All Forum Posts by: Jason Barnett

With all properties titled to you personally you can expose all of your properties with a single action in excess of the umbrella policy. With each property titled to a separate LLC you would expose only a single property with a single action. Even with an LLC you want insurance; the only question is "how much?"

This is only easy if you have experience as a general contractor. Otherwise you will either need to be selective and buy easy houses or learn how to do all the work for the first one. With little money you might have to look into hard money loans.

The easiest way is to look in the paper and call the ads that say "bank owned" or "REO". Network with the group of realtors that handle these properties.

I have no personal experience with these condos, but I know there are people having success with these investments. Consider researching the locations where baby boomers like to vacation.

Probably smart for your first investment.
You should probably take a small bit out... $4k... and just keep it for emergencies. You will want to have emergency funds at all times.
Credit is not required, but obviously helps.
Yes this is possible although it would take a lot of work. See #7
Certainly possible.
This is not a good approach if your goal is to make 6 figures in a year. See #7
This is tough. In order to accomplish this you would need to earn $910K + living expenses (maybe $70K per year in NJ) within 7 years. With beginning principal of $90K you would need to earn over 40% ROI each year for 7 years in a row in order to accomplish this.

Rental Rule of 100: Rent X 100 = max value

For houses that you plan to flip you just need to find an appreciating market

For houses that you intend to rehab you should look for low days on market

Well yes you want to convince them to sell the house... to you. You can do this by solving their immediate problem that they could not solve for themselves. No judgments here... it's a simple matter of helping people out.

Deposit does not go back to the tenant until you do a final inspection and you are happy with the condition of the property. If there is anything that needs to be repaired / cleaned then the tenant must pay for this (i.e. you just deduct this from the deposit).

You also need to get a sign in the yard now and figure out how you want to advertise the vacancy. Maybe you put an ad in the paper, maybe you put a sign on the corner of a busy street, maybe you talk to the local Section 8 housing authority. Let your tenant know that prospective tenants will be coming through the building and ask what times would be ok (maybe 6-8pm monday - friday). Work on filling that vacancy NOW!

I understand what you are saying; please forgive me if it sounded like I was accusing you of doing something illegal. I certainly didn't intend for it to come across that way.

My only point is that there are a lot of people that think it's no big deal to give a buyer a lot of cash back for "repairs" that the buyer never ends up doing.

http://www.flippingfrenzy.com/admin/uncategorized/cash-back-offers-at-closing-are-illegal/

If you offer these types of loans then there will eventually be someone that tries to pull a fast one over on you (why go for 80% LTV when you can get 125%). Again: I am not suggesting that YOU would commit fraud... but there are scam artists that might try to take advantage of you.

You don't have to sell 100% of the mortgage, you could do a partial.

A cleaner and easier way to do it is to just have multiple notes set up in the first place. 80/15/5 and sell of one of them if you need the cash.