All Forum Posts by: Luke H.

@Matthew Nieroda, ask the neighbors if they own or rent. if they rent ask if you could get the phone number of the owner. call the owners and ask them their experience with owning rental property there. 

For me, I take a hard look at the people that live in that area. Are they hardworking people? Are they looking for an opportunity? Are they people that take care of their things? That is what is more important to me...

@Adam M., i understand and appreciate the feedback.

Ah, I don't think you can do anything to the deed until that loan is paid off. They might have a clause that doesn't allow it or they might call the loan due. You'll have to find out. 
Good luck part 2

Nice, where do these stats come from?  I think that trend will continue to happen as it become more expensive to buy. Once we have a deep recession it might change.  Have any stats for Houston, Texas?

I've been a landlord for my properties for years.  Although I like the idea of a mngt company, I'm not at a point I want to pay 10% of my rental income.  If there was a company doing 3-5% with excellent service (get 3 bids for all work), then we would be talking...

Anyways, much luck

I'm curious, what does the "C" stand for? 
I have a house in a 'rough' neighborhood, due to that reason the taxes are the low which means it gives me the biggest profit margin!
When I purchased it, I lived in it while I fixed it up, I put a big fence around it, put an LOUD alarm,, made friends with the neighbors on both sides of me and used my right to bear arms in my home...
1 part of the reason for me to live in it and work on it is so the 'bad' people can see that I am a human, busting my butt for my stuff. People tend to respect that and leave you alone, plus I would let the alarm sound at least once a day...

Anyways, I don't go into 'rough' areas because finding tenants for them is the tough part.

Note: The reason I purchased it is because I believe the 'gentrification' will take over in a few years and I can sell (if I want) for a huge profit.

Good luck

I have an LLC and I transfer the deed from my personal name to the name of the LLC, cost about $20.00 at county clerk's office. Not sure if this answers your question?
Good Luck

Hello,

1) Yes, you can start a partnership without the other person having money.
2) You structure the deal any way you want.
3)That might be the best/easiest way to go.
4)I have 2 different partnerships and have rental property solo.  If you do a partnership make it very clear/put on paper what that partnership looks like.  Details...for example, (If plumbing breaks you will be responsible to go out and fix it or hire someone).  This happened to me at Thanksgiving weekend. I made it clear on the second partnership, guy really wanted to work with me, that he would do most of the work (I'm guidance). 
In business people can be a partner with what is called 'sweat equity'.  Meaning, for every hour they work, a certain amount goes towards their ownership part.
The golden rule of business is "He who has the gold makes the rules", so you can leverage that when deciding on percentages in partnership. I don't suggest you over do it because you want him to feel like a "equal" even if he isn't on paper.
In this situation I would just pay him to do the work. After you get 1 rented, give him the option to put a small investment for a small ownership/return. That way you get cash you can use for another deal and he has 'ownership' and most likely fix any issues quickly.

I could go on and on, but anyways, hope this helps
:)

Every accountant you talk to will tell you to keep separate accounts for business and personal . I didn't do it for a long time due to not wanting to deal with 2 accounts, but with online banking it is easy.  Plus, you can start building business credit. Just make sure you keep enough in there so you aren't charged fees.

Read up on something called 'subject to'.  Means owner holds the note. you worry about renting it out and collecting the rent.  More details to it, but too much to add here. 

Good luck