All Forum Posts by: Marty True

@Kendall Morgan you mentioned that you paid cash for the house. Is it free and clear now? And also, what is the current value? And finally, do you have an income other than wholesaling? Just trying to get as much info as possible to consider options. If your house is free and clear and is worth around what you paid for it and if you have some sort of income, I would think that some of the small banks around Jax would do a $5k loan with the home as collateral, even with bad credit. Try Vystar and Community First CU. (I lived in Jax for 3 years, just moved to Miami Beach)

@John Thedford - I'm not a wholesaler but I am curious about your opinion in this scenario...

I get what you say about a seller getting tied up and in the wholesale/assignment strategy, may waste a lot of time and miss out on other retail buyers. But several of the methods in wholesaling is to find off-market properties where the owners aren't even trying to sell but with the "offer" or idea put in their head from a mailer, they become interested in selling.  In this scenario, is the wholesaler "harming" the owner?  They weren't even trying to sell so this seems like a "no harm, no foul" technique to me.  Just curious of your opinion here because like @Lynne Jacob stated, there isn't a one-size-fits-all in the world of REI.

Hi Jim,

Welcome to BP - this is a great place to start your education and make some great connections! I'm in Jax too - just got a gift certificate to the new Top Golf for my b-day so maybe we can hit some balls and chat REI sometime.

Hi @Bilal Saleem I'd like to connect with you -I have an interest in investing in the Caribbean. I've mostly been considering the Dominican Republic but have also considered Belize and the Bahamas.

Hi Eddie,

Has to do with how LLC's here in Florida are structured - Profit and Loss can be separated out via the operating agreement of the LLC('s) and due to them all being single-member LLC's there is no corporate taxes and they are all pass-through tax models, therefore much of the revenues run through the "LLC expense filter" before it comes to me as "earned income". Not sure how well I explained it for you but it helps me pay a lot less in taxes :)

Yes, that is correct. Any properties under that LLC can be vulnerable to suit from one. The way I'm setup is that I have my main LLC for my company and then each of my buy-and-hold properties are owned by their own LLC however, each of those LLC's are owned by my parent LLC. This was a strategy that I setup through the advice of both my attorney and my CPA,for both protection and tax benefit reasons.

The LLC is first and foremost is for legal protection and also tax sheltering. There are some more granular things to ask here too, like will the LLC be solely for that one property and no other business purpose but to own the property? If so, then you shouldn't need a "business license" (which is an obsolete term now). If you are setting up your REI business and the LLC will conduct general RE business or own multiple properties, then that could change the answer to your question.

Even though the property will be owned by your LLC and even if you have a PM rather than manage yourself, you can elect to have the rental income written to your LLC or to you personally. The "business license" is now called a "Tax Receipt" and you do not pay City/County taxes on rental income in FL.

Disclaimer: I am neither an attorney or tax professional so it may be best to consult one or the other, to determine the best strategy/formation for your case.

Hi Tanner,

Do you plan to have the tenants write their check to your LLC each month or to your personal name?

Hi @Christopher Brown welcome to BP and to investing.  I am an investor in Jacksonville although I'm moving to Miami Beach in a couple months, I will still do deals in Jax. Let's connect!

Hey Benjamin,

Thanks for the reply.  Not what I was hoping to hear but it's good to get some real investor stories on which of these strategies really work.  The books and podcasts by some of the "pros" that talk so highly about creative financing and specifically the master lease, make it sound so great and easy but it really does sound completely foreign to most people that I've talked to about it.  Funny thing is, they ALL say how creative and interesting it is but nobody bites in the end.

Thanks again for the reply and the insight!

Marty