All Forum Posts by: Andrew Freed

@Alexandra Hughes Pailet - Thanks so much! 

Hello Fellow BPers. Anyone know where I can purchase the 2024 BP Con tickets? Seems like an epic event hence I'd love to lock it down. 

@Kwab Mireku - This is really not something you should be getting involved in. I'd just let them know they are within their legal rights to have the camera and this is not something landlords get involved in. 

@Alex Long - Setting up a partnership or joint venture is a pretty straight forward process. You hire an attorney (or do this yourself) to set up a LLC with both you and your parents owning 50% of it. You also need the attorney to set up an operating agreement which designates the terms of the partnership. Once the LLC is set up, you create a bank account, your parents and you fund the account, use the funds for the down payment and operate out of that account.

Once the tax season ends, you need a CPA to complete the taxes for the JV entity hence having good books is instrumental. You need up to date profit and loss statements along with balance sheets hence definitely get a good bookkeeper to help stay on top of that. Once taxes are filled, the CPA will issue K1's to all of the owners of the LLC and that will flow down to your personal taxes. Normally, depending on the state, a LLC can cost anywhere from $1-2K to set up and then taxes can cost anywhere from $500-2k to complete. Bookkeeping usually runs a couple hundred a month for each LLC.

Lastly, when seeking lenders, see if any local credit unions or small banks will allow you to buy an investment property and put it directly into a LLC rather than putting it into the LLC after the fact. It's just easier that way and you do not have to worry about the due on sales clause. I hope this helps!

@Victor Frosh - Congrats on the purchase! What are the numbers? What did you pay for it? How much renovation does it need? What will you rent it for? What sort of debt did you get for it? I'd love to learn more about project. 

@Avishay Kolatkar - This is awesome, congrats on getting started. I too am in the Mass area. I highly recommend start listening to as many biggerpockets podcasts as you can. When I first started, I devoured thousand of hours of podcasts combined with as many books I could get my hands on and g meetups. I also recommend attending as many real estate meetups as possible since networking is the real cheat code to growth.

Also, start tackling all of the biggerpockets books, each of which has its own specialty. Some of my favorites are the multifamily millionairre volume 1 and 2, the book on managing rentals by Brandon Turner, and how to buy property with little to no money down. 

Lastly, if you want an online course, MeetKevin's real estate course was super valuable. I think I paid $400 bucks for it and it was extremely helpful in my real estate endeavors. I hope this helps! 

@Tony Huynh - It sounds like the new tenant has something to hide and the current tenant is attempting to use threats to hide this fact. I would move forward with the background check and advise it is part of your rental criteria moving forward. If they have a problem with it then they just weren't the right tenant for your building. You have every right to use a standardized criteria for any applicants as long as it does not discriminate against a protected class. Criminals or people with a criminal history are not a protected class. 

@Jeter Perez - I started with a W2 and househack. Once I had a few properties under my belt, I got my license and became an investor focused agent. I think being an agent helps your investing career dramatically... not so much the commissions but all of the other intrinsic benefits it provides. Such as helping build your team, network, finding mentors, and best of all, it forces you to always have a pulse on the market (even if you are not in buying mode). Real estate investing has its seasons.... you save, you buy, you save, you buy etc. This is great, but it also de-motivates you to always be looking and putting offers when you are in the season of saving. I think this is one of the biggest mistakes a new investor can make; if you run across an amazing deal and you do not have enough money to take it down yourself, you can always find other solutions to close if you think creatively such as jving on the deal, raising money, or even just grab the commission as an agent. Hence always be looking is an important matra. Being an agent provides immense amount of value outside of just the commissions, nonetheless I recommend parring it with a W2 while you start your journey. 

@Jennifer Farnsworth - I hope all is well! Happy to speak on acquiring larger properties or how to put a syndication together for real estate transactions. I am a local landlord and own a good amount of units around MA and SC. 

@Dan Goeckel - The Hands off Investor by Brian Burke is a fantastic book for LPs to gain the knowledge to invest successfully in other deals. One of the biggest takeways I got from the book was that the most important factor for a syndication is not the market or the deal but the syndicator. You want to make sure you are choosing the best jockey. A great deal can turn bad with bad operator and a bad deal can turn okay or good with a good operator hence the person or people managing the deal is the most important factor. 

Another book that I liked was Multifamily Investor volume two. It is a great book to learn more about GPing on some larger multifamily.