All Forum Posts by: Sarah Brown

All states are a little different.  Here we would just use the title company.  I know back east the use a title company and attorney.  Maybe go chat wit the title company and see what is standard for your area.  Or you can ask an agent if they would be willing to consult you through your first transaction.  

Call a lender.  This is not standard across all lenders.  Each has their own requirements. 

Most lenders will not loan to you if you purchase the property in an LLC. You will need to purchase in your individual names. If your biggest goal is to protect you and your boyfriend in the event of a fall out, I would highly suggest having an attorney draft up an agreement that you both sign.

 Oh gosh, I'm sorry!  I read that wrong.  My lease states that all vacate dates are end of the month, so in my case it would be the full month of November.  If nothing is specifically stated, then prorated. 

"their required 30 day notice".  I think you answered your own question :)  Regardless of what the law says, it should also be stated in your lease.

Just because you sign an agreement doesn't mean you will pay commission.  Not all agreements are created equal.  Have a conversation with your real estate agent about their business and how they anticipate getting paid. 

It might be a good idea to partner with someone for your first deal. Either find someone with experience in rehab, or someone who has experience in BRRRR, or an agent who works with other investors. If you can find a good contractor he can give you an idea of cost and time.

What made you decide to get into real estate?  Join a few local investor groups.  Listen to the way they talk, the lingo, the KPI's, anything and everything you can absorb.  The culture is a bit different than most business settings and will give you loads of insight. 

There is no tax protection for an LLC. The LLC is only a pass through for tax purposes. I have never been given a clear level of protection for the LLC. There will be a lot that is dependent on it. A first year attorney can easily pierce a veil without meticulous record and bookkeeping. It cost me $100 to set up my LLC. It costs me less than $200 per year to have it included in my taxes. It costs me $0 to have myself and the LLC as an insured on the homeowners. I do not commingle funds what so ever, and I have solid record keeping. The minimum effort/cost is worth it to me even if it provides a small amount of protection.

What is your criteria for renting?  Get that figured out first, and then if they fall in the criteria, you can rent to them. If they don't, then you don't rent to them.  Making exceptions and "feeling" people out is a good way to dump you into a fair housing situation.