All Forum Posts by: Stephanie Windemuth

Thanks Jeff B!  Got it.  So we don't need to "try" to make ourselves anonymous per se on other things, but rather an attorney will look at that information and go there, even if our other documentation is connected directly to us?  Do I have that right?

THANK YOU!

We are small investors who have recently completed our steps for an LLC in Washington State, including securing a registered agent (company). Now the questions about how to use them...

1. As we open a checking account in the name of the LLC, should the registered agent address be on the checks or ours?

2. When we move the property insurance documents from our name to that of the LLC, do we give the registered agent address?

3. Do we have property management send any mailings to the registered agent? Or just us?

Overall, we're simply not sure how broadly to use this service, or how to have it best serve us

We are small investors who have recently completed our steps for an LLC in Washington State, including securing a registered agent (company). Now the questions about how to use them...

1. As we open a checking account in the name of the LLC, should the registered agent address be on the checks or ours?

2. When we move the property insurance documents from our name to that of the LLC, do we give the registered agent address?

3. Do we have property management send any mailings to the registered agent? Or just us?

Overall, we're simply not sure how broadly to use this service, or how to have it best serve us.  

We recently pulled a HELOC on our primary residence to use towards either a down payment and/or outright purchasing properties. As we are exploring properties, we are asked for proof of funds. When I asked our banker (who did the HELOC) for proof of funds on the HELOC, he said all he could do is "send an email to them saying you pulled a HELOC." Ha! We also sent one agent a copy of our "congratulations on your $xxx HELOC" letter. That didn't cut it either.

So...back to square one on the POF. Any ideas of how to show POF from a HELOC?

@Guy Gimenez
That is a fantastic help!  Gives me a starting place from which to go do my homework/investigation.  Thank you!

@Guy Gimenez - I love your points.  I'm interested in the types of things/changes one might make to revise/delete/add in title documents.  This is an area I've never considered much before (other than just going thru the motions).  Your thoughts?

@Brian E. - we talked with Dave K.

I should clarify all of this.  Yes, we had/have significant reservations about the program.  Clayton appears to be standup guy and the business model is brilliant.  I suspect things have become unwieldy in size and I'm not sure how aware of that he is.  We continue to read and listen to him as he has great ideas for real estate investing in general, and we have taken many of those ideas and flexed them around to fit our needs and goals. 

We also looked in depth at the property management company they have. There are many that look the same (identical or almost identical names, etc.) so it took us some time to verify that the business we were looking at was indeed the correct one. Getting in deeper in this area also was a red-flag for us. It was a single person, working out of their home. Information and contact was extremely limited. Again, if this company is managing of units, this didn't sit well with us.

I simply encourage people to do their due diligence here.  Ask questions, then look/think.  This may be a fit for some and not others. Ask things like...Why do they avoid using bank funding? Some very legitimate reasons (some that I have used myself!)....but...it also removes some of the checks/balances from the equation as well (appraisals, title search, inspections if an owner wants one).  What if I want my units rehabbed differently? To a different standard? Who do the rehabbers report to? How are they paid (as in, we send money to cover the rehab, but if subs aren't paid that comes back on me...who is so out of the loop).

These things DO NOT need to be deal breakers, but people need to think thru them. 

We were also interested in Morris Invest and set up a phone call (which was scheduled more than 3 months out).  During the call, all the information given was "positive."  Yes - we rehab! Yes - we property manage! However...digging deeper, things began to not add up.  Early in the call we asked about their rehab team.  "We have two teams" we were told.  When asked how quickly they rehab and get things on the market, they said they are rehabbing 100 units per month.  There is NO way two teams can rehab 100 units per month.  There simply isn't.  When this was asked directly, we got the "you wouldn't understand how it works" line.

We continued asking things about how/when is the property inspected, what kind of appraisals are done, etc. COMPLETE avoidance on these questions with ZERO answers.  The repeating phrase we got was "If you have a lot of questions, then this type of investing is not for you."  Seriously.  Word-for-word.

When the call was ending, we were told to send any questions we had thru email, and that we would also receive a list of "general" properties to see what they are like.  We sent our email, and NEVER heard anything back.  We followed up again, and to this day have never heard back. BLEH.