All Forum Posts by: Lawrence Barnes

Hello Biggerpockets family!

I have two investor friends that have acquired an 18-unit apartment complex under sub-to the existing mortgage. The property is in the name of an LLC. They need 10k to pay off property taxes owed on property.

If I give them the 10k, I will have a 1/3 interest in the apartment complex. Of course I will have a business agreement in place stating this.

I want to lend the 10k on terms and would like to receive monthly payments until the complex is performing at a certain standard. 

Here are my questions:

Can I legally have a promissory note with the LLC that has a promise to pay a certain amount monthly and still be a member of the same LLC?

If so, would anyone have a base template of a promissory note that would be good to use?

Thank you in advance BP family, any advice is greatly appreciated.

Hi Bigger Pockets Family!

A investor friend of mine, purchased a 18 unit apt building under lease option with no money down. There are two mortgages that he assumed that total 5500 per month. Each unit is renting for about 600/month and apt is at 90% occupancy.

The property is in good shape structurally but has low-income tenants that are causing problems. 

The goal is for him to slowly replenish the complex with more quality tenants. The taxes are behind 8,000 dollars and there are about 2,000 in repairs that need to be done. 

I can assume 50% ownership for 10k to take care of taxes and repairs. I am wanting to find out if this sounds like a good deal and if so, how do I protect myself on paper and ensure that I am legally entitled to my share of profits?

thank you in advance!

Thanks for the advice Ted. What form of marketing would you say works best works your business?

Hi everyone,

I was looking at some different ways to market in efforts to find motivated sellers for lease option and sub-to deals. I came across a real estate investor named Joe Crump that has multiple videos on Youtube. He has a system called the Push Button Automarketer www.pushbuttonautomarketer.com that is suppose to send out thousands of emails and make phone calls automatically to seller ads.

I wanted to know is anyone has heard of this system and if it is good to use or not? Also if anyone can give any other alternatives to marketing to mass people.

Thanks,

Lawrence