Signed into law in 2021, SB 9 is designed to address the housing crisis by allowing greater density in residential neighborhoods.

Here is some key information:Property recently hit the market and has 2 cash offers alreadyThe seller provided a pre-inspection report, which I shared with 2 different lenders, both think it may fail conventional financing due to potential structural and electrical issues (realtor thinks it could pass conventional)Seller has 100% equity but is behind on other payments (not sure of the urgency money is needed)This is my first attempt at an “investment” property so I’m new to thisI see 3 optionsMove forward with an offer using conventional loan pre-qualification-Not as attractive of an offer to the seller-Possibility that appraiser calls out structural/electrical issues that need to be fixed before closing, effectively causing financing to fail- Best terms and fewest loan fees for meUse a rehab style loan such as ChoiceRenovation-Even less attractive than a conventional offer to seller, but less risk of failed financing if appraiser calls out issues-Slightly worse fees and interest rates compared to conventional-Lenders tell me possibly up to 60-90 days closing in some cases, with red-tape for contractor requirements and draw schedules (sounds like the most hoops to jump through during rehab)Use a hard money lender-Most attractive loan option I can give to seller so I can compete-Much higher fees and interest rate for me-need to refinance into a conventional at the end of rehab (not familiar with seasoning periods but I think this is a factor as well)Which option would you do?

I’ve seen many investor clients use 1031 exchanges effectively.. just be sure to get specialized tax advice.

There’s normally action items that can be implemented into your management process that are more effective. 

@Wiley Hood DIY cost segregation tools like KBKG can be cost-effective for simple properties, but they lack the precision and audit defense of professional studies.

I believe this question addresses how effective the coach is at helping his mentee achieve their goal and if this is more of a transactional experience or a transformational one. 

The new design takes the home from a 3 bed, 2 bath to a 4 bed, 3 bath, 2,400 sq ft rambler on a large lot in highly desired area.

It sounds like an incredible resource, for $200 having a fully designed materials and fixtures schedule to pair with a labor only GC or a GC that can work well with a prescriptive materials schedule. https://ivoryhome.co/predesigned-packages/Just curious how other people’s experience has been.

Hearings take place in the small claims court which is designed for non-attorney litigants and has relaxed procedures and rules of evidence. 

By recognizing the signs and implementing effective preventative measures, landlords and property managers can protect themselves from potential scams.