All Forum Posts by: Brad M.

@Account Closed

What I meant, but didn't make very clear, was a contingency that your particular plan for financing didn't work out. So your contingency wouldn't be on getting any loan, but a loan on your terms, which includes this partner at a certain equity level. Point being get it under contract and no one can swoop in and take the deal from you if that is a concern.

Just saw this on Realtor.com. Looks like the seller might be upside down on their mortgage, what do y'all think?

@Account ClosedHow about just getting it under contract with contingencies in place that allow you out if you're financing doesn't work out? Also, I'm not sure how you were looking to find a partner, but I can see your concern if you were going to blast it out to a bunch of unknown potential partners. Personally, I would be approaching some of my closer relationships that I already trust that are interested in investing. Then you have a pretty good comfort level that they won't screw you over.

Getting involved in your local ULI chapter is another good idea, if you have one. They welcome active members. It is not free, however.

http://uli.org/councils/district-councils/

@Dan Blum

 Another Richmond submarket to look at is Manchester. It is just south of the city and is undergoing a revitalization. Lots of new apartment construction, and retail is starting to follow. There are still some deals to be had, but they are getting harder to find.

@Mike Flora

 So what did your title folks say? Curious how this turned out...

Wow! That's impressive. 

My most clueless applicant insisted on applying even though they had an eviction and knew I didn't take evictions, her income didn't qualify, and she said she had a clean record...except for that whole shoplifting thing I uncovered that had past due fines on it.

@Trevor Sambrano

To second what @Colin Smith said, it depends on your operating agreement for the LLC. If you already have the LLC formed, that should be the name that is used at the top of the contract. On the signature page, you would have the name of the LLC, the name of the person signing, the signature, and the title of the person in the LLC (Member, Managing Member).

If you don't have the LLC formed yet, it is fairly easy. Just put your names in as the purchaser, and include "or their assigns". Then sign individually.

Also not an attorney, so ask one. But that is how I've done it in VA (with the advice of a VA attorney).

@Aaron Montague

 I'm interpreting @Kimberly Ashkenazi's post as she has already closed. But I agree with you pre-closing...estoppels and proof of payments is key. I don't know what the law is in MD, but in Virginia, the Landlord Tenant Act states that the leases are month to month in the absence of a written agreement. I would interpret that as an opportunity to have each tenant apply for a new one-year lease prior to the end of their month to month lease.

If the tenants have been there that long, and have been paying, doesn't sound like you will have much of an issue.

@Emily Allen

 $10,000 is a pretty good sized earnest money deposit. Out of curiosity, what was the offer price?

And personally, I would never sign a contract that said 0 due diligence without seeing it first.