All Forum Posts by: Dustan Marshall

Question for those of you that specialize in real estate law. I have been looking into legal protection. I have a few rental properties and a large umbrella. But I want to do more. So I have been looking into an LLC. But from my research and talking with local lawyers it seems that a sole proprietorship is often fairly weak. So what is a sole person who owns rentals to do?!?!?!?

lead (and other metals) typically enter the water from the water itself being to acidic and dissolving the lead from the existing plumbing, solder, and fixtures.  I am not sure how the liability aspect would work.  The court system will settle that.  It will be interesting what comes out of the Flint issues.  Many older areas of the country still use lead pipes so it is hard to prove who did what wrong, if you only recently purchased a 100 year old home and did not know what material the water line was.  Or were never required to find out

you are exactly correct.  Cash flow is directly effected my the down payment.  But I have always seen this as, the less money you put down the better the deal needs to be.  Because one of my main criteria for purchasing is amount of cash due to my goal of early retirement.  Almost all of my local banks require either 20-30% down. Or you can do hard money and get closer to 100% financing.  

as other have mentioned above, you will need to know that the floors are able to be refinished... something you can ask when you get bids.  The people at the home depot rental store are very helpful when you describe what you are trying to sand off.  Example: many layers of varnish, just screening, paint....etc.  they will direct you to different types of floor Sanders. I would watch many YouTube videos on that type of machine before the rental day come because you are charged by the 1/2 day.  And material used.  It adds up quickly.  As for the edges and the corners I used a hand sander and what I could not get you can cover up with quarter round trim.

@Joe splitrock. I did this because these fireplaces are not the newer enclosed type.  In fact they are the old open brick fireplace with ceramic logs that have a live pilot.  So I see see this as a liability for families with small children and or pets.  So I just remove the gas line and people usually put candles or other decor on the fireplace.  

To me, as a rental property I disconnect the gas line of possible and put in lease to not use as fireplace because it is a liability.  So when I am purchasing they do not effect me one way or another. And as far as being something tenant looks for.  That is not something I have experienced in my market

Landlording on auto pilot.  Millionaire real estate investor.  

congrats.   What a great topic.  I love how RE Investing goals are different for everyone.  My goals are very similar to yours.  I don't want a huge company or to own a PM company.  My goal is to own enough real estate that my wife and I cam simple CHOOSE to work or not.  My plan will hopefully play out over the next 15-20 years.  Congrats again!!!

may I also recommend paying close attention to your Debt To Income ratio becaue the lenders I have worked with will not accept rental income as part of YOUR income until after 2 years of experience as a land Lord.  But your lender may be different

@criag Moore. I guess that would depend on the amount of capital that you want to use to start with and how much you will want to continue to out in. The BRRRR method can be aggressive (in my opinion). When I started my goal was to purchase one a year. But found that the seasoning requirement required me to wait for 12 months so the refi closing was more like 15 months then I had to find the next property. So I was looking at more like month 18 before I did the next house. But that was because I did not want to put any more of my own $$$ in. I strictly wanted to use the money I was able to refi out of the previous deal. Which forces me to be picky about which purchases I make. Becaue I then have to know what it will appraise for in 12-15 months. I am not saying there is no one buying more than 1 property a year. There are people doing multiple BRRRR each year. But they started by purchasing 2 or 3 and can refi those at staggered times.