All Forum Posts by: Matthew B.

Jess,

If you're talking about buying the properties at the courthouse auctions, then yes, I'd say it's getting much harder to find deals. The reason is that there are so many wannabe investors showing up and bidding up the prices. This is ruining the deals for everyone. I know some investors who have a buddy system at the auctions, and they take turns bidding so they don't bid against one another.

@John Rooster, that does make logical sense, but I'm not sure how it works here in Florida.

@Darrell Shepherd, I was a process server in a previous life, so I know firsthand how difficult it can be to catch people. I've sat outside many houses in my life waiting for the defendant to leave for work in the morning.

I'm sure there must be a way to serve via publication after making a reasonable attempt to serve them in person. If not, a person could theoretically avoid ever having a judgment against them if they were good enough at dodging the process server. They would almost be above the law.

@Account Closed, I know certain case types are able to be served by publication here in Florida, but I'm not sure if suing for past rent is allowed.

@Nicole A., the 3 day notice comes before the 5 day summons. The 5 day summons is simply for possession of the property. It is not a suit for money damages. The 20 summons must be served on the tenant if the landlord wants to receive a judgment against them. The 20 day summons can be served on the tenant even if they've already moved and are living at another address (provided you can find them). It's basically a civil suit. That's what I'm referring to. A tenant that was evicted and now is avoiding the service of process at their new address.

@Darrell Shepherd, this particular guy does have assets. He owns a company and several vehicles.

BP,

Has anyone had any luck getting a judgment against a former tenant if the tenant avoids the 20 day summons and cannot be served? The eviction is the easy part. The 5 day summons gets posted to the door even if the tenant doesn't answer. But a 20 day summons (the one that needs to be served in order to get a judgment) has to be served to the tenant and cannot be posted. Any thoughts?

I'm in Florida, so hopefully someone local can chime in. I know the laws vary greatly between the different states.

Thanks!

Thanks, @Steven Hamilton II! I really appreciate the feedback!

Address 1 Supplies & Materials was supposed to be a sub-account of Address 1 Improvements, but I lost the indentation when I posted. Same with Address 2 Flooring and Roofing.

Thanks, @Steven Hamilton II! So what I referred to as a capital improvements account is actually a sub-account of the building account? Like this:

Fixed Assets
Buildings
Address 1 (Purchase Price and Acquisition Costs categorized here)
Address 1 Improvements (Renovations, etc. categorized here)
Address 1 Supplies & Materials (i.e. trip to Lowes for ceiling fans, faucets, caulk, screws, paint, appliances, etc.)
Address 2
Address 2 Improvements
Address 2 Flooring
Address 2 Roofing

Do I have the right idea?

I have some fun accounting questions I'm hoping someone can answer.

So I'm pretty sure when I purchase a house to flip, it is recorded as inventory, then expensed as cost of goods sold when the house is sold. All of the other rehab costs are recorded as cost of goods sold as well.

When I purchase a rental, I believe it is recorded as a fixed asset, separated into building and land accounts proportionately for depreciation purposes.

Here's where I have questions. Any improvements done to the property prior to renting it are considered improvements to capital? Total money invested in the property would be fixed assets (land + building) plus capital improvements? Any work done after renting (i.e. fixing the tenant's toilet) would be expenses?

I'm just trying to get some clarification since I've seen a lot of conflicting information. I use Quickbooks Online to keep records and I want to make sure I am recording things properly.

Hey Ryan,

I've had success with simply printing my yellow letters on yellow copy paper without the lines. Don't get caught up in all the details.

If you're hell bent on printing lines, it's far easier to get a color printer and just print the lines on both sides of the paper along with the text. This will cost you some more time and ink, but the paper will feed great and you'll have lines.

I still don't understand how people get yellow legal paper to run through the printer correctly AND get the font to print just right so that it looks like it's written on the lines. Legal paper is much lighter paper, 16lb., versus copy paper, 20lb. or heavier. This makes it jam very easily.

That's the long answer. The short answer is that you can buy it on Amazon without the glue. Check out this guy's blog:

http://www.adventuresinbayarearealestate.com/2013/02/04/how-to-guide-yellow-letters

He has a link to the supplies and you can find the paper there.

Good luck man!