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All Forum Posts by: Jerel Ehlert

Jerel Ehlert has started 7 posts and replied 851 times.

Post: 40K Profit Deal In Texas

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

Good job @Jordan Williams.  

A couple of corrections regarding points of law in Texas (based strictly on the facts stated, there may be other, counter-veiling facts):

  • Statute of limitations starts to run, on a real estate lien note, from the date of last installment. Typically that's 4-years from the maturity date on the note.  Different from your usual debt which is 2- or 4-years from the last payment.
  • Depending on time, you can submit a secured claim to the probate case if there was one filed.  
  • You can also open probate, if needed, for a judicial foreclosure on the vendor's lien in the deed.  Nearly identical to non-judicial, just filed with the court.
  • While TX has a short foreclosure process, be mindful of Federal regulations regarding consumer foreclosures.  Under normal circumstances, CFPB requires 4-month work out period.  
  • Also, eviction after a foreclosure requires a 30-day notice to vacate.  Many confuse that with the 3-day notice.

Non-legal points:

  • Uncertain of your method, but FedEx or other carrier is preferred over regular 1st class for making sure mail is delivered.

Post: TREC forms for non members

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

TREC is good for anyone to use.  It is an overall balanced contract between seller/buyer.

TAR, even for licensed agents/brokers, has several critical issues that could make enforceability in court impossible. A landlord could be open to further liability (exceeding the value of the property) if enforced or not enforced *precisely* in the right way.  The Texas Association of Realtors are one misstep away from loosing their charter in court with that instrument and it gets more one-sided each revision.

Post: Need an attorney to do a quiet title suit in San Antonio Texas

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

Texas courts call it a "Trespass To Try Title" or TTTT, but it is pretty close to what other jurisdictions call quiet title.  Time and costs are directly related to how much the FACTS and LAW favor your position.  

Good facts and clear law, maybe *MAYBE* $5000 and six months.  And that's if no one opposes your position - just need court to bless what you want to do (e.g., lost a deed).  

Average case with nominal opposition and no law clearly against your case, $8,000-10,000 and 18-months+.  It just gets worse from there.

Post: Should newly added Tenants Pay additional Deposits?

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

@Account Closed you have to delineate Constitutional rights v. family law issues.  Under Moore v. City of East Cleaveland, SCOTUS struck down zoning which prohibited a grandmother from raising her grandchild in the same house because the statute intruded upon the "sanctity of the family" (and other issues).  That was in 1977.  There are other Supreme Court cases that strike down cohabitation restrictions, and it doesn't matter if they are "still on the books", those laws are VOID without further action.

Family courts can set reasonable restrictions on an individual basis "in the best interest of the child" (that's the standard in Texas).  

If a landlord wants to push the point, person is still on the hook for rent unless the lease says otherwise, but the landlord has a duty to mitigate damages.  The smart play is to get the court-ordered occupant out ASAP and move on.  If there is a (soon to be ex-)spouse still living there, have a candid discussion quickly.  Get a realistic assessment to see if they can pay all the rent on their own.  If not, assist in moving on.

Statutes that affect large populations v. courts ruling on individual cases.  See the difference?

Post: What to look for in an attorney for RE Investor

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758
Originally posted by @Ned Carey:

@Austin Ralls Make sure any attorney you use for tax liens specializes in that area. It is very specialized and attorneys new to the subject screw it up all the time.  Tax sale is basically all my tax lien attorney does. 

Regarding an attorney for your other work I would ask other experienced investors in the area. Try local investing groups. Most attorneys are happy to take you business even in areas that they don't specialize. Find the guys that regularly do real estate work for investors.

 "Specializes" and "specialized" have legally significant meanings in Texas (and most other jurisdictions).  It means that the attorney has a minimum number of qualified years/hours in that area, sat extra exams, and is designated by the Texas Board of Legal Specialization.  So, I would disagree with that part.  Many believe that it is merely a way that the State Bar generates added revenue and protects certain practitioners.  

Tax liens have many technical aspects that your attorney needs to be aware of, and well versed with issues particular to the practice area.  Same is true for most areas of law that real estate investors come into contact with.  Better question is how many of x-type transactions have they handled?  Generally, without violating attorney-client privilege, were the results positive/negative/mixed?  Do they invest in real estate themselves? etc.

Post: How to Structure Private Money Loan

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

As a Texas attorney, I draft these quite often.  1st lien promissory note and deed of trust.  I always work for the lender, even when the borrower makes the request.  When the "title company" drafts, the attorney works for the title company and has no duty to either borrower or lender, so be careful in that situation.

Treat your lender/friend with the same respect and care you would a HML or bank. More so, in fact, because most other lenders know how to look out for themselves in the market.

Post: LLC Foreign Entity question

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

I'm only licensed in Texas, so MO-specific answers should come from an attorney licensed there.  In Texas, "doing business" does not include buying/selling/leasing real property.  You can defend a suit, but would be unable to bring claims without registering as a foreign entity, and an eviction is a suit.  

Like @Greg H. mentioned, there is no annual fee.  The Texas Comptroller (state tax collector) requires a reporting.  For many SMBs, the threshold for having to pay is so high that most file "no taxes due" but it is possible to owe (luck you for making that much).  That filing also acts as your annual information filing with the SoS.

Post: Should newly added Tenants Pay additional Deposits?

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

Do any of you with high opinion of moral authority want to get into the business of telling who can be in a relationship with whom?  

There is case law (SCOTUS) prohibiting property associations from restricting occupancy based on lack of family connections.  I don't see courts being any more forgiving to landlords, should a tenant bring a suit.  Tex. Prop. Code Sec. 92.101 sets the max.  If you want to set a policy across all your rentals, put it in writing, publish it to all tenants/prospective tenants, and apply it to all.  Keep in mind, the more "policies" you have, the more complex your business, the more time/energy/effort it takes to manage.

Re: extra deposit - Your deposit is what it is, regardless of the number of occupants, weather there is 1 tenant or 5 tenants, 3 of which are minors.  When your rent went up, that was the time to assess an increased deposit.  I think you would be out on a shaky limb to try to collect now unless they were MTM.

Good luck.

Post: Record of Survey - important ?

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

Not licensed anywhere but Texas, so in general terms, there will be an official plat or map showing a large number of parcels that your *long* legal description will reference.  Boundary markers, especially if last done was in the mid-1900s, may be natural "monuments" (e.g., stone fencing, trees, rivers, etc.).  A new survey will probably convert to satellite geo-coordinates.

Besides, if you are borrowing money, your lender will almost certainly require a survey.

Post: My Tenant is Out of her MIND!

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

@Ronald Rohde might be a fit.  Process is pretty straight forward.  If the occupants start intentionally damaging the property, call the cops and file a criminal complaint.  Same for suspected criminal activity.