All Forum Posts by: Vincent C.

I am trying to purchase a property from my uncle without going throw escrow or title company. It would just be a private sale. I am okay keeping it simple, as the tenant is current on payments, and there are no outstanding bills, and property taxes are paid. Mid-lease inspection has been done by the property management company. I actually was going to purchase the property from a wholesaler last year, but ended up letting him purchase it, so it had already gone through title. He has decided he did not want to be a rental landlord and is okay selling it to me for a good price. 

Does anyone have any blank purchase contracts this type of transaction?

Also, would a purchaser's affidavit + special warranty deed be sufficient? Anyone have any blank documents of these?

Anything I'm missing? 

My thoughts are, we sign the purchase contract, get a purchaser's affidavit and special warranty deed notarized, and then I can record with the local county. 

So my dad is getting married again. He has a pre-existing property before the marriage, and planning to do a transfer on death (TOD) deed to put the property in my name as the beneficiary. 

However, would the new marriage automatically VOID the TOD deed, and/or turn the pre-existing property into community property or joint ownership between my dad and his new wife?

What is the best method? We live in California.

What's more beneficial? I assume repairs since you can deduct the full cost immediately. Situation was I had to evict the tenants first, and then do the recommended contracting work from my property management company to make it rent-ready. 

@Richard Sherman I get what you're saying, but considering both of our names will be on the original purchase, she would just be taking her name off the deed after, leaving my name on.

We did it before 4 years ago when she was a co-signer on a loan with me, but I forgot the exact step (my realtor helped us). 

If I recall, it involved a grant deed and her notarizing, but I don't recall what the exact type of deed it was. Maybe it could be a simple quitclaim deed to notarize and send to the county recorder?

@Ned Carey Thanks for the reply.

I agree with you on adding the cost and complexity, which may be unnecessary hassle and expense. I already do have high homeowner's insurance coverage, and am planning to add liability insurance when I get another property. 

What is the difference between having a sole proprietorship vs having properties in my own name? Are they pretty much the same thing if I do not plan on having any employees? Or would I need the sole proprietorship in order to have a business bank account + credit card (which would be beneficial to separate personal expenses from real estate expenses)

I'm wondering if there's a quick guide somewhere to see what things are part of the cost-basis vs repairs vs home improvements that need to be capitalized and depreciated.

Does anyone have a template or a spreadsheet to track these things + depreciation?

I purchased a rental duplex in PA, and am having some contracting work done to make the units rent ready + improvements such as installing a house meter for electricity. The property management company just lists the entire cost of the rent-ready work as repairs, but some are repairs and some are home improvements.

How would you go about it?

I'm a California resident but own a rental property in PA, and looking to get another one in PA or out-of-state. 

Are there any major differences in doing a sole proprietorship vs an LLC; are there major advantages using one over the other?

Also, for an LLC, would I have to file one in California but also in the state of the rental property?

I am also wondering how many required tax filings need to be done a year. If there is too much paperwork, it may not be the best choice to incorporate.

What do you guys recommend?

My mother is going to help me buy a property in state of PA. It will be a cash purchase, with the intent of transferring her ownership to me after closing. What is the easiest way to get this done?

My thoughts were to have both of our names for the purchase of the property - but what is the step/process for her granting her ownership/removing her name from the title/deed after the sale, without needing to pay any extra fees other than for recording the new deed.

@Jason Hirko @Melissa Gittens So the earnest money deposit was given to the title company, and nowhere in the contract did it say non-refundable. 

It does clearly say in the assignment contract that the assignee (me) may cancel the contract if title is not deliverable by closing date (which is true).

I had already emailed the title company today and they said they would be mailing out a check for the earnest money. So far so good... 

I had written by termination of the contract via email to title company. They didn't have me sign anything else..

The blue dye test was something that was required to be signed off by the local water and sewage company.

I emailed the title company and they said they would mail a check to me. I never had to sign any contract release for the earnest money deposit or even to cancel the contract. I was working with a wholesaler. 

The contract did clearly state that if the title was not deliverable by the closing date, that I could cancel the contract (which is what happened).