All Forum Posts by: Stefan Hirniak

Thanks Stuart.

Very fair comments and appreciate you calling it out.

My partner currently runs a few successful MTRs.  He needs equity to scale and I haven't done MTRs previously.  I am also out of state and he is local.

We likely will be buying off the MLS and trying to identify something below market value and negotiate a deal.

He will manage any cosmetic rehabs, furnishing and then ongoing management of the listing.  I will bring equity and planned to be responsible for 50% of any maintenance expenses.

Reading other articles on the forum it seems like a 50/50 split of equity in return for the work listed above may be standard but thats why I am asking the community.

Any additional thoughts are greatly appreciated.

Thanks John.

Hi BP!
I hope everyone is doing really well. Appreciate the help here.

I am looking for some advice on a partnership I am looking to form. I am wondering what a fair equity split is for providing capital and ongoing 50-50 financial support.

We will be investing in a few medium term rentals.  The other partner will be onsite management, set up and property identification.

Any help or suggestions on how to structure the equity piece would be great.  Ideally if we played the cards right we would have option to take some of the init you do  Equity out after adding value.

Thanks for the help!

Stefan H

Hi BP community!

Hope everyone is doing really well. I have a little opportunity on a SFR that we will use as an STR.

Few interesting things about the area and property:

1) the area allows STRS

2) near a national park

3) small amount of competition 

4) large lot and ability to add a glamp site or luxury RV in addition to the property

5) how is considered “off grid” but has water and electricity currently hooked up

I have confirmed that there are no loans on the property and that they are open to entertaining a seller finance.  The list price is approximately 315k and there are agents involved.  Property has been listed for a long time on the market so I am not in a rush but want to get some opinions on how to structure the deal.

Ideally I’d like to structure with as little money down and a great interest rate.  Any help, suggestions or ideas would be greatly appreciated.  I have done my research and have some ideas but would also love to crowdsource.

thanks and appreciate everyone in this community!


-stefan

 Thanks @Jay Hurst

Cleary this thread proves your point that there is misinformation out there! It appears that the golden ticket is Recourse VS Non recourse and nothing else matters. Pretty interesting topic as they are clearly different views about the protection of an LLC in this instance.

I will have a look into the non recourse loans and see what I can find to fund this property WITHOUT impacting my DTI.

Cheers all and appreciate the insight and comments.

-Stefan

Hi BP!

Hope everyone is doing really well. I am buying a new construction primary in May and hoping for some advice prior.

I have a relatively high DTI due to 7 other other conventional loans and my broker advised that a new investment prior to closing might impact my ability to close.

Our goal is to do an MTR on the new property and I understand we can’t count the income towards my ratios (since it won’t be on a tax return) which is my main concern.

I am wondering if buying the property in an LLC will help with the DTI issue. I know the load through the LLC will still have a personal guarantee since it's a SFH but wondering if this will show up when we go to close on the new primary.

Thanks a ton for the help and advice.

-stefan

Hi BP!

Happy Friday.

I’ve got a 2 part question for the forum:

1) Can I take bonus depreciation through a cost seg study if I’m not classified as an active investor?  Doing a mid term rental in Texas with solar and was hoping to take the depreciation before the % decrease.

2) Any suggestions on becoming active VS passive. I have a W2 but my wife doesn't work and we are looking to scale. We currently manage our 7 SFH alone but our CPA isn't comfortable with it yet.

Not looking for tax advise just suggestions and opinions.  Thanks everyone and have a great weekend!

stefan

Hi BP,

Hope everyone is doing really well.  I have an opportunity to buy an off market deal in Spring, right outside of Houston.

I have a few  rental properties in Houston and looking to grow the portfolio but don’t have the down payment for this one right at the moment.

The seller mentioned he would be willing to a seller finance but when I spoke to my mortgage guy about this and mentioned the seller still had a mortgage he STRONGLY recommend I avoid.

Wondering if there are any creative ways  to do a seller finance with a title transfer or something that could trigger the do on sale or worse mortgage fraud.

Thanks for the help!