All Forum Posts by: Jerel Ehlert

Seller assigns the leases to the buyer.  Seller should also send notice to Tenant that lease has been assigned and should send rent to new place for payment, signed by Seller and Buyer.  Be prepared for T to keep sending 1 - 2 months of rent to old place.  Forward to new.  Deposit is Buyer's responsibility to return under Tex. Prop. Code, but whether it is turned over or credited to Buyer, is up to your negotiations.  Buyer entitled to full files on T's at least by close, but may be negotiated when in the pre-closing process they get the files (copies).  Failure to disclose is Seller's biggest issue.  If you turn over everything you have by/before close on the Tenants, Seller shouldn't have much of a problem.

I am NOT charging enough if lawyers are charging $5K for a trust. :) 

OK, my first question would be: What is your goal in transferring title, that you have to address a due on sale clause?  Asset protection...anonymity...something else?

For asset protection, insurance is going to be your first line of defense.  Make sure properties are covered with an appropriate level and type of insurance.

After that, an LLC is probably the next-best step for most. Maintain the formalities.

A trust is probably too much of a pain to deal with for most people.  ZERO asset protection and you have to REALLY trust your trustee.  If you are the trustee, you get zero anonymity.  Don't get sucked into a non-legal trust factory.  Those range on a scale from ineffective to problematic, especially for investors.

For your first handful of investment properties, your focus is probably better off focusing on getting good at flipping or landlording first, but everyone's situation is different.

Most county appraisal districts either post the combined tax rate or link to the taxing authorities' websites.  Get the combined tax rate x appraised value = tax liability.  There is no guessing.  Just make sure you are calculating without any exemptions like homestead. 

I only practice Texas law. The $300 fee to establish a Texas LLC is paid only once, upon initial filling with the SoS. You must file annual information filing with your state comptroller's report (state franchise tax). Most REI companies are under the threshold and file "no taxes due".

I've worked with investors all over Texas.  Most consultations done over zoom.

I've drafted private lending docs for SDIRA account holders.  Seems like the biggest determinant is finding a custodian willing to accept this asset class.

Try Jana McCreary (https://www.mccrearylawoffice....) She's not on here and probably won't remember me.

I'm not licensed in FL and this is just a general observation.  Not every state recognizes Series LLCs (or even know how to relate to them). 

@Dan Maciejewski  Just as an FYI, the Texas legislature increased the jurisdictional limit of justice court ("small claims") to $20,000 as the amount in controversy.  One of those areas where laws vary greatly from state to state.

As against Opendoor, there's little to be done because they never occupied the property.  If they had any of the prior seller's disclosures, that might be something to hang on their neck.  Rain might be an excuse to get EM back.

Austin is a weird market.  Properties are selling for over asking price.

Happy to help.  Based just north of Austin, but represent clients state-wide.  Most consultation can be done over the phone or Zoom.  We use technology to great advantage.

Texas has a TAR lease, but that has a poison-pill if not used by a lawyer or realtor.  I've seen other versions and can advise on most any residential or commercial lease.  Here's a link to the Tex. Property Code: https://statutes.capitol.texas...  Title 8 covers LL/T statutes, with Chpt. 91 and 92 covering residential leases.  Chapter 24, Forcible Entry and Detainer covers evictions.  All residential landlords should forget about claiming any lien against residential tenants.

A bit sketchy on the profile, Marco, so no way to verify you're a lawyer or what your main practice is in.  I find it funny when family law or PI tries RE thinking it's all kittens and sunshine.  Estate planning is worse - a bit like laying mines then strolling through your mine field decades later.  You won't know if something you drafted (e.g., a trust) can blow up in your face until much later.  Often, it is a non-client who brings the complaint trying to break the instrument your client approved.  It's almost worse when you get hired to clean up a FUBAR'd situation because the dead person downloaded something from the internet.

Good luck to you too.