All Forum Posts by: Jaysen Medhurst

@Tori Smith, sounds like you're in a tough spot. Since there are no bites on the MLS and not enough room for an investor to make a profit, I only see 2 options.

1. Sell for less than you owe and bring cash to closing to cover the difference.
2. Go through foreclosure.

Sorry this deal went sideways on you. Good luck.

Hi, @Account Closed, I've shared my thoughts on this before. BTW, I don't think there are "F" properties, just A–D.

@Chad Lowans, you have a couple of options. You could just go in as partners with your friend. Maybe an LLC where you are both members.

When you get to more than a few people investing, you enter syndication territory, which is very complicated (and expensive). You don't want to do that wrong as the SEC has very specific rules about who can invest and the paperwork required. 

The deal you describe is much too small to be worth syndicating.

I say partner up. 50% of a good deal is better than 100% of no deal.

@John Smyth, depends on a lot of factors, but shouldn't be longer than a few days, unless there are outstanding circumstances.

@Aaron Anderson, there is no status update. No tax plan has been put forward by the House or Senate. Even if 1031s are put up for phase-out, it's a long way to having that bill passed in each chamber and then signed by the president...a real estate "investor" himself.

@Toni Annis, I'm not tax lawyer, but I don't think this would qualify for a 1031. Your hold time is way too short. Typically, the IRS likes to see at least 2 years. 

So, there's no depreciation...sorry to be the bearer of bad news, but don't let that deter you. You still made $17,600 in 3 months. Nothing to sneeze at!

@Christopher Doyle, my wife and I went through the same process when we left NYC a few months ago.

We initially looked into multi-families. The challenges we found were that:

1. Even in a great town like Greenwich (Fairfield in your case) the multifamilies are in neighborhoods that were not desirable, at least not now that we have kids.
2. Multifamilies are expensive in an expensive town. We looked at a duplex that was over $850k. The compromise wasn't worth it. Even with $2500 in rent from the other unit.
3. Don't expect cashflow. The more expensive RE means cashflow is very difficult to attain. 

That being said, we found a great coop and haven't looked back. Feel free to reach out with any other questions.

@John Smyth, yes, my compliance officer told me that if I form an LLC, that's a clear case of needing to preclear as an "outside activity."

Since owning an investment property is essentially an independent business, I have to let the bank know.

@Shaun Hunt, get those kids on the payroll. There are a lot of tax benefits. You can fund retirement accounts for them through your properties/LLCs. Might also be able to to 503(b)s. 

Talk to your accountant, you may be leaving a lot of money on the table.

@John Smyth, I work as a bank in the city as well. Talk to your compliance officer to get the specifics. I have to preclear any outside activities, particularly if purchasing through an LLC. I also can't be involved with any REO/Shortsale properties where my bank has or services the loan.

Are you communing from Avon to the city? Jeez...

Also, how are you finding the time to wholesale? I think you could have a better return on your time investment.