Ross Kane
LLC piercing corporate veil
21 October 2024 | 13 replies
:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.
Dan Fritschen
Bringing in tic partner
21 October 2024 | 5 replies
Some things to consider with the above suggestions of creating an LLC and contributing the property + $100,000.The basis the partnership has in the property is transferred from Person A.If person A's basis in the property is $100,000 but the value is now $200,000.The depreciation would be based on the $100,000 instead of $200,000 which may 'upset' partner B.Furthermore, you have to properly structure it so the IRS does not see it as a 'disguised sale'.A disuised sale can potentially occur when Partner B contributes $100,000 into the partnership and it is immediately transferred to Partner A.best of luck
Timothy Galligan
Section 8 Emerging Markets BRRRR
20 October 2024 | 12 replies
@Mark Ainley and his team are great here.Hey @Timothy Galligan - I have several properties here in Chicago that are on section 8 and I can by far tell you the most important is having the right property manager who can vet tenants properly and knows the in's and out's of all the different programs.If you are interested in Chicago happy to make some connections for you!
Amanda G.
Determining a Neighborhood's Class
23 October 2024 | 15 replies
If you are in the 20% range, you are better off going to the casino and putting all of your money on black and seeing what happnes.Since you are out of the area properly calculating cash on cash returns can be difficult because you have variable expenses to calculate.
Jason Frink
Turnkey properties investing for my family.
21 October 2024 | 28 replies
Quote from @V.G Jason: The excuses people make to invest at the most casual level is appalling.I'm not going to sit here and compare lives, but trust me folks with 20x the amount of stuff on their plate can go out there and invest properly in RE by doing their diligence.
Dakota Thompson
velocity banking explanation
20 October 2024 | 3 replies
@John MasonNot a fan of velocity banking as proper will charge $ o make it but typically it’s better to invest this money- here is what makes me laugh in this articleIf you do velocity banking you pay it off in 76 months - if not you pay it off in 77 monthsIs all that work of trying to write checks from a HELOC vs auto debit your bills worth one month of mortgage payment over 6 years?
Larry Caper
Structure for Raising Capital without Broker-Dealer
23 October 2024 | 18 replies
However, I want to ensure I'm properly structuring deals, receiving legal and fair compensation.
Lance Turner
LTR with an STR ADU
23 October 2024 | 28 replies
I've seen modern $5,000 couches for less than $1,000, but then coordinating pick up and doing the task was a mission in itself.
Jaryn Pierson
StR / STR CoHost / Prop Management Focus Group
17 October 2024 | 6 replies
Although we are in different states, I’d love to be apart of the group and help coordinate and connect with other investors in the same investing strategy as myself.
Kenneth P Ford
Property Manager Review
14 October 2024 | 9 replies
Take ownership of your mistake and learn to do the proper due diligence recommended above😊