All Forum Posts by: Brittany Kuschel

@Lindsey Konchar

We have been working with Craig Chilcote of the Anderson, Kuiti & Asuma firm in Duluth, MN for a couple of years now. I met him at an investor meetup a number of years ago and have really grown to appreciate his methods. He is not the most agressive tax advisor/CPA that we have worked with over the years, but I find him to be extremely wise and pragmatic in his approach. He is also willing to unpack the "why" behind certain tax advice, or tackle a discovery call around a tax strategy that I'm interested in after discovering a left-field investing article. I love that he is an investor as well, and works very effectively to see how to leverage tax benefits of being an investor together with a small business owner (or entrepreneur). I recently filed as an S Corp and having him in my corner, and working together effectively with my financial advisor was invaluable! If you have any other local vendor recommendations you are looking to source, please feel free to shoot me a DM.

Congratulations @Todd M. that is awesome!! Bill Burns with the Hanft Fride law firm is one of the best in the state. He's got 40+ years of experience, so you definitely have a higher hourly pay rate, but he and his team are worth every penny so long as he can get you into the queue. If he isn't taking on new clients, a number of his partners are also well-equipped to handle this sort of work. Depending on complexity of the Purchase Agreement and recommended contingency language, you may be looking at $1,000 - $1,500 for attorney review/revisions. I've had a handful of clients with multi-family deals stay under the $1,000 mark but complexity of negotiated terms within the PA were limited and scope of needed contingencies were modest.

Hi @Jason Thon

If you are looking to connect with folks on MTR in Duluth, I'd be happy to connect! My husband and I run a MTR in Lincoln Park that was previously renting as a LTR. Also, my brokerage has a handful of investor clients that actively run MTRs and STRs in the area. 

Reach out anytime. Hope you're able to connect with Jeff as well! He is a seasoned investor and very well-versed in REI.

@Tim Swierczek makes a great suggestion! I know Sherman Associates have completed a number of affordable housing projects in Duluth (and were recently navigating another under construction in Lincoln Park that ran into some difficulties). They have utilized a number of financing approaches including: Minnesota Housing Finance Agency Tax Credits, Conventional, Grants through Duluth Economic Development Authority (DEDA), Duluth Housing & Redevelopment Authority (HRA) Assistance.

Sharon Brown with Duluth's Life Safety office is a great resource as well when dealing with blighted properties. She has a ton of resources and could be a great person to connect with to discuss your ideas. 

A few other resources that offer funding opportunties for blighted and/or brownfield site renovations are MPCA, Kansas State Technical Assistance to Brownfields, DEED, LISC. You might also connect with Ecolibrium3 and Community Action Duluth to see if they have any upcoming housing projects on which they are looking to source local partners

Hi @Noe Alonzo Nesmith Jr

I am a full-time real estate Broker and part-time investor in Northern MN. My brokerage serves Northern MN and Northwestern WI. Reach out anytime if you're interested in connecting and discussing the multi-family market in Duluth MN area or surrounding. We love working with investors, and serve many clients that are out of state or semi-local.

Brittany Kuschel

@Leana Ruggles You mention MN in general in a couple of your posts above. I am not sure if that means Northern MN is of interest to you, but we work with clients everyday getting into their first home/house hack. In fact, we just closed a new buyer on a beautiful turn of the century duplex in Duluth allowing him to househack the upper level. 

I am biased but a HUGE believer in the house hack model. After buying and selling multiple pieces of real estate, we still own a house hack (somewhat unconventional approach with a carriage house & primary home), but we love the flexibility it affords us. 

Shoot me a PM if you have any interest in chatting on the Northern MN market!

Sincerely,

Brittany Kuschel

Wow, I've never heard of a broker refusing to release earnest money after receipt of a Statutory Cancellation! The folks at Hanft Fride are well equipped to navigate this. I'd reach out to Rob Merritt as he handles the majority of their real estate litigation matters.

@Mike Adams

I agree that this sounds fishy, but to what end? Ethically, if the property has been occupied or lived in by anyone, it should be disclosed and listed as previously owned. If the builder never transferred title, they might try to argue that its comparable to selling a model home within a new construction developement (new home, but has had thousands of folks walking in and out for months...sometimes years).

I would be confused as to why someone would offer it as new construction when it had been lived in unless their aim is to avoid capital gains, but you say lived in a few months and not two years so that does not track. Nevertheless, I would inquire and ensure that the home is being sold with the typical new construction Statutory Warranties, and I would want to ensure that the warranty start date would be the date you take possession. The MN New Construction Statutory Warranties are outlined here: https://www.revisor.mn.gov/statutes/cite/327A.02

@David Ezeokeke

While having your broker license does allow you to operate as a property manager, there are other, less cumbersome, ways to get acquainted with property management. Many property management companies have high turnover and are frequently looking to take on new hires in roles that do not require you to be licensed in the state of Minnesota. In fact, a handful of our most successful real estate investor clients got their start working as an employee or contractor for a property management company. Also, if eventually you get into that house hack, and elect to self managing a duplex, triplex or 4-plex that you own/live in, you will by default learn about property management skills and no license is required to manage the property you own.

To answer your specific question, yes - you can become an employee of a property management company to learn about property management and I highly recommend it!

@Dan Manion totally makes sense. Hope you're able to get it rented quickly and for top dollar! Reach out if you're ever in the area and want to connect. Also, I run the Duluth Landlord Association and can get you added to our email list if you're interested in being included for future meetings (we meet in person and via zoom). Hoping to cover 1031 exchanges in next month's meeting!