All Forum Posts by: John Clark

Hey there! I'm new to the REI space and I'm looking to start investing in Baltimore. I've chosen wholesaling as my first approach since I don't have a ton of capital up front to do a BRRRR or flip. I'm currently traveling abroad since my spouse is in the foreign service, so I'm looking to do this from afar.

I lived in Baltimore before recently moving abroad, so I know the landscape of the city a good bit. I'm looking for any advice you all might have on how to talk to sellers from afar and how to navigate showing buyers the house. Do people ask their friends to go? Use realtors? 

Also, any connections from the Baltimore area or traveling spouses would be greatly appreciated! Thanks you guys!

I am leaning very strongly toward shortly creating an entity that will let me be taxed as an s corp. It could be an actual s corp, or—option two-- I could create an LLC and ask that it be taxed as an s corp. I would like for the participants with experience in this area to give me their thoughts.

I would like to have a clearer idea of what aspects of s corp regulations kick in if I ask for my llc to be taxed as an s corp. Having something that will always be a one-person business, I hated the thought of needing to have a board of directors, and even having periodic meetings. I am told that with option two there is no requirement to have a board.

With an s corp I need to have a payroll, issuing myself checks, deducting taxes, and sending them to the state and federal government. Am I correct in assuming that with option two, this wold be one of my obligations?

The only feature of the s corp is the tax savings it makes possible. It allows me to pay myself a “reasonable” amount as salary, but transfer to myself the balance as “distribution” and pay no personal payroll tax (medicare, social security) on this balance.

So I would like your feedback, based on your experience, on what other aspects of s corp rules and compliance would kick in if I opt for an llc taxed as an s corp.

So you succeeded in your first investment. Not everyone does. The difference between you and I, is that I'm not afraid to share my nightmare on Biggerpockets, because I learn from other investors that are respectful and don't need to berate me. I deal with reality instead of tooting my own horn so that everyone can see what a wonderful and successful person I am. Everyone makes mistakes, but at least I own mine. So you've never made a mistake in RE in your life. Woopee!! Maybe RE isn't for me, but I'm not about to let someone's pessimism get in the way as if that's a reason to give up. RE is different for everyone. Experiences are different and cities are different, but I'm sure you're old enough to know that. So YOU"RE WRONG about Hartford, some neighborhoods do decline quickly there. You're just comparing the areas you have your investments to Hartford, CT, which is seems ignorant to me. Ask anyone who knows that city and they'll tell you the pockets that can change a neighborhood from C to D to F, just by going to the next block. I got knocked down and now I'm getting back up. That's all. I now know which questions to ask, which areas to stay away from. Mistakes are to be learned from, so save your arrogance for someone else please. You'll fail big time one of these days. Trust me.

Your ignorance is so typical of what exists in this industry. Are you from Hartford? Do you make assumptions on places and base them on where you live? Are you saying that I'm a liar and that when I bought the place the crack house and brothel were already there?? No they weren't, because I didn't see them when I inspected the neighborhood. They get chased out from other neighborhoods, but it seems you lack the basic common sense to realize that. Why can't you accept the fact that they MAY HAVE come after I bought the building? Is that not possible to you? Cities run out funds all the time. They allow their neighborhoods to tank because their focus is on more upscale areas that pay higher taxes. Were you perfect in your first investment? Does everything you touch turn to gold? How many mirrors do you own? Just wait when Karma catches up to you sir. Good luck is like bad luck. It has a beginning, middle and end. I'd have to question your mental acuity too and wonder how you speak to your wife or kids like you do to other investors here. Get a life instead of harassing other investors from behind a keyboard. 

whats the reality of Auto industry popping back up in this area.. can the existing factories be put back into service in a  reasonable amount of time.. Will Detroit and MI  fast track any new facilities like Texas did for Tesla.. ?

Could now be the time to jump back in and buy in the very best school districts ? 

It wasn't overnight. According to the PM, the city was making efforts to clean up the streets around my neighborhood. When they got to my street, they stopped. Funds may have run out. Police force reduced. I don't know. Hartford has pockets of bad areas. My street had a crack house across the street and a brothel a few doors down. You cross the avenue onto the other block and it turns nice. This wasn't anything I could control

Hello everyone! I’ve received a lot of helpful responses on my recent posts—thank you all for your time and support! I have another question today. My husband currently has a 30-year fixed $315K mortgage that was secured around November/December 2023 at a rate of 7.99%. With mortgage rates trending downward lately, should we refinance now to secure a lower rate, or would it be better to wait until autumn for a potential further drop? I found several online opinions suggesting that high refinancing costs might negate any monthly savings for a couple of years. Given that a rate cut is anticipated later this year, do you think refinancing is the right move? For reference, his credit score is over 810.