All Forum Posts by: Daniel Karbownik

@Brian Burke Thanks for your input Brian!  I have also had no idea of what the cost would be.  I agree $10-25k should not be a deal killer.  

@Amy Wan I will DM you!  Thanks !!

I am pretty clear on the need to follow SEC rules for a syndication.  However I can't find any information anywhere on smaller deals that might not warrant the cost of an SEC filing.  For example, I'm looking to buy something relatively small - around $1.5m - $2m.  My plan (in my head, anyway) is to raise 25%-30% equity from a few different high-net-worth individuals, then go to a bank for a commercial loan for the rest.  Is this something that would require getting the SEC involved?  I'm sure smaller deals like this happen all the time, but I can't see how it justifies the cost of the SEC filing.  How would one go about doing this?

Thanks @Eric Waterman  I'll PM you @Timothy Casallas

well yea hell get 105 out but for being in for 175k to only get 105 out is leaving a huge chunk of cash in the deal.  Where's the equity???? 

Something is funny about these numbers. You're in for 175k and can only rent it for 1k/month? That sounds terrible. 

What's the market value of the home? Based on the loan you were quoted, I'm inclined to think it's less than 175k. I think you grossly over paid for the property, or you are grossly under renting it. Somethings not adding up here

the loan is less than you are in for. You won't get any cash out. Am I missing something here?

Dan,

Are you a programmer? Only a coder would start their paragraph with hello world.

Are you familiar with 1031 exchanges at all? Because the strategy of a 1031 is contradictory to the strategy of selling your rental using seller financing or leasing to own.

A requirement of 1031 is to not touch the proceeds from the sale and use a qualified intermediary to handle the funds. If you were to hold a note, collecting your mortgage payments directly would disqualify you from using 1031. Not to mention the time line you have - the idea is to take the profits from the sale and roll them into the next house, and you must do this within a strict timeline. How can you do that if you don't cash out all of your equity at the time of title transfer? 

well I would start by asking yourself exactly why are you thinking about adding another partner?  What is your need for the partner?  Do you have too many projects to handle between the 2 of you? Looking to spread risk out more? You guys are deficient in certain skills and need somebody to fill the void? Bored? 

I think figuring out why you want another partner will help you answer the question of what to look for in them.

@Mary Hasnon yea doesn't make sense to me either, unless you are trying to severely screw the person you're selling the LLC to.

I am an agent - I don't particularly focus on it, and I have never tried it for a client, but I have tried it at length for myself for my own rentals. I went through a month phase where I was throwing out creative financing offers at several properties a day. 

Nobody agreed.

The main challenge I found was that since you have to deal with an agent on the other side and can't talk directly to the seller, it severely handicaps your negotiating skills. You can be the best talker and the smartest guy in the world, but you have to present your ideas to an agent and trust them to understand it enough and be on board enough to turn around and relay it to their seller. More often than not I think the agent on the other end just didn't understand my ideas and couldn't convey them. And they would not let me speak directly to their seller. 

That's not to say it's worth trying, but it is to say that there are probably better avenues to reach sellers directly to try out some creative stuff than going through the MLS.

just realized youre in asbuy.. private message me and we can discuss further