All Forum Posts by: Michael Plante

Hello all,

We live in the SF bay area and in a certain city we have property in, the city has sent letters to us requiring us to have a business license for our commercial property that we rent out. Can someone explain how its legal to require this of the property owner and not just require it of the occupant (if they are operating a business out of it)?

Any advice?

4-5 units to get by ($50k/year) I stopped at 12 which was farther than I needed to go (>$200k/year). But I live a pretty simple life in a low cost state with no income tax. I spend 15-20 minutes a month on bookkeeping and every 2-3 months I have to approve a repair. Try not to use up your energy and cheap/easy loans buying cheap properties. More expensive properties actually attract lower maintenance tenants. Your experience may vary. 

FL is a big area, anywhere in particular?

If I were to Net 1M in my market, I would have to do about 1.3M in gross sales. In Louisville, KY, my average flip profit is 30k. So I would need to do about 43 flips per year. At that volume I would want to have at least 4 different GC's running the projects. To find that many deals I would be buying from other wholesalers and doing my own direct-to-seller marketing. 

Michael,

Another play thats not often talked about on BP is flipping plats.. I funded a 80 lot plat for my Orlando vendor and I think it was in Deland  or one of the cities north of Orlando..  he got entitlements to it and then sold to DR horton.

we made a very nice chunk as these are more equity based loans then he made a million or so selling to DR and I funded 90% of the deal for him  for for about 100k out of his pocket and then a year to get entitlements and probably another 50 to 75k in consulting engineers he made a nice wack..  I have seen folks 1031 these deals too if they dont create inventory and it takes longer than a year to do it.. but do not take my word for it..  I have flipped a few plats in my day as well. With profits north of 500k per deal..  My current plat in Orygun right now I have an offer from DR that would net me about 1.8 and i think i could 1031 not sure though.  but I can build out and more than double the money plus i cant replace the lots so I would be out of business. I hope i am doing the right thing :) 

Biggest bang for the buck i see is tying up farmer dirt getting entitlements and flipping..  entitlements though of course are not a given and there is a lot of stress working with our cities and counties. And each and everyone them is different. 

Hi, I need some help with a rehab.  I had a foreclosure that I had rehab'ed and it was rented for a year.  Now I am trying to get it re-rented and the crew noted that the ceiling paint which was just redone last year, is peeling again.  I had a painting crew come who said it was because of moisture from poor ventilation in the attic.  I had them redo the whole ceiling.  They sent pictures of the finished job.  Then today they said they went back and said there are again "a dozen spots" where it is peeling.  I asked him how this could be.  He stated "There is no water leaks. Just condensation for the roof/attic having no ventilation at all." and then said "We think it could be this. Something is causing the mud to not adhere to the drywall from the attic area."

Can condensation really cause this in a mater of days?



This is the ceiling during the repair

This is today