All Forum Posts by: Alex M.

@Ashish Acharya

Thanks for this-- my father and I bought together even though he doesn't want any of the equity (I put about 80% in) and I will eventually use them to pay him a cash dividend in his retirement.  We have yet to figure out exactly how that will work but he's just proud of me that I went from no job to owning 3 strong investment properties. I will run the idea by him

@Spencer Hilligoss  are you referring to Andersen Advisors?

Anyone know about the due on sale clause of transferring property into an LLC vs a Land Trust? My banker told me I could not purchase property with the LLC which is why we put into our own name but ive read you can do the land trust without triggering.

Obviously dont want to trigger DOS but Im also guessing that Fannie only looks into this when the mortgage isn't being paid?

And thoughts on setting up my own S-Corp Management Company?

Hi all,

Im wondering if it makes sense for me to try to set up my own legal entities... I just got quoted $1500 per entity not including filing fees to set up an LLC, and was also told to set up an S-Corp management company "to attempt to shift the liability from the asset holding entities to the management company." and that "You probably should consider a management agreement that contains indemnification provisions for insurance claim purpose as well."

I have 3 short-term rental properties in TN, and run a dozen airbnb rentals out of NYC on leased properties.  Im looking to continue buying more short-term rentals in TN, and perhaps in other states in the future.

Love to hear thoughts on:

1) If I decide the LLC is the right route, does it make sense for me to try to set it up myself as a learning experience or sucker up and pay the man?

2) Is it hard to set up the S-Corp management company on my own or is it best left to the experts?

I want to avoid paying thousands to set up these entities, but do want good advice in terms of protection and specific to short-term rentals.

Thank you

I agree with @Syed Lateef -- however a lower price can make sense if you increase the minimum night stay if you want to be lazy and not deal with so many checkins/outs.   But Ive found that when I allow 1-2 night stays, especially on weekends when I unluckily have 1 Friday or Saturday open between bookings, that it's usually the wrong kind of people coming in to party.

@Nathaniel Busch  I just read the top ten audit risks of 2017 that you published-- really great read and I loved the story line layout!  

I have been emailing a bit with Aleigh, and would like to speak this week if you are free and taking on new clients.  I think your firm sounds perfect for what I am trying to achieve.

All the best,

Noah

Ive found being flexible with guests if it doesn't inconvenience you much is a good practice, but also curious if 

@Luka Milicevic @Nancy Bachety who charges $100 which to me sounds like a lot unless you are charging like $500/night.   Do you get guests who are unhappy/ leave bad reviews if they are charged $100 to check in a couple hours early?

Sometimes I charge, sometimes I dont-- for me its more about the reservation itself.   If the person has been friendly and asks politely I will allow the early bag drop/ late bag pickup of a couple hours.  If they want a FULL early check in (8am-12noon) I will charge something like Nancy's $50-100 depending on how expensive the property is.

I recommend smartbnb which lets you automate a lot of your messaging.   it saves you a lot of time

Thanks, yes ive read all of these threads.  Looking for some new material.

Anyone worked with Anderson Advisors tax/legal team ?

Does anyone have any good substitutes for them?  i.e. tax and legal under one roof for RE investing?

Thanks

check out SmartBNB and tell Matt and Pierre that Noah sent you 

Mike-- would love to hear about how you manage these properties short-term in these various countries.. And why you think it makes sense to expand into so many countries vs. build a concentration in one other country let's say.  I love it but interested in hearing your thinking.