All Forum Posts by: Nate Mao

got it, thanks all.

Ok, I am confused too, Its my first time need a HM. here is what exactly on my email from the HM lender:

""We prefer to fund vested to an entity (LLC, or Corp.) however for your first deal or two we can fund in your individual name. Funding to family trusts (Irrevocable Trusts) is doable, but complicates matters. We will fund to a Self-Directed IRA. We will NOT fund to Title Holding Land Trusts.""

Thanks all, I also wonder how much is the bond should a general Contractor carry? I have a contractor only have $10,000 bond.
and he has a workman comp with "STATE COMPENSATION INSURANCE FUND" and it has no limit.

anyone heard of STATE COMPENSATION INSURANCE FUND?

actually I don't really know what it means that"we(hardmoney lender) only fund to to Self-Directed IRA" ? I don't have IRA account.

I have a deal try to get hard money financing. I have been told that as an individual without an llc or corp, they can only fund to Self-Directed IRA.

does anyone know why? and how does it work?

I see a lot of realtors in my area hire GCs to do the work. I don't think they can be at the property once a day. depending on how good is the GC?

I have a full time job, and is this possible for me to flip the property? It require a lot of work such as roof, landscape, painting, kitchen, bath, and deck.

I try to hire a general contractor which claimed have all required insurance and bond.

I am a little concerned do to I see the bond amount only $10,000. and his insurance is a businessowners policy and looks like he used his home as insured address.

The link to his insurance copy:
http://www.fileswap.com/dl/JZwaeMVqTi/liability.jpg.html

I also have question on what is the bond used for and the liability insurance? and how much is enough for the workman comp?

it is a raised foundation has a crawlspace and cripple wall

I have seen some properties which with very attractive value. However the foundation has issues. I heard if the foundation is high enough, it is much easier to replace the foundation and much cost effective due to contractors have space to work with.

Is that true? most of the properties in my area are with age 80 to 100 years.

I was lucky enough to find a GC which can do almost everything, the company is having 20 employees and with workman comp and liability and license.

My question is how can I manage the project with this contractor while I am a full time employee? I was advised that the payment terms can help, such as if they finish one item and then I pay that item, I need a new roof, new furnace, new kitchen , new bath, refinish floor, painting, and new windows, and I need to have a strong contract for every aspect.