All Forum Posts by: Will Barnard

Setting up an account at ETC can be done online and only takes the time to fill out the docs, then you have an account. Funding the account has nothing to do with your SDI admin, but the administrator of where the funds are coming from. The faster they are, the faster your ETC account is funded.
You could then make a direction of investment (doi) that day, and they will take as little as 2 days to process and send out the funds. The funds can be sent via snail mail (longer), wire transfer (immidiately, but add. costs), or next day air (add. costs).

If you want to do REO and pre-foreclosures, ETC will be sufficient. If you want to move into Sherriff Auctions, you will need check book access as you have only hours to pay.

I would have to side with Cornell on this.
25% is the absolute minimum or I do not do the deal.
In addition, the deal must produce a DSCR of 2.0 or higher, not the bank minimum of 1.2-1.25

Leverage is the key to your cash on cash. Remember that leverage = accomplish a lot with a little.

Tom,
You are missing a point here.
The object is to have only ONE loan.
The LLC gets the loan, and the LLC is tehn sold to the new buyer.

Larry,

That is another very similar alternative as well.

Larry,
That would be one method, but would depend on the lender.

If the property has not yet been purchased, you could buy it using an LLC, get the commercial loan in the name of the LLC and then transfer the ownership of the LLC, but this would also depend on the specific lender.
The best option I see in this situation is to use the land trust.

If you do not care about the new buyer knowing what your profit is, why not simply assign the contract to him/her for yoiur spread, and forget about the LLC and land trust?

Josh,
The questionaire you refered to does have many of the questions I include in mine, but does not give the answers you as the investor should look for, but it is a good start.

As far as posting my workshop items, I can not give everything away for free and stay in business. I wish it was not the case, but those are the facts right now. There are many other members who have products or books which are offered for sale and they can not give all the info in those items away or they would lose all sales.

With Equity Trust, I never had them ever question or ask on any letter of direction. I sent them the instructions, and they performed the paperwork. It is ultimately up to you to follow the IRS rules and guidelines as they relate to SDI's. They would not deny your direction of investment. The key factor here is what Jon said, do not involve any disqualified parties (which in your situation you explained, you are not) and do not participate in any prohibited transactions (you are not from your example). Therefore, there is no problem with using ETC for your investment with the friend's IRA.

If you need help with what is or is not a disqualified party or prohibited transaction, I can answer those questions specifically for you.

Tom,
You are correct which is why I eluded to the fact that it would require a commercial loan.

Josh,
As you know, I am always eager to share my insight with others here on BP, hence the 600+ posts.
The questionaire for PM's is very long to post here and as I mentioned, it is part of my educational workshop I have available on my website. Everyone is welcome to access it via my website.

I have another idea for you as well, but it is too long to post here.
Contact me directly sometime and I can explain.
You can find my email address on my website.

Will B

Two ideas:
1. Form a single asset LLC (only one property in the LLC) and place the property into the LLC, then sell the LLC.
2. Place the property into a land trust and then change the beneficiary to the new buyer.

For land trust info, click on the link on my website on the right. To structure the LLC, get an attorney. Your buyer may still run into problems with their loan as lenders do not usually make loans to LLC's. It may require a commercial loan with a personal guarantee of course.