All Forum Posts by: Adam Hershman

 Check about your local and state laws, some states have provisions on how much, and how far in advance you can accept rent. 

Hey @Carrie Alluri I don't see any reason why you would need to keep it a secret from your employer. I wouldn't necessarily promote the fact that your goal is to be successful enough in REI to quit your job, but I doubt most employers see this as a risk for losing you. They can't stop you from investing in RE, and I suppose they could fire you, but as long as you are good at your job and REI isn't eating into your productivity at work, I can't imagine an emoloyer having negative consequences from RE investing. It would be like your employer being upset that you invest in the stock market, the end game is to become financial independent and not HAVE to work, the result is the same its just a different investment.

Adam

 Hey Bridgette,

The rating is actually the "FICO Mortgage Score 1.0" and is based on traditional information as well as financial and property data supplied by CoreLogic. It is very similar in terms of rating scale (350-850), but is optimized for long term debt, as mortgages are generally 20-30 years, there is a difference between paying off a 5 year car loan, and paying off a 30 year mortgage. FICO also has BankCard, Auto, and retail banking adjusted score models. 

When you check Experian/Equifax/Transunion sites they are generally showing FICO scores. FICO stands for Fair Isaac & Co, and that name is synonymous with credit score because it is the oldest and, generally, the most respected. When you check your scores via Credit Karma or other 3rd party websites, they are generally showing your VantageScore 3.0 score, which is basically a different score model from a different company. Just like anything in life you pay a premium for premium service, if you want to use the FICO score model, it will cost you more. This is why the free and low cost credit sites will use VantageScore 3.0 which is much cheaper from a business perspective.

There is a misconception that credit scores are universal, or regulated, or have rules in some way. They don't, the bottom line is there are several companies, and several scoring models that may be used, so you my see some fairly wild differences based on what score model your lender is using. 

Adam

 Without seeing what she signed, there is no way to be sure if she in on the hook for the earnest money. What I will say is that, thankfully, she avoided a prohibited transaction which could have resulted in much worse than a $2000 loss. 

Personally, I would find it very unlikely that they would pursue legal action to recover $2000.00. In my experience, companies don't even consider legal action for less than $5000, as this is generally the amount at which the benefits of legal action begin to possibly outweigh costs. Even the most ruthless debt collectors wouldn't sue for $2000.00, so in that respect I think she is safe. The first thing you want to do is stop taking anything the wholesaler says seriously. If you want real answers, your best option is to call the title company and discuss it with them. But the wholesaler is almost certainly fabricating some facts in an effort to collect his paycheck. 

Adam

 Hey James,  

I don't know anyone personally in Austin, but I do know several of the Ameriprise Financial advisors in DFW. I don't know if the Ameriprise guys in Austin are any good, but I like their financial planning models, and while their advisors are hit and miss, if you get a good one its a very pleasant experience.

Full disclosure I used to work for Ameriprise Financial as a Brokerage Operations Specialist, so I may be biased, although I no longer work there, and frankly as an employer they are less than stellar, so I feel like I'm not THAT biased.  

 Correct, I was mistakenly thinking of UDFI (not applicable to 401ks) when I made the incorrect comment about 401ks not being subject to UBIT (applicable to 401ks). 

 True story, was thinking UDFI!

@Grace Huang You can get around the UBIT issue with a solo 401k. If you own your own business with no full time employees other than yourself and your spouse, you may qualify to set one up.

@Nicole A. First, this is not legal advice!!! You will need to check your local jurisdiction!!!

That being said, generally fees incurred in pursuing legal action can not be assessed as additional rent, and must be explicitly provided for by a court order. The part of the excerpt you copied, as I read it, protects the tenant in this situation, not you. The way I interpret this, you could ask the court to award you $48 for legal expenses incurred while filing the eviction, but this clause essentially says that if the tenant pays 3 things prior to eviction notice (past due rent, late fees, and any other costs the court mandates) they have the right to remain in the premises. You see the problem, your legal fees are not court mandated, and if they can not be classified as additional rent, then they don't fit into any of those 3 categories. 

In my understanding the agent from myrentcourt.com is correct, you would not be able to recoup those fees from the tenant, unless the court had approved those fees prior to the tenant exercising their right of redemption. 

Again this all hinges on the supposition that legal fees incurred can not be reclassified as additional rent, so check with a local property attorney. 

Adam 

 Because all of your posts have terrible grammar and punctuation, little substance, and even less actual information. Based on this, I deduced that you would be running your business as terribly as you had written these posts.