All Forum Posts by: Robert Lindsley

Hi there,

I am getting ready to purchase a property in PA and I live in MA. I'd like to buy the property through an LLC but need some advice.

I am forming an LLC in Wyoming which will own the LLC in PA. The LLC in PA will purchase the property. These LLC have not yet been set up.

I have a couple of tactical questions for forming the LLCs:

- Should I form the Wyoming LLC anonymously? If not, should I form it with one or two owners?

- How do I set up the PA LLC so that the Wyoming LLC owns it? Is there a section in the PA site that allows me to do that while forming the LLC?

Any help would be much appreciated!  Thanks!

Robert.

@Marty True That’s in North Florida.  I also have seen really good numbers in CT.  Mass is not a good place for smaller investors right now lol.

I find it's completely dependent on the area grade (A, B, etc) plus what the rents are. I try to stay at $50k or under per door, but that's more of a personal preference than anything. The most important things are that it's cash flowing, and that the ROI, Cap Rate and DCR are acceptable to you.

I'm looking at a property that's 11.5% ROI, a Cap Rate of 9% and a DCR of 1.42 and I'm kind of meh about it because it's not cash flowing enough. Like I said, it's completely a personal preference.

Thanks for your thoughts on this!  Unfortunately the previous person collecting rent stole a bunch of money and we're now in court.  

I have a handyman that works on my building, but he's not a people person and has told me he doesn't want to collect the rent.  I spoke with my bank and they won't take checks directly from tenants because those checks would be considered 'third-party.'

I supposed I could do mail forwarding from my house to wherever I may be but that seems a bit complex.  I'm hoping there's some service that could handle all the receiving/depositing of checks for a low cost.  I'm currently doing the property management myself otherwise I'd just use a property management service.

Thanks!
Robert.

Hi there,

I own a couple of multifamily buildings.  Currently the tenants are sending their rent checks to me (at my business address) so I can deposit.

I'm going to be traveling over the next few months and won't be around to deposit the checks.  Does anybody know if there's a service available that I can hire to deposit rent checks for me?  Hopefully there's a service of some kind that I can give tenants a new address to send their rent, and that service will deposit the checks on my behalf.

Thanks!
Robert.

I’m also considering rolling my IRA and 401k into a working account so I can buy properties. After weighing the possibilities of a self-directed IRA, I’ve decided to take the penalty and move the money from my 401k and IRA accounts directly into my business checking account. My thinking is that the property deductions should cover a lot of any potential tax consequences. Also I can recognize the revenue through my business as opposed to through the IRA.

My short-term goal is to get to $15k per month in passive income through multifamily buy-and-hold properties.  Longer-term I'm trying to get 20 doors per year for the next 10 years, for a total of 200 doors.  By the time I get to around 30 doors, I should be able to quit my day job and focus fulltime on real estate.

From there I want to continue investing, traveling, and spending time with family.

@Todd Douglas Thank you so much!  I think Detroit is a very interesting market, and when I have some funds to invest I'd love to talk with you about it.

@Michael Noto Right now I'm focusing my energy in New London County.  It's got a lot of great history, the properties cashflow nicely and hopefully the area will begin to experience some growth.

Hi @Todd Douglas.  I actually decided to invest in multifamily buildings closer to home for my first few properties.  I bought a 7-unit in CT a few months ago and am trying to close on a 3-unit before the end of the year.  I haven’t had much trouble finding deals that cashflow out of the gate.

I love the Morris podcast — he gives so much terrific insight and the interviews are really good.  But ultimately I don’t think his product is for me, at least not right now.

Thanks @Adam Adams.  If I ever am looking to invest in those areas I will reach out.  If you decide to look at Norwich feel free to look me up!