All Forum Posts by: Robert Anderson

I just want to thank everyone for their help with my questions. Great and informative information by sophisticated people. Appreciate it.

@Doug Smith I just want to thank you for your help in regards to my question.

Hi, I want to become a hard money lender in Massachusetts. I’ve been involved with a few small house flips the last couple years. I’ve never had to borrow money. I’m tired of flips And want to be the money guy. I’m not rich, but I have enough to do about 3 or 4 solid loans at at time. I’m aware that when it comes to lending money, I better know what I’m doing or it can go south quickly. I generally just want to ask a handful of questions if anyone can help me out, that would be awesome ). 
here are a few questions.

Do I need a License to be a Hard Money lender in Massachusetts? If yes, what’s the name of the license?What type of attorney would I contact? 
what department of Massachusetts would I call? 
can anyone send me a link that pin points exactly what I need to do to become a lender? 

I talked to someone this week from Massachusetts department of finance and banking, he didn't seem to know much about this field. He said if it's 4 loans or less, I just need to set up an LLC. I don't feel confident enough to go by his advice, and find out I'm breaking laws. any info someone has to offer, I'm listening . I'm also willing to pay a fee for anyone's time and services that have knowledge of this field. I know I'm going to think of 20 more questions when I post this.
ok thank you all for reading this. Have a great day

Bob A

Hi BP members, I have someone who wants to sell me a house in Indiana. I live in Boston. I looked it up on Google earth, and also spoke with the agent who had it listed about 18 months ago. He said it’s a decent house but the 2 negatives are the roof and the basement isn’t full. He said if the roof was done and it was a normal basement it would sell for 80-90k. I don’t want to do anything to it other than cleaning it up. The owner said she would sell it cash for 45k . I asked the agent, how much can I list it for to make it sell in a few days and he said 70k (ish). I have the money but not sure how an out of state deal works. Would I have to be physically present at any point? I told the old listing agent that he can have the listing if he can get it on the market for me, however I haven’t purchased it yet. How can I pay for the house without the present owner getting hit with all types of closing costs.? There already taking a financial hit, and I don’t want to add to that. any other thoughts you want to add would be great. Thanks

OK thanks, after I wrote my comment I went back to your spreadsheet and I kind of figured that. I wasn't trying to call you out, I'm just learning the ropes myself in the Boson area. I tend to justify my numbers to make it sound like it's a good deal to me. I want to get away from that type of behavior and just do real math, and formulas. I just sold my first flip. I went massively over budget and my comps were 65k lower than i was asking. I got lucky and had a guy come in and offer cash for more than asking, so he technically erased all my mistakes by purchasing my house. I don't want to fool myself and act like I did good at flipping my first house. I made 40k take home but with massive luck as well. Coming back to my point, I'm looking for accurate formulas, data, etc.... for me to purchase again. Thanks for getting back to me.

Bob A

I'm curious too what the Closing cost and holding costs too. Why weren't these numbers included?

Thanks

I bought a house to flip in Rockland Mass. I bought it for 200k and I put 110k into it bringing to 310k total. It was on the market for 380k and I accepted an offer for 385k, and they are putting down 20k. They bank apparaiasal came in at 325k. I'm horrified, and not sure what some options are. After the agents take their 5% and what ever any other taxes of fees involved, I would lose a good amount of money. There is a huge lack of comps in the area, slim to none. The inventory is super low. Does anyone have some ideas? Thanks for reading. 

Hi, I purchased a house in Rockland Ma last May 27th 2016. It is a flip, and i'm getting ready to put it on the market. I am trying to figure out what I will owe for taxes. I'm looking to be creative and maximize my return without " crossing the line" so to speak. Based on what I read, half the articles say a flip doesn't qualify for capital gains, while the other half says " well you kind of do". Anyone have thoughts or ideas on this? Here are my numbers. Purchase price 200k cash. Repairs 70k, selling price 349-359ish. Ive read about 1031 exchange etc, not sure if I qualify for that either. 

Another question I have ,who would i hire to do my taxes. I know a tax guy makes sense but I feel like the tax guy I use is not creative, and lacks savvy. Would I get a tax guy who specializes in real estate, tax lawyer? Ok thank you for your time. 

hi, I just got my first flip and I need 20 windows. I live just south of Boston and we have Home Depot, lowes, or should I go to a place that makes them. I looking for cheap but with some quality to them.  I'm open to any suggestions, even if it's not about Windows. Thanks

Hi, I'm still looking for my first flip. I'm in weymouth. If you come across something feel free to contact me. How is your wholesaling going? I thought about that avenue also but I figure a flip is a good way to get your feet wet so to speak. It's always good to start at the bottom and work your way up. I eventually want to get into developing. Ok maybe we chat soon, thanks.