All Forum Posts by: Glenna Wood

Fidelity Investments offers a self-employed retirement plan. I set one up for my one person S corp. I was the administrator. Very easy and no cost to set up just a big  pile of forms. 

I've used Fidelity Investments since 1982. Their built in free "Full view" lets me add non-Fidelty assets and liabilities into my net worth picture.  

If you are in a coastal area with a mortgage the high cost of wind and flood insurance is a fact of life. If you didn't include that in your rental cost analysis (STR or LTR) then that's a big miss. The rental type doesn't matter. If you get rental income the policy will include loss of rent coverage if damaged. This also ups the cost. You might be able to drop that specific coverage but then you have to be prepared to actually lose the income until the property is repaired and placed back in service.

I bought a duplex years ago in Florida that included a shared septic tank clause. Both parties were required to share costs on any repairs or maintenance. The original owner did the work with the county to divide the lot. Tank and drain field was on his side. It also included a party wall agreement which doesn't apply to your case.  So could a shared septic system agreement could be added to both deeds??

Also are the mobile homes "real property" in your state? I had a mobile home years ago in Alaska and it was titled via the DMV. IDK if you would have any issues in TX. 

The land lease idea mentioned above is also a good possibility. The tenant could buy the mobile home and pay lot rent to you.

If it's the county saying "no", I would wonder if are there more issues than the septic system like lot size, access?

Sounds like your main issue is the HOA and voting. If you have your parent's proxy then you have full voting rights. Most HOAs are one vote per unit or lot so I would be very surprised to hear that you get more votes by adding more owners. Don't see the advantage to change ownership. Make sure you understand the details in Dave Foster's post. Avoiding paying the deferred taxes on a 1031 property that likely has handsome appreciation is a biggie and a big benefit to your family overall.

I recently did a cash out refi 2 years on my primary. Hadn't refi'ed a loan 15 years and was very surprised to find that lenders wanted a higher rate for a smaller principle on a cash out refi. Went ahead for "go ahead I'll sign for more" to get the lower rate. With refi rate lower than the current mortgage it only cost about $200 more than my current payment to take out 2 times more equity than I'd planned. Turns out to be a blessing in disguise as the extra cash allowed me to provide help to my family during covid-19. 

The con would be that you would be pulling out a much bigger percentage of your equity than I did. If this is your first time reno and rent project, I would be hesitant about over leveraging. As said above make sure the numbers work for the future rental. Until rent checks arrive it's all fantasy. Don't get rosy. The the extra loan costs on getting any mortgage are a con.

Since this is your primary home, have you run the numbers on simply selling, take your $250 or $500k free capital gains, and split the proceeds into buying a rental and I assume downsizing your primary home?

Without more details on your overall situation can't think of any other cons. Best wishes.

Sounds like you're focusing on startups first. I think there's a market for "refresh" help by doing online consults to rearrange, replace, augment current furnishings. Show before and after designs, colors, items.  I know some OBX PMs are adding in house services to do exactly that. I've had vaca rentals almost 40 years. When I was busiest with work, outside help for this would have been helpful. 

I bought a "copper" lined red set for $99 and have been amazed how well it's held up. Previously did Mr Paul S's method above. Cheaper and just throw out in a few years. Put a nice anodized Revere $60 big fryer and it looks like crap from people putting it in the dishwasher. Have purchased good stainless in the past and somebody eventually overcooks pasta in the big pot. Takes A LOT of scrubbing to get the carbonized residue off.

$200 minimum

I may be reading you post incorrectly as IDK what you mean between "custodian" and "provider" but you still have to have a custodian as the LLC would be owned by your SDIRA as just another asset. Some custodians do not allow the LLC. IDK anything about Rocket Dollar. The LLC should help you lower transaction costs since you as the LLC Manager can buy/sell property, taxes, etc by writing checks from the LLC's business account.

I rolled my SDIRA from Equity Trust, no LLC (poor service, high fees) to Madison Trust w/LLC about 6 years ago. Cost was about $1200 to roll it and add the LLC. It was the right move for me.