were to drop the price it will rent. Just think, had you left it at $1200 and rented it immediately you would not have lost essentially two months of rent.  The extra $50 a month will not make up for this loss over the course of the year.  

I personally like to rent homes a bit below the area average as it gives me a choice of tenants ($10-25 below), and you can make it up on a lease renewal if you need to. Just my thoughts on your situation. 

Why do you have to buy the property?

Why not continue making the payments and work something out with the sister as an equity share?

I am assuming you are planning on renting the property to someone?

Did you increase the rent or is it the same as the last time that you rented it?

I'm a huge postlets fan.  

I have heard some investors who take foreign investors have those investors set up their own LLC's with a bank account here in the U.S. so as to not have to bother with the withholding issue.

Of course, check with your legal counsel as I have never done this transaction myself. 

Hey Dave,

It was great to meet you this weekend in Panama, one thing to consider is you would not be subject the UBIT (Unrelated business income tax) using your IRA money to buy parcels with no debt on them. If you were to use IRA money to purchase real estate with recourse debt, then a portion of your returns may be taxable. (check with you CPA of course)

At the very least he will not be a lender, he will be your partner and his money will be treated as equity so that he has ownership of some sort in the property.

As a lender, any income he derives would be interest income and could not be offset by depreciation. So at least begin to think of him as you equity partner.