All Forum Posts by: Scott Mac

You might want to speak to your tax person about what would be the most beneficial way to set up tax wise before you have the attorney do the setup. This may be a single member or a multi member LLC.

Additionally, if you are in California or have what is known as NEXUS to California in any way, you may wish to ask your tax person what other options than an LLC might work for you tax wise.

Once you are comfortable with the knowledge of the LLC from a tax standpoint, then you might want to talk to your attorney and see if that set up is good for you from a legal standpoint.

Depending on what you want to accomplish as far as asset protection or just general business operation.

If the attorney recommends a set up that involves more than one LLC, get on the phone with your tax person and find out how much that is going to cost you for the tax returns, K 1 forms, payroll processing, etc...

That will allow you to make a more informed decision about how you want to have the LLC set up for your unique situation.

Realize also you have ongoing costs for each LLC that you set up, Yearly resident agent fees, possibly fees to have your meeting minutes prepared on a yearly basis, Tax preparation fees for each LLC Shell, and You're 1040, etc...

There will also be accounting/bookkeeping that will need to be done for the LLC, you may have to pay for that also, as well as a corporate kit.

Or You could wing it and try and do it yourself, if you think you know enough to make a good decision without expert help.

Good Luck!

You will need to have down payment money, appropriately seasoned, and any lender required reserves. This will need to be in cash in your bank account.

You will also need to handle any Closing costs you are responsible for, as well as any inspection fees for inspections that you want to have done.

A lender will also probably require you to have at least two years of job stability before a loan would be made. Although you might want to explore the possibility of having a cosigner help you with the loan.

As far as living a life of financial freedom with one rental- that is unlikely to happen. A more likely scenario is you will be a landlord with a tenant, and you will be responsible for the upkeep on the rental as well as your own unit

Then when your renter moves out or you evict the renter for non payment of rent you will need to pay to have the unit turned unless you can do this type of work yourself.

A new construction loan Might be more difficult to qualify for than an existing structure loan. Look into the requirements for both to be sure that you qualify for what they want before you make your plans.

Good Luck!

Join a yacht club, work at being popular and make a lot of friends there.

Good Luck!

Your upgrades look very attractive.

For rental though, I would have not spent a nickel changing either of those kitchens.

White cabinets are going to show a lot more grime at turn time then the brown ones will.

I would simply have left a welcome kit for each renter that included some shelf paper, toilet paper, and a new milky white shower curtain, plus a small bag of Purina if they have a pet.

The shower curtain because sometimes renters don't have one when they move in and they want to take a shower after moving their stuff in and flood the floor until they get a shower curtain. A couple of dollars at the dollar store for a cheapy milky white curtain prevents this.

Back to the kitchens, I especially like the  (before) galley kitchen with the tile floor, and if there was a door opening at both ends at ADA specified widths that would be a nice feature too.

Good Luck!

If it were mine I would try a pressure wash.

Like is used to clean the driveway with when there's an oil spill. 

Good Luck!

 It might be a divorce court situation, or a probate.

It also might be wise to speak with your escrow company about how they intend to handle the LLC in its closed down condition with the state due to non-payment.

Good Luck!

Is there enough of a data set of these tax sales In your area, during the recent economy, to come up with a statistical likelihood that is reliable??????

If you have to ask that question, nobody knows your situation better than yourself, and you could not answer yes your income is fine-  most likely it is not.

That is my thoughts on how you would know.

Good Luck!

What kind of maintenance costs are you running into?

Much of What remains of Detroit appears to be brick, a low maintenance exterior.

Many of the refurbished structures seem to have new windows put in.

When you do a rehab are you using new appliances or used appliances?

Are you upgrading the old 110v electrical system to 220v 3 wire?

Are you sludge hammering out the old coal heating systems for modern natural gas Forced air HVAC units?

Exactly what kind of maintenance costs are you having problems with?