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Results (10,000+)
Tony Castronovo Private Investor
13 August 2016 | 5 replies
@Tony Castronovo generally a private investor gets 1st lien on property (mortgage deed or deed of trust) a promissory note signed by borrower in which private investor states terms such as rate, term length ex. 12 mths possibly with option to renew, prepay or no prepay, points. and add private investor to insurance policy listed as "loss payee", along with a personal guarantee from borrower and have all docs recorded.Funds from private lender go into escrow at title company or placed with an attorney, closing docs with mortgage deed or deed of trust and promissory filed at courthouse signed and notarized.Private investor gets original promissory note and copy of mortgage deed or deed of trust and you get a lien for purchase price and rehab.Sell or refi after project complete, pay back private lender and keep what's left.Let me add there is no right or wrong way to do this as I have heard of many different arrangements but hopefully this gives you a general overview of the process.All the best!
Wendy Hutchins Purpose driven to change lives
16 August 2016 | 7 replies
Sorry for your loss, but I applaud what you doing from it.
Matt F. tax advantage question
16 August 2016 | 4 replies
i understand about using all the expenses to help offset the income generated by the property, then with depreciation, you may end up in a "paper loss" position for the year....which depending on your W2 income, may be deductible.  
Sharon Anschultz How do you get rental properties outside of your area...
26 August 2016 | 28 replies
When you do close on a improved property get an insurance policy that will protect you if there is a loss.  
Jon Loca Tax Question in regards to property Improvements
27 January 2016 | 5 replies
Short answer: you probably have to claim it in 2015, but you can carry forward the net operating loss to apply against subsequent years. 
Jaimie Chen Tenant build a ramp in backyard
28 March 2016 | 16 replies
He wrote up a a simple release of liability clause that everyone (or their parents) had to sign, stating that the activity (be it BMX, Freestyle, etc. were inherently dangerous and could lead to injury or loss of life, and released us from all liability) Also, make sure they are responsible for all upkeep, maintenance on bikes, ramps, etc. and removal of ramp.
Paul Miller Bank Owned Pee House
31 March 2016 | 6 replies
If there is not only one closet that is the problem area, you will likely have to remove all of the flooring and subflooring, and that's a tough pill to swallow if you have nice hardwood.  
Mark Risley Residential Marijuana Financing
27 August 2017 | 13 replies
the rent could be equal to the sum of the principal/interest/taxes/insurance/etc. that way it would be a break even venture with no loss or gains. if they ever get tired of living there just move and the business could rent it to someone else and actually make additional profit.
Corbin E. High sales price or too conservative of assumptions? (4 plexes)
29 August 2017 | 4 replies
General assumptions I am making thus far include (assume duplex on deal below though per unit figures provided to generalize how I'm analyzing anything in the 2-4 unit range):Financing:-3.5% - 10% downpayment (depending on total capitalization), 4.65% interest rate o/ 30 year term-1.75% upfront PMI required, with 0.8%/year amortized into loan payments for ongoing PMI-3% plug for closing costs-2% of loan amount for financing fees-8% vacancy/collection loss-$450/unit/year insurance-7.5% Mgmt Fee on gross potential income-$500/unit/year for R&M-$300/unit/year for capital reserves-All utilities pass through to tenant-$30/month for landscaping-$40/month for pest controlAs mentioned, my cash flow after debt service on nearly all deals I look at (after adjusting the brokers' 20% expense ratio up to the 40-45% I am comfortable with) turns out negative or nearly $0/month, making me question whether the selling prices are absurdly high right now, whether my assumptions are far too conservative, or whether levering a deal to 90-96.5% (utilizing FHA 3.5% or anything up to 10% down) prevents anything from working due to the high monthly cost of financing which includes PMI.
Dee Bowers Better to short term (AirBnB) or long term rent in Scottsdale?
8 December 2017 | 3 replies
If you were going to do it for longer than the furnishing cost may not be so bad, but to spend 5-10K furnishing a place for just a few months may be a hard pill to swallow.You also need to determine if the HOA will allow short term rentals, some are enforcing a 30 day minimum.Lastly, it is a lot of work to manage a short term rental if you plan on doing it yourself.