All Forum Posts by: Snehann Kapnadak

Thanks a lot @Troy Luster!

Hi All,

Hope you're ready for the upcoming week!

For anyone who's worked with Shawn Huss and team at Chemical Bank, do you know what their policies are with transferring title from a personal account to an LLC? I doubt it, but do they lend to LLCs? I bet most likely not, but do they allow transferring the title? Do they typically call the Due on Sale Clause?

Any insights would be much appreciated. Thanks in advance!

It's generally a good move, but can I ask if you used bank financing? If so, be aware that if the initial loan is in your personal name, you will have to transfer title to your LLC's name. In doing so, you will most likely violate the loan's Due on Sale clause and the bank might opt to call the loan due. From what I've heard, it's their right to do so but not a law, and in most cases banks don't bother calling it due, but just something to keep in mind.

I'm in a similar situation where I'm trying to create an LLC for my property in Independence, MO and need to do more research. I'll need a lawyer too, so if you end up finding someone good, please let me know. Hope this is helpful. Good luck!

Hi Tae,

I'd recommend switching your savings account to a high-yield savings account in an online bank. Online banks don't have to pay a lot of the costs that their brick-and-mortar counterparts have to, so they're able to pass a little more savings to their investors. Albeit the rates are still low as a whole, but if you're going to have a savings account, why not try to maximize interest? And though the rates are lower than the stock market average, at least your money is protected and it's still liquid. There aren't a lot of alternatives. I use GS Bank but there are a few others that you should definitely shop around for.

Hope this is helpful!

Hey @Renzo Severino thank you! Yes The tenants' September rent just hit my bank and it feels great! 

For the 20% down I used all all my savings over the past two years since I graduated college. I live in an expensive market and have a good amount of student loan debt, so after graduation I lived with my parents and commuted to work and saved up all that would-be rent money. I put this in a high yield savings account (I use GS Bank) which isn't super high of a yield but higher than most, and made sure it was liquid for me to pull out if needed. I had a 9to5 that was great, but I made less than $40k, but I still was able to save up a good chunk by living at home. I didn't really have any side gigs or anything but just allocated any extra money to the savings account--bday money, tax returns, fantasy football winnings (only 1 year lol), etc. It took me about 2 years to be ready to invest, though I think I had the 20k before then, but I wasn't ready to commit to buying a property yet.

Hope this helps but PM me and I'm happy to chat more. Good luck!

@Mark Keeler Yes it's definitely a goal to create a strong relationship and network with others. Let me know if there's anything I can do to help. Good luck!

@Edward Kuroiwa Thanks so much! Good luck to you!

@William S. Sounds good hope it works out well!

Thanks for the advice @Kyle McCorkel! I'll have to try and discipline myself to keep the reserves on hand vs. Trying to reinvest them haha 

Hey Tushar, I just closed on a property through Nick. From the beginning of the process, he was very transparent, thorough, and responsive to all my questions.  I flew out to KC and met him and he took me to view the property and meet the tenants, all while telling me a little more about the area and the market as a whole. Also took me to some of the other properties they're working on, but it never seemed to me as a sales pitch. They're smaller, but seems like they're really ramping up their business this year. I also met him and his wife out for drinks--super friendly and nice. Would definitely recommend him to anyone moving forward.

I can't speak to the other guys on your list though. Good luck!

@Edward Kuroiwa That's awesome! Did you go through the TK route or did you work with an agent?

Thanks @Michael Lewis I'll let you know if I need any local insight!

@Ian Walsh To me the market trends, price points, and service of the provider sold KC and this property for me. I can't find that combination anywhere in the Tri-State area without going to the war-zones.

Thanks @Raj Gott! I don't know about these maps for other cities but I'm sure you can find similar ones on this site. 

Thank you @Philip J. Russell and @Jessie Nunley!

@William S. Thanks a lot for your advice--I'll keep that in mind. Would you ever sell or 1031 your properties?

Thanks for the tip @Rachel H.! I've listened to some podcasts with her on and she seems really knowledgeable! 

@Salvador Aldrett thanks a lot! Will do!

@Corey Clarkston Thank you! How are things in Jax? I've heard it's booming there.

Thanks @Matt K. glad you found it helpful!

@Eric 

@Eric Moehrle They were helpful and very responsive from the beginning! But it's just the start of the relationship right now, so we'll see how things go now that I actually own the property. Yes they do things in house through their local team. Feel free to PM me and I'll shoot you my email. We can chat more if you'd like!

@Lane Kawaoka Great, thanks!

@Javier Guzman Thanks a lot, hope my post helps you! There's a ton of debate on this site whether turnkey is worth it, but I thought it was a lot easier for me to start off learning by having someone do the heavy lifting at first before I try doing it by myself. Not sure what I want to do next. I'd like to do multifamily, since it's easier to scale (20 doors on 1 property vs. 20 single family homes for example) but I'm intimidated by syndication and doing a deal. I'll definitely have to do a lot more research though. But depending on how this property goes, I may want to buy another SFH since it's relatively easier than jumping into MFH.

Thanks @Mahmoud Tellou! I'm from the New Jersey/New York area and most of the properties here are too overpriced for my liking. The rent/value ratios are really low too--like 0.5%-0.7% depending on where you look, the taxes are too high (NJ has one of the highest property taxes nationwide), and the cost of living is too high too. I think the tenant laws are less friendly to landlords here too, though don't quote me on that. I figured my dollar would stretch more overall in the midwest, which is why I chose to invest in KC. Hope that helps!

Thanks so much for the encouragement @Jonathan R.! Unfortunately the property only appraised at the purchase value. Which is definitely a bummer, but my goal was to focus more on steady cash flow than on appreciation, so I'm willing to wait a bit until property values go up. Thanks for the tip about raising the rents! I haven't thought about how I'll go about raising them (if I raise them) because I hope these tenants will stay on for longer. I'll keep your suggesting in mind though!

@Brett Snodgrass Thanks a lot man! I really enjoyed your podcast episode. I have my eye on Indy and will definitely like to keep in touch.

@Alex D. I know right? It's awesome. Thanks for your note!

@Jason Waldo The property is in Independence. How's the property management business going? Are you thinking about doing any MFH work or just single family?

@David Carte Thanks a lot! I didn't use a realtor. Basically you pick a property from the seller's/TK manager's website and inquire about it. They handle all the acquisition and correspondence with the tenants and you as the buyer just have to make sure you do your due diligence and manage the property manager. I didn't negotiate on this one since it was my first property but you may want to speak to other investors who went the TK route and see what they did. Here's the website for the TK provider I used: http://www.investwithpinnacle.com/

@Betty Klein Wow sounds interesting! All the best moving forward!