All Forum Posts by: Edmund Ricker

@Carrie Zhang

I have my business account with a local bank.  I have found them super easy to work with, but I admit that I have not yet tried to get any loans through them.  I have established a good relationship with one of the commerical lending officers.  I plan to leverage that relationship and his knowledge to establish a track record with the bank so when the need arises for a loan, both parties should be able to benefit.

Big banks have their advantages and disadvantages.  I prefer my local bank because they know me by name and they provide great service.

I would suggest starting with a bank that you do business with.  Let them know what your plan is and what your business will entail and see if they will be able to provide the service(s) you need.

If they can't provide what you need, I would interview some other banks.

Hope that helps.

Ed

@Michael Kappel

I do not personally have one, but check the "File Place" under Tools on the BP homepage....if it exists, it is probably there.

Hope that helps.

Ed

@Kevin H.

The type of entity you choose will depend on what type of REI activity you are pursuing. An LLC might be a good option for buy and holds and other passive activities where you are not generating short term capital gains or short term income.

I would recommend you consult a tax preparer and your insurance pro.  As @Len Roche said, you might be ok without an entity to start and good insurance.  It is hard to give specific advice without having a firm grasp on your current financial situation and your goals for your real estate investing.

Pay a little money now to talk to experts....it could save you a lot of money over the long haul.

Ed

@Mukesh Yadav

I am in the process of funding my new IRA/LLC as we speak. I did a lot of research and in the end I went with Camaplan. Their fees are very reasonable and so far their customer service has been great. The fees will vary depending on how much and what type of activity you have, but I have found most are in the same ball park.

Hope this helps.

Ed

@Brandon Hellenbrand

You should reduce your basis in the property by the cash back amount.

If you use the cash to make the necessary repairs, depending on the size and scope, these additional repairs will be added to your basis and depreciated, or expensed in the year the repairs are performed.

Hope this helps.

Ed

@Greg Flores

Welcome to the BP community!  There is a wealth of information and knowledge available here.  As in anything, be cautious because there is the possibility of people posting bad advice.

I have been a BP member for just under a year and it has been priceless.  I am looking at making my first purchase this year and I find the podcasts awesome.  I even went back to number 1 and have been catching up to the current as I have time.

Good luck in your quest!

Ed

Hi @Ruben Blancarte

While having a real estate license has different requirements from state to state, it is certainly possible to be a part-timer.  The question becomes are the ongoing fees to maintain the license going to outweigh the benefits you receive from having the license, or does this matter to you.

I know people in my area who work full time jobs and wholesale in their spare time.

Almost anything is possible if it is important enough to you.

Hope that helps.

Ed

@Chad Riedmiller

This site is real estate focused, but I am sure many members have other investments and a wealth of different business knowledge.

Chances are, if you have a question, one of the members of the BP community can answer it or point you in the right direction.

Ed

@Jacob Callsen

I just began reading it and so far I am impressed.  The book is written clearly and in a style that I find very easy to read.

I look forward to finishing the book. Based on what I have read, I would recommend this to anyone who is interested in REI, even if flipping is not necessarily their goal.

Hope this helps.

Ed

@Allie Pfannenstiel

From the IRS website:

Foreign income. If you are a U.S. citizen or resident alien, you must report income from sources outside the United States (foreign income) on your tax return unless it is exempt by U.S. law. This is true whether you reside inside or outside the United States and whether or not you receive a Form W­2, Wage and Tax Statement, or Form 1099 from the foreign payer. This applies to earned income (such as wages and tips) as well as unearned income (such as interest, dividends, capital gains, pensions, rents, and royalties). If you reside outside the United States, you may be able to exclude part or all of your foreign source earned income. For details, see Pub. 54, Tax Guide for U.S. Citizens and Resident Aliens Abroad.

Without knowing your individual circumstances, I cannot give specific advice.  However, if you are unfamiliar with tax law regarding foreign income, I suggest you find yourself a good tax pro to assist you.

Hope this helps.

Ed