All Forum Posts by: Arlan Potter

Is the start of a classic Rolling Stones Song

@Ivett Soti

1. yes    get some general advice.

2. LLC wont help

3. If you borrow to invest, you shouldn't have a lot of additional taxes

4. Its not as complicated as it may seem

@Chris KirkmanWhere did you hear about all this sort of stuff. If I had thought about all that, I would never have bought a rental. Go buy some houses and see if you like it. Why get all worked up about LLCs, get into it to see if REI is for you.

My wife and I owned over 50 properties before we ever set up an LLC.

@Daniel Bronstein  Watch on utube  Monty Python's   "The Lion Tamer"   All Accounting students should watch it. 

Accounting is a great business background education. For whatever you want to do. I started out as a computer science major but found I had an aptitude for Accounting. Got a degree, then became a CPA. Worked in industry as an accountant, Manager, Controller, CFO. Then fell into REI. If you love Accounting, do it.

I don't give tax advice but I would. It is part of your business of evaluating investments.

@Daniel HarnsbergerSounds like a great deal for you. I am not sure why he would give you half the house for managing the rehab. The financing should be fairly easy with two guarantors.

@Nathan SimonsIf he has been paying around the end of the first week of every month for a long time then that is his effective rent due date. If he has a history of it.  Anyway, if he is a long term tenant and pays consistently that time each month then enjoy the consistency. Don't lose a long term tenant.

@Kristen Bouvier ScovilleWe have three LLCs 1 for Single family homes, 1 for multifamily units, and one for commercial properties. P & L by customer works for the schedule E's 3 bank accounts. Good commercial liability insurance. In my opinion, a separate LLC for each property is over-kill. Keep it simple

@Teresa HumphreysThe couple of times I had a tenant turn me in to the local code enforcement agency, it was by tenants that were very late on the rent, and trashing my house. A delay tactic to being evicted.

@Keyur PatelIf you want to start a rental empire, find a copy of the book "Buy it, fix it, Sell it" 

Then go out and buy a cheap house, fix it up and rent it. Then repeat it. That is what I did in 2002 and now have over 100 units. Cheap units