Hi,I was just wondering how many investors use Pre-Paid Legal Services in their REI businesses.

I'm trying to work a deal for a 4-plex in which I take a little bit of cash back at closing, or at least have financing cover all closing costs and prepaids.

Tax Benefits: There are several to include but not limited to:- Mortgage Interest Paid- Property Tax Deduction- Prepaid interest paid at settlement (for the tax year after purchase)- The cost of discount points (same as above)- Certain selling expenses (when you sell the property)- Any seller concessions (same as above)- Capital gains deferment (1031)- Proceeds from cash out refinance in some cases are tax freeI suggest that you speak to a CPA before you decide to purchase your first home and/or investment property...c.

I doesn't matter if you make your money bird dogging, making toothpicks, contracting, or selling Prepaid Legal.

Sell to pay ---% of purchase price for buyers prepaids, points, and nonrecurring closing costs.

Prepaid items that you cough up at closing, like taxes in some places, do not count.

(I have a pre-paid legal plan so that would not have cost me much but it would have taken some more time.)

Any payments on the balance remaining from the original loanmust be included in the DTI ratio calculation for the refi transaction. o Funds received as gifts and used to purchase the property may not bereimbursed with proceeds of the new mortgage loan The new loan amount can be no more than the actual documented amount of theborrower’s initial investment in purchasing the property plus the financing of closingcosts, prepaid fees, and point on the new mortgage loan.

If you are seeking to keep your legal fees to a minimum, I suggest you research the various pre-paid legal services plans available.

Try to get something in writing from her that says she is voluntarily releasing possession and returning possession to you, with any pre-paid rents remaining with the landlord as consideration for early lease termination.