All Forum Posts by: Chris K.

@Marc Possoff

Having a title to the property is different than having a marketable title. You need a marketable title to refinance, sell, etc. Without title insurance, I wouldn't build anything on the property to avoid legal headaches down the line. 

Disclaimer: While I’m an attorney licensed to practice in PA, I’m not your attorney. What I wrote above does not create an attorney/client relationship between us. I wrote the above for informational purposes. Do not rely on it for legal advice. Always consult with your attorney before you rely on the above information.

@Dan Hennessy

I would try what @Jerel Ehlert said unless you want to go with a mega law firm and pay their high fees. Multi-jurisdiction projects are one reason to go with a mega-firm. But you end up paying around $500 per hour for a recent law school graduate --- which is more than what you would pay for an experienced partner in a smaller firm. 

Disclaimer: While I’m an attorney licensed to practice in PA, I’m not your attorney. What I wrote above does not create an attorney/client relationship between us. I wrote the above for informational purposes. Do not rely on it for legal advice. Always consult with your attorney before you rely on the above information.

@Justin Tyler

What size deals are you looking into? Small properties or something large?  

Disclaimer: While I’m an attorney licensed to practice in PA, I’m not your attorney. What I wrote above does not create an attorney/client relationship between us. I wrote the above for informational purposes. Do not rely on it for legal advice. Always consult with your attorney before you rely on the above information.

@Cameron Riley

The last time I looked at this issue, I believe the Pennsylvania Superior Court held that an owner of an LLC cannot represent the LLC unless the owner also happens to be a lawyer. You might be able to get away with it at the magistrate level. But you'll probably run into issues at the Court of Common Pleas level.

Disclaimer: While I’m an attorney licensed to practice in PA, I’m not your attorney. What I wrote above does not create an attorney/client relationship between us. I wrote the above for informational purposes. Do not rely on it for legal advice. Always consult with your attorney before you rely on the above information.

@Joe Kooner

There are many books and resources out there explaining how to analyze deals. If you want to get very nerdy, try a book by Frank Gallinelli called What Every Real Estate Investors Needs to Know About Cash Flow. 

If you are a realtor and qualify as a real estate professional for federal tax purposes, you will likely want to target projects where you can take advantage of accelerated depreciation. This often requires you to get involved in syndication-type deals. But when done correctly, that can offset your active income.

Disclaimer: While I’m an attorney licensed to practice in PA, I’m not your attorney. What I wrote above does not create an attorney/client relationship between us. I wrote the above for informational purposes. Do not rely on it for legal advice. Always consult with your attorney before you rely on the above information.

@Matt M.

Well, I wouldn't go that far. It's a serious constitutional question. Until June 1, the Pennsylvania Supreme Court and Governor Wolf were on the same page. But the Pennsylvania Supreme Court didn't extend the order. So the question now becomes whether Governor Wolf can unilaterally tell the lower courts that they cannot handle eviction proceedings. Not an easy question. 

My guess is that most lower courts don't want to get involved and thus complying with the Governor's order. But the ones that are not complying may have a legal basis to do so.

Disclaimer: While I’m an attorney licensed to practice in PA, I’m not your attorney. What I wrote above does not create an attorney/client relationship between us. I wrote the above for informational purposes. Do not rely on it for legal advice. Always consult with your attorney before you rely on the above information.

@Matt M.

I wasn't following this closely. But if I recall correctly, the Pennsylvania Supreme Court has terminated the judicial emergency back on June 1. Governor Wolf issued a separate executive order stating no evictions until July 11. But there are some constitutional questions about whether he has the power to do so. All the court systems are under the judiciary branch and not the executive branch. So it's unclear whether the courts need to comply with the order from the executive branch. 

Disclaimer: While I’m an attorney licensed to practice in PA, I’m not your attorney. What I wrote above does not create an attorney/client relationship between us. I wrote the above for informational purposes. Do not rely on it for legal advice. Always consult with your attorney before you rely on the above information.

@Landrin Lewien

No one can answer your question without looking at the agreement of sale. As @Mason Hickman wrote, your contract may say that you can only be held liable for the earnest money. Or it could say that the seller can bring a specific performance action to force you to buy it. Without looking at the contract, no one can tell you. 

Perhaps there are some contingencies that can help you. Or perhaps the contract requires the seller to meet certain requirements prior to closing that the seller did not meet. But again, no one can say without looking at the contract. 

I would just note that for smaller properties like this, most investors understand they may need to kick out the inherited tenant. This is not a commercial deal where you have tenants with a long term lease. As a residential landlord, you will at some point have to experience the joys of evicting the tenant. 

Honestly, it's probably time to find a lawyer in your state. 

Disclaimer: While I’m an attorney licensed to practice in PA, I’m not your attorney. What I wrote above does not create an attorney/client relationship between us. I wrote the above for informational purposes. Do not rely on it for legal advice. Always consult with your attorney before you rely on the above information.

@Michael Ciambra

BRRRR should work in both the Scranton and Wilkes-Barre areas. You will just need to find the right deal where there is some opportunity to value add at the beginning.

Disclaimer: While I’m an attorney licensed to practice in PA, I’m not your attorney. What I wrote above does not create an attorney/client relationship between us. I wrote the above for informational purposes. Do not rely on it for legal advice. Always consult with your attorney before you rely on the above information.

@Vincent Lloyd

Welcome to BP! I would say it depends on what you want to do with your real estate investments. If you have time to do any kind of active investing, perhaps you can look for smaller properties to invest in. If both you and your wife are busy, you may have to look at more passive opportunities. Depending on your income and net worth, you may want to invest in syndication projects. If not, you could try to find a partner to work on a deal with. 

Whatever the case is, there is an endless number of options to invest in real estate. It's just a matter of deciding the correct path for you depending on your skill and the amount of time you can commit to real estate. 

Disclaimer: While I’m an attorney licensed to practice in PA, I’m not your attorney. What I wrote above does not create an attorney/client relationship between us. I wrote the above for informational purposes. Do not rely on it for legal advice. Always consult with your attorney before you rely on the above information.