All Forum Posts by: Bob Norton

@Jon Del Duca You should attend a local REIA meeting and talk to the investors there. They may have recommendations for good realtors, plus you will meet realtors at the meeting that are investor friendly.

@Christopher Davis The information you seek is recorded with the Clerk of Court in most counties.  You can go to the Clerk's office to access the information for free.  To access the data online, if available, you will most likely need an account with the Clerk's office for which they charge a fee.  

@Cedric Jenkins Have you checked out the MS Coast REIA? It's held the first Tuesday each month in Gulfport. The next meeting is tomorrow night (10/01) at 6pm at eAgent Realty, 12373 US 49 Suite 3 in Gulfport.

@Lucas Ritter A good place to start is to read @Joshua Dorkin and @Brandon Turner's book "How to Invest in Real Estate - The Ultimate Beginners Guide to Getting Started" and begin reading all the other books offered by BP, plus start listening to the podcasts.

@Sean H. Yes, you can issue a 1099 to a contractor whether you paid cash or check.  If you plan to deduct the expense on your books, then you must have a record of the amount you paid him (that's your paper trail).  Get him to complete a W-9, so you have his SSN and address.

@Jay C. There are companies that provide escrow services in most cities.  The buyer pays the monthly fees and the escrow service makes sure the insurance and property taxes are paid.  You can ask your title company if they can recommend a local company, or you can search for a national firm

@Adriea Herndon I've been through Ron's programs. He teaches how to do wholesaling using your self-directed IRA. The "no money down" part is really "low money down", because your IRA must invest in the contract to assign it, so that means the deposit must come from the IRA and the amount depends upon what your IRA custodian considers an appropriate amount to classify the transaction as an investment.

@George Post Yes, the trust will need to file a tax return.  It will file form 1041 and it will need a tax ID (EIN).  A trust tax return can be complicated, so you will want to find a CPA that is familiar with trusts that own real estate rentals.  Your mother-in-law and aunt-in-law will receive a K-1 from the trust as the beneficiaries.  As @John Underwood mentioned, you will need insurance for the property in the name of the trust.

@Allen Lopez I generally recommend putting a single property in an LLC for the reason that @Nicole Heasley Beitenman mentioned. 

@Joshua Scott The purchase of the note is an investment, so you should show it on your balance sheet as an asset.  The payments you receive have two components, interest and principal.  The interest from the note is taxable income and you should show it on your income statement.  The principal you receive reduces your investment on the balance sheet, as it is a return of capital and not taxable.