All Forum Posts by: Mike Hanneman

In a perfect world 0 consumer debt would be awesome and the goal. However I wouldn't let that stop you from making a property purchase, on a good deal. Who knows what will happen in 3 years, plus in 3 years you'll wish you started earlier.

If you find a good deal, then your debt shouldn't really matter because that property will be paying for itself and a little to you on the side.

Does anyone know of any banks the are portfolio lenders in Coeur d'Alene, Idaho?

Also looking to open business bank accounts, would anyone recommend a bank or credit union?   

There is absolutely no reason not to get an inspection. You are looking at around $400 to get someone to come and see if there are any issues that you don't see. If you can't afford it then you can't afford this property.

90% sure... it only takes one issue to make this a horrible deal!! Get the inspection! 

I can't access this either. I'll try to look it up in the near future. I was never a fan of HOA's to begin with. I don't see this as a problem but then again I need to read the legislature in its entirety.

5:30? or 6:30?

I normally wouldn't go for the low cash flow, but you don't have any "skin" in the game, meaning low risk. I think with this deal I would try to squeeze out as much rent as I could and have a sitdown with him to see if you could get $100 a month in cash flow. Meaning adjust the purchase price or the interest rate. Wouldn't take much.

Don't let a tax be the reason you don't get started!! Will you accept a bonus your job gives you even though bonuses are taxed at one the highest levels, around 42%???

Obviously uncle Sam is going to get his but with the tax code he is very forgiving with people providing housing. 

In a SMLLC the owner/borrower is the same person. You can transfer deed back and forth all day and the ownership of the deed doesn't change because of the pass through of the LLC. So as long as the person on the original loan is the "Single Member on the LLC" You would not have the "due on sale" clause.

However I have been told that transferring the deed back and forth won't lift the corporate veil. This I'm not so sure of.

You are going to want to look at portfolio lenders, not the big banks. Or any bank that doesn't have to market to Frannie Mae and Freddie mac.  You can call to see if they portfolio loan or see if they can use the properties income if it's already producing.

There are no repercussions for being denied a loan per say, You might take a slight ding when the bank does the credit check/pull. I have never seen anything on my reports, and I pull them often, about being denied.