All Forum Posts by: Richard Jumonville

Thanks guys!

I will get them both, I hope the buyers title insurance policy is not at the 1k higher end range. Still worth the protection but 1500 seems high for both policies.

Hello, I'm under contract on a 4 unit apartment building I plan to buy and hold. I'm placing title insurance because I want to be protected and plus the lender requires it. However something new came up today. My title company asked me if I wanted "Buyers" title insurance too. It would run an additional $500 to $1000.

I had not heard of this policy or basically figured title insurance was title insurance. Do you get both or just whats required by the lender.

The seller may still be motivated...

If they walk away; they now know the problem and will probably have to deal with it on the next buyer. Worth a shot. Maybe give them retail cost to repair and request wholesale or at cost credit.

Probably a 203k loan which covers purchase and rehab, mainly possible if they plan to live in. not so much for investors. 

Maximum Achievement Brian Tracy, Really helps you realize you are stalling and need to get moving

Think and Grow Rich Napoleon Hill

Rich Dad Poor Dad

Start with why simon sinek

Never Eat Alone Keith Ferrazzi

Thank you all for your time and shared experiences. Others please feel free to continue to share your qualified experiences and examples of what you learned that would be considered disqualified. 

Agreed that all outside capital raised is secured by the property, no one would do that.

When using a gap fund partner's SDIRA or Solo 401K, exactly what part of the project expenditures can the money be used for?

Can anyone using these partners tell me what how there using this portion of the project's capital?

I have a good feel for what my project will cost as I have done a couple fix n flips before. I just never used these types of capital before and want to know any obstacles before I put my upcoming deals together.

Thanks in advance

Thank you Brian for your insight. I will always run my plans thru my advisors as you are right, we paid good money for setting up our entities and continuous support.

I really like the Bigger Pockets platform to bounce ideas and experiences from others who are actively investing. I see what you mean how that could be beneficial the way it was stated. It never occurred to me that we would be trading services and that it could be viewed as self benefitting which could be viewed as disqualifying event.

We certainly do not want any gray areas when it comes to that subject.

On the other hand I still would like some insight on what limitations when using another's SDIRA/Solo401k from a great leader like yourself and others in the Bigger Pockets community. I have multiple options outside of the associate mentioned earlier with IRA's. I'm really wanting to wrap my mind around what others are doing with a gap loan received from persons with SDIRA's & Solo 401ks?

Are they using the funds for the following or is there issues with these listed below?

Paying holding cost

Paying Insurance premiums

My Travel expenses to out of state property

Hiring of misc. contractors outside of general

Inspections

Staging for sale

Advertising

what else?

I appreciate all comments

Thanks guys for the input, I did reach out to @Brian Eastman but have not heard anything back yet.

Jim, can you tell me as an investor who has a SDIRA, can you tell me some examples your IRA money was used by various investors who you loaned money to or partnered up with?

Hello, I have a C Corp and a Solo 401K, I have a business associate who has an SCorp w/ SDIRA. We have agreed to gap fund each others deals so that we are not performing disqualified transactions. My question is this. Once each of our LLC’s ar ecreated and all the funds are raised & Operating agreements are in place. What limitations do we have with the funds? I’m thinking that the HM lender or nonrecourse loan will cover the majority of the purchase & rehab cost. The IRA and 401k moneys would be used for holding cost, insurances, Travel & any misc. contractors work etc... In other words with all t his said. Do you see any limitations on how the funds are used during the corse of the process. And is there any issues with the SDIRA for misc activities or would it have to be structured so that the title company only handle particular bulk expenditures or holding cost payouts. We are set up and ready to roll. Just need a little push! Thanks all