All Forum Posts by: Luke Saglimbeni

@Joshua Knapp I am about a quarter a way through the 16% book he recommends too.  Its not bad.  I am hesistant to go through with tax lien certificates because my state and bordering ones are tax deed states different.  Out of state investing isnt an option for me now as i'd like to build up my monthly cash flow in my back yard; so when if I have errors out of region I have more of a cushion and buffer if and when I fail.  The travel is sort of the reward (The nice doodad car) for all the hard work and sacrifices.  Kiyosaki did it by age 47.  That is our goal too.  Good luck.

@Jeff Byrne I always choose investing over paying off debt extra payments. My rationale is once you spend it it’s gone forever. If you invest it powers of compounding will almost guarantee you make more than the 5-7% juice on student debt or a mortgage. Also factor in if you can’t make the student loan payments, will they forgive you if you default!? I know they will still foreclose in your house if you can’t make payment even if you make extra ones....

Morale of the story, ensure your roi is greater than the debt interest rate. I invested in stocks though as that was my specialty... good luck

 You're welcome hope it helps and good luck.

@Matt Hudson. From a tax perspective, when doing seller financing or installment sales (irs term) you need to make sure the interest rate is above a certain threshold. Unstated interest occurs when not enough interest income is recognized. Thus, recharacterizing some of the principal payments as ordinary income, (taxed at rates usually higher than long term capital gains treatment)

https://www.irs.gov/taxtopics/tc705

Good luck

@Matthew Ewald

In addition to the above: for future reference. Assets and their depreciable time frame are found below. Good luck

https://taxmap.irs.gov/taxmap/pubs/p527-005.htm

@Curtis Mears a learning experience. Since you paid him, you should have your accountant 1099 him. Sort of like payback if your a vengeful karma type of person. Best of luck next time!

I am glad I did my due diligence and followed my gut.   The guy's profile name was John A. Holly out of Oklahoma, his BP account is closed.  I don't mind paying the fee, you can even roll it into the note or take it out of the funds wired to me, but until a promissory note and/or contract is signed, nothing leaves my account.  Everything about him was shady.    What is allowing him/her to just walk away?  Unless of course I can see the lender face to face.  

 after a google search he was sued as shown below.

https://www.pacermonitor.com/public/case/24449702/Red_Crown_Credit_Union_v_Tamer_et_al

Thank you both for your input.  

Investment Info:

Other buy & hold investment in Springfield.

Purchase price: $35,000
Cash invested: $35,000

First rental unit, all cash deal located near new MGM casino in Springfield. Inherited A++ tenant that takes great care of unit and is a handy man. Cashflow is well north of 200/mo and hit the 2% rule

What made you interested in investing in this type of deal?

I am a white collar guy so a condo helps me especially with limited handy man work. Tenant made the decision a lot easier to buy. We had competitors so an all cash offer won out in the end.

How did you find this deal and how did you negotiate it?

Zillow, cash

How did you finance this deal?

all cash

How did you add value to the deal?

accountant and tax guy cuts down on expenses

What was the outcome?

buy and hold too early to tell

Lessons learned? Challenges?

Keep buying more!!! Not a fan of financing as it seems hard to obtain. First few properties all cash will make monthly income more, making financing easier to obtain by self.

Hard to find trustworthy highly held accountable blue collar investors or contractors.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Zaisha Robert is an amazing agent. Working on other team mates now.

@Christian Allen thx man my questions on video would be: does Bt have LLCs and

Can plaintiffs sue future wages if property isn’t in an llc...

@Steven Destine

Private lenders hard money lenders or other types of lenders credit unions credit cards etc etc.

For my llc I plan on making another capital contribution to fund business expansions or open up a separate LLC.

Need to research irrevocable trusts