All Forum Posts by: Brian Boyd

Financial independence to live the life I choose and provide generational wealth for my family.

Whats up? I can probably point you in the right direction. DM me.

Reach out to @nickcantey

Create an LLC and put together a membership agreement detailing the terms of your "partnership" so that you have a road map to work from. Once you find a property, purchase the property through the LLC, you will both likely have to guarantee the loan. Once you are ready and the property has seasoned, you can refinance it.

If you were to do a cash deal, I would suggest using the same legal entity and partnership agreement so that you have liability protections. Good luck and keep us posted on your progress!

Take it out of your cash flow and book it as a loan to your LLC. Make sure your book keeper segregates the principal from the interest for tax purposes.

My accountant at BDO has performed these for our properties and they run about $500 apiece. It was completely worth it to accelerate the bonus depreciation. Consult your accountant to get a study done. It is worth the cost or just find software online to do it yourself. Good luck!

I have 20 doors and none of them are in my name. I strongly encourage the use of a legal entity to provide the liability protection, the separation of book keeping and distance from your personal assets. 

Purchasing in your name and immediately quit claiming to a legal entity at the same closing will suffice and keep the legal formalities of your business entity. Make sure to treat the business entity like a business. You will be fine. 

Each property should have an insurance policy, and the business entity should have a general liability policy as well. 

Investment Info:

Small multi-family (2-4 units) buy & hold investment in Knoxville.

Purchase price: $155,000
Cash invested: $36,000

Our first foray into multi family investing. This was a turnkey property with renters in place. We ended up in a multiple offer situation and purchased the property. We are now working on our next investment in Knoxville.

What made you interested in investing in this type of deal?

Getting into multi-family is the fastest way to grow a portfolio to achieve financial independence. Knoxville has a built in clientele with students that want to live near the University. The numbers were great and this project was turnkey.

How did you find this deal and how did you negotiate it?

We found an agent on BP and had detailed conversations with him about our vision and business plan. He is from Knoxville and invests there himself. The deal went into multiple offers and we outbid everyone while making sure the numbers would still achieve our desired result.

How did you finance this deal?

5 year note with 15 year amortization through our lender, with 25% down.

What was the outcome?

Buy and Hold-still holding.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Nick Cantey, who we found on BP.

@Murat Caliskan you have to get those credit cards paid off first. Start cutting out anything that is not necessary to getting those paid off. Get an accountant that understands real estate and can help you cost segregate your real estate depreciation so you can accelerate your depreciation, this may lead to a larger loss on your income tax return and you can throw that money at your credit card debt.

One bridge at a time, sounds like a you are doing great!

@Libby Baugher Have you considered rolling it to a self directed IRA? Doing so would allow you to invest in real estate and continue to grow your retirement account without any penalties. I'm not an expert on self directed IRAs so consult one.