All Forum Posts by: Jason Shackleton

Quote from @Ethan Neumann:

Quote from @Jason Shackleton:

With your success it looks like you can hire someone to handle direct to seller acquisitions for you in house. Let's say you scale to 4 deals a month with an average wholesale fee of $15k per deal. That's $720,000 in wholesale fees that you would be paying per year. There is room here to add an acquisition specialist, hire a marketing company and put a bunch of money in your pocket. Good Luck!

 There is def some room to add that, however, there is a lot of time, attention, and brain power spent on that as well. I would like to keep my operation as lean as possible on the marketing side and focus fully on deals, project management, rehab, etc. 

That said the answer is likely to simply get on the list of and build more relationships with wholesalers. 

Let's say you just completed a renovation project and the appraisal came back higher than you expected for once. You now have an opportunity to pull out a ton of equity with a cash out refi. Would you do this even if it meant the property would be put into a negative cash flow position?

I personally would only put the property into a neutral cash flow position. I don't like the idea of holding any negatively cash flowing properties. I am curious what other BRRRR investors would do in this scenario.

With your success it looks like you can hire someone to handle direct to seller acquisitions for you in house. Let's say you scale to 4 deals a month with an average wholesale fee of $15k per deal. That's $720,000 in wholesale fees that you would be paying per year. There is room here to add an acquisition specialist, hire a marketing company and put a bunch of money in your pocket. Good Luck!

I've been observing a trend among developers lately. It seems like many are putting their building plans on hold due to the current high costs of development financing. Understandably, everyone is waiting for rates to stabilize or, ideally, decrease significantly before starting into new projects.

However, it got me thinking, if a considerable number of developers are reaching the same conclusion and delaying their projects, could this actually be a great moment to consider starting your development?

By initiating your project now, you'd be ahead of the curve. While others are holding off you could be making progress, ensuring that your supply is built and ready to hit the market before the majority of developers who are waiting to build.

Considering the ever-evolving landscape of Short-Term Rental (STR) regulations, What are the best 5 states in your opinion to build a STR portfolio starting today? What States are STR investors buying in right now?

Quote from @Bill B.:

You purposely want to be responsible for any lawsuits or tax liabilities of an existing company you know nothing about? Why?

I’m paying waaaaay less if I have to take that risk instead of just the land. Am I’m shutting it down asap. 

Yeah I am likely just taking the land at this point and letting her dissolve her entity. Paperwork would have been in place to avoid any liability you referred to. For contect entities that are set up for Canadians investing in the US properly start at $5K. I know the operator well, the lawyer that set up the entity structure and the CPA that does the filing. That said there was an angle to obtain the entity structure as well (asset for Canadian Investors) however the risk does not outweigh the reward.

Quote from @James Wise:

Quote from @Jason Shackleton:

A contact of mine is looking to assign me ownership of her Ohio based Corporate entity. This is a C-corp with an LP under it (the LP owns the land). She had a portfolio of 25 homes in Ohio but she sold them. The entity still holds two pieces of land in Cleveland Ohio. She no longer wants to invest in the US and doesn't have time to sell the land. She just wants to move on and focus on other activities. We are both living in Canada and that said the entity is set up in a way that it is tax advantageous for Canadians.

I know that if I were to form my own US entity we can easily do a quit claim deed on both pieces of land to add them into my new entity. However I want the current corporation set up as well.

Is there a way for me to easily obtain ownership of this corporation? If so, what should I look out for in this transaction? Possible back taxes etc? Thanks!

 What kind of lunatic buys land without getting a title search? That's crazy bro, don't do it.

 Agreed. Title search would happen for sure. 

A contact of mine is looking to assign me ownership of her Ohio based Corporate entity. This is a C-corp with an LP under it (the LP owns the land). She had a portfolio of 25 homes in Ohio but she sold them. The entity still holds two pieces of land in Cleveland Ohio. She no longer wants to invest in the US and doesn't have time to sell the land. She just wants to move on and focus on other activities. We are both living in Canada and that said the entity is set up in a way that it is tax advantageous for Canadians.

I know that if I were to form my own US entity we can easily do a quit claim deed on both pieces of land to add them into my new entity. However I want the current corporation set up as well.

Is there a way for me to easily obtain ownership of this corporation? If so, what should I look out for in this transaction? Possible back taxes etc? Thanks!

Hey @John S.

Congrats on your recent exits. I know a lot of people in the MCA and business funding space. That business is definetly a grind. However as proven by your success it can be very profitable. 

You have provided two investing strategies. One is using max leverage and the other is using none at all. Perhaps a blend of the two might be a better fit for you. 

Quote from @Saul L.:

@Verity Macdonald - I dont think you are going to get much traction for this query on BP. This site is primarily US focused. You might want to try : https://propertyhub.net/forum/ which is UK based- or better yet- consult with a local real estate attorney.  This looks to be a legal right of access issue.

 Thanks for the forum Tip. I have been looking to connect with UK investors recently. Do you have any other forums that are UK based that you like? Thanks, Jason