All Forum Posts by: Jorge Caicedo

hmmm ok let me clarify a bit more..My potential partner is a contractor and the props in questions are rehabs. The hard money lenders he'll be using will do 70% LTV. According to him, w/ a hard money loan, the property(ies) can be refi'd very quickly once they're repaired. Besides, correct me if I'm wrong but closing costs shouldn't be an issue since that should be wrapped into the loan. Also, w/ 11 properties having close to $100k in equity already and even if we only do one a month, pocketing $50kmth over the next 11 months doesn't seem to shabby. Also since the rates for refi have dropped and my credit score being 700+, I don't see any reason why we couldn't qualify for a lower note and make positive cashflow from that by charging higher rents. Of course I'll have to talk to a lawyer b/c there are also insurance issues that'll come up, not to mention how the partnership can be structured to our advantage if we don't do LLC. Any thoughts on this?

Also, he's looking to rent these properties out and the rent, if all goes right, should cover the note. As a partnership, would I make a profit off of the monthly note as well?

I'm gonna partner w/ a guy to do a refi on a number of homes. He needs to have a partner w/ good credit to do the refi since his is not that great. The homes already have close to $100k equity built in. We talked about LLC and partnerships although we're both newbies when it comes to this.
Anyway, I know everyone is really pushing the LLC structure b/c of tax and liability benefits; but wouldn't it be easier to go general partnership and not have to worry about sending an earnings statement or minutes to the IRS? Or will the taxes kill us as a partnership? I know I should be talking to an attrny abourt this but I figured I'd get some feedback from you guys before I do.

steve, well, i put up a post about wholesaling my first 2 deals..but i agree
that wholesaling is very difficult..now if u can just convince the Preston Ely's of the world..lol no offense Preston if you're reading this

well, i'm using a trial version website of one of Preston Ely's sites. my ad reads "I BUY JUNK PROPERTIES", and i put some text and if they submit a lead it goes to my e-mail...as far as my buyers list goes, i put up an ad that says "Fixer uppers available, $17k on up" and the calls came flooding in and when they call, i get all their criteria and add it to my list

TA, you know, i don't know what made it happen..i could call it luck but then again maybe this was that instance of a truly motivated seller and able buyer that RE gurus make the cornerstone of their bootcamps. All i can say is keep at it..i still have a long way to go ..thanks for the kind words gentlemen..

Jason, well I use the online yellow pages, Craigslist, Topix and Backpage and then cross my fingers! lol i just put the site out on as many free mediums as possible..I'll only pay if I feel it'll reach a big audience

Jon, thank you...

Jason, it was through my website. Ironically those are the only 2 leads I've gotten since my site went up 2 wks ago(gotta market) I figure 2 deals a month @ 5-10k per deal is good enough for me at the moment. AsI type this, another lead just came in.....

Long story short, $10k fee on one prop, $2k on another..Eric and Wheatie, if you've been following my posts you've known of my frustration
w/ wholesaling. Well in 3 wks that changes! Also, the buyer wants to work w/me on a regular basis as well! Thanks for the support everyone.....