All Forum Posts by: Steve L.

My card has my company logo and the words "Real Estate Investor" on the front.

On the back, I have my name, cellphone, fax and logo again.

Very simple, but it is a must for RE agents, and fellow investors.

One LLC per property is ideal. But if they are California LLCs that can get expensive 800 each. I'd probably do at least one LLC.

Most likely I would suggest you specialize in one or the other.

SFR
- huge buyer pool
- value is usually based on many other factors then NOI
- many of them
- typically longer term tenants
- easier to finance

Multi-Family
- economy of scale is easier
- value is based on mostly NOI
- lenders require bigger deposits
- all numbers are usually bigger

I would say it depends on your market. Here in California multi-family apartments trade at very low cap-rates, so not really a market I pursue.

I know... but say you get 3 offers accepted that you made under the same named LLC. Or you want to be able to put the EMD check from personal account.

When you get an offer accepted you can always change it to an LLC and "assign it" by selling the LLC. It just allows you to use personal funds and name the LLC.

I would suggest making offers personally. Once you get an accepted offer escrow allows you to "vest" a property in an LLC you own.

Escrow will need a copy of the LLCs operating agreement and you should be good to go.

The qualifying factor for my purchase is what after repaired value less the estimated repair costs. From there it's either a deal or a stinker.

That's like the bank saying, you're offering 100,000 and we're owed 430,000 on this property. It maybe true, but that does not change the value of the property.

Congratulations. That is awesome!

Tyler - you may consider flipping a couple deals. If you can buy and fix at 50% of market value, you could sell it on the cheap... get you're borrowed money back and 40-50k of working capital (in your example).

Remember to factor in interest cost, your time involved, and overages.

Good luck!

We rehab and wholesale properties, a couple times I have had my wholesale buyers ask about my contract price. Sometimes I disclose it, but most of the time I would prefer not too, as most of the time I think buyers do not think the fee I get is fair (no matter how much it is, or how good the deal is).

Do you disclose your price before going under contract? What is your average profit (as a percentage) for wholesale deals?

I think he means marketing that makes a property owner "afraid" of the problem. I went to a seminar by Dave Lindahl (sp?) and he mentioned mailers with Tylenol in it (or something that is safe to ship).

Your property giving you a headache? Here is an aspirin... I will take the property off your hands.

He said it accomplished two things... people generally opened the package because there was a "lump" in it, and it made owners laugh.

Liens, abatements, etc are taken care of in escrow. We deal with them all the time and the selling party is required to pay them off (unless you negotiate something different).