All Forum Posts by: Russ Draper

So something up near Winnepesaukee or one of the other lake summer homes I presume.  So hopefully on footings.  Lake houses in general are harder to sell but its not a deal breaker.  I know at least 1 person that had insurance and a mortgage with a lake house without a foundation on "stilts".

Is it waterfront on piers or just sunken piers on land instead of foundation because soil is rocky?  If waterfront, it will sell the only question is for how much as the body of water or ocean can make a big difference in price.  If you don't think it will get a mortgage then you limit your buyers of course.  Need more information.

I feel the best price is one that fits in the default search parameters on search engines.  For example I think there is a common search limit of $225k, so I won't price a home at $230k I will drop it to $224,900 or similar so that I don't miss out on buyers.  The oddball pricing I think is supposed to make the buyer think there is a reason for that price so they won't negotiate as much.

I just say I give them a big discount like 50% or something.  Unless I am going to my vacation home with them in which case I don't charge.  If they go on their own good friends pay for cleaning and maintenance at the very least.  Even friends that I wouldn't charge pay me something anyway because they understand it costs money to have the property.

Only if they are going to be on the mortgage with you...  If you are purchasing an investment property (larger down payment typically) you can use rental income on the property if there are tenants already there.  Some banks will loan on what a property *will* rent for but that is very rare these days.

@Brandon Leong the tax implications for a LLC are "flow through", I don't think it will change your tax status, only protect your assets. Consult a CPA for more info!

If I were you I would go and in-person interview different PM's.  If you aren't willing to go there I would consider selling them and investing in something else!

I had put all properties into one LLC, with umbrella insurance. If I were you I would just quitclaim them into the one LLC and simplify!

When does the lease start?  That should detail when he has to pay rent, and if you are pro-rating the first month.  I would have him pay a partial month for February, and then on 3/1 have him pay a full month to keep him on a normal schedule.  You could always just say rent is due on the 15th of each month!

Non-citizens can form a LLC, see here for some info:

http://smallbusiness.chron.com/american-citizen-ow...

http://www.limitedliabilitycompanycenter.com/can-n...

http://www.bizfilings.com/learn/foreign-company-fo...