All Forum Posts by: John Clevenger

Hey everyone, 

I'm a real estate agent in Indianapolis and have been struggling to decide on how to structure my income. 

As you can assume I'm a contractor right now however was curious about the benefits and challenges that come along with having an S-Corp or an LLC. More specifically, would one recommend getting a corporation as an agent when your income is mainly commissions.

Any advice is helpful!

I would try to steer clear of putting a STR in your own name. More people living in the home invites more risk and liability and it will only be a matter of time. With rates going up I would try to secure the DSCR loan you have on the table.

Isaac, I'd refrain from paying off your debt immediately as long as your making a higher interest rate on your cash than your interest rate on your debt. For example, if your debt has an interest rate of 5% and your money invested elsewhere (Real Estate) is making 10% then you are making the difference of 5%. 

In regards to the stock market, I don't believe its necessary to have before investing in real estate. 

Great questions!

@Elijah Robinson

Sounds like your not looking to move but may have some out of state markets your interested in.

I personally help out of state investors find properties here in greater Indianapolis. I would start to network with property managers and agents in markets your interested in then have them start to send you deals!

@Isaac Bartels

I think reading and listening to podcasts is a great way to continue to learn. Any way you can increase your exposure to the industry is great! I do both on a daily basis!

If your interested in the low or no money down approach. Read this book https://www.amazon.com/Book-Investing-Real-Estate-Money/dp/1947200976/ref=asc_df_1947200976/?tag=hyprod-20&linkCode=df0&hvadid=459680637280&hvpos=&hvnetw=g&hvrand=8888722271659907663&hvpone=&hvptwo=&hvqmt=&hvdev=m&hvdvcmdl=&hvlocint=&hvlocphy=9016149&hvtargid=pla-918173009422&psc=1

@Ryan Zimmerman

Awesome that’s a great goal! Now is a good time to buy too as it’s shifted away from being a sellers market. I’ve noticed myself as well as the rest of my team have been able to negotiate quite a bit on price and even have sellers pay for items on the inspection report as well.

Nevertheless what markets are you thinking of investing in?

@Ryan Zimmerman

Happy to see you here!

Do you have a goal/timeframe in mind for your first deal?

@Matthew C Dominy

Love to hear it! Welcome!

Any markets you have in mind?

@Isaac Bartels

Congratulations on your nearing graduation!

It sounds like you have a rough idea of how you want to achieve your goals for the future and are trying to work out the details.

Given you’re a civil engineer I’d assume you have, or will soon have, some exposure to the development process. Therefore, in a broader sense, I would try to look at the jobs/projects you work on through a real estate investor lens. Any exposure to real estate will be helpful in your investing journey, and being able to do so while at your everyday job is a huge bonus!

On a more specific scale and something you can begin to take action on today, try to get a side hustle to get your income up then focus on getting your first house hack! There are ways to buy houses with little to no money. Find the best fit for you and start analyzing deals!

There’s no doubt in my mind that with commitment and consistency you’ll achieve the goals you seek!