All Forum Posts by: Stephen Thomas

I’m throwing a Hail Mary here...

Sorry about the vague post and forgive my lack of memory. There was an episode of bigger pockets where the guest talks about using insurance policies to fund or collateralize loans for his deals. I feel like the episode was in the last two years and I’ve read every episode title on the list and can’t find it.

Wild goose chase begins NOW! Thanks guys and gals!

@James Johner right on man! They are cracking down on the short term rentals. If you have any questions hit me up!

@James Johner congrats man! We just got in contract on our first 6 unit off market and hope to be were you are soon! Thanks for keeping it simple and reminding us to just do it.

Congrats brotha! Lets keep it up! 

To anyone reading this how hasn't taken action... find people to surround yourself with that have your same goals and drive.  I wouldn't have done my deal with out you... 

alright, bromance over! 

I closed on a property about 2 months ago and the loan and title are in my name. I am renting the property as an Airbnb so I created an LLC and all the income is going to the LLC bank account currently. I would like to transfer the property to the LLC and the bank is saying there will be a $700 fee with the bank to allow this transfer of title. I know I could risk it and see if the bank acts on the "due on sale" clause, that is not the question.

Does this type of fee seem reasonable or negotiable? Especially after paying them plenty of fees to close the loan in my name just weeks ago?

@Account Closed thanks for the suggestions, I tried reading the post but maybe I'm missing something or your link got mixed up, I didn't see depreciation in there. Sorry if I totally missed it. 

DEPRECIATION: Let me see if I have this right? So if I have an extra 50k, and I purchase a house by December of this year worth 250k where the structure is worth 200k of that 250k, could I offset 3.6% or $7270 in depreciation? At at 33% tax bracket, Im saving about in federal taxes.  

I think I need a bigger shove that that.. am I missing something? Im sure I am missing a whole lot... eager to learn. 

@Sung Park Love it.  The suggestions of repairs and maintenance is exactly the type of brainstorming I was looking for.  Anything else like this would be super helpful. 

HELP OFFSET HIGH W2 INCOME! As the end of the year quickly approaches, I have maxed out my 401k and wife’s 401k and both IRAs. We have a primary residence and a Airbnb rental unit that we own and manage. We purchased the rental this year. Neither of us will qualify as “real estate professionals”. We have another 50k liquid (asIde from reservse) and I am wondering what I should be doing with this money in the next 2 months to potentially offset this years very high W2 income. We operate the property mangement out of an llc. Would buying another house help this equation significantly? Is there a simple solution that I am missing?

Im with @Frank Wong in this one. The skills of prospecting, communicating and solving other peoples problems are quickly taught in sales jobs and reenforced everyday. Sales is one of the few careers where you can also quickly change your income simply by putting in more effort. My W2 job is in sales and I have had no problem qualifying for any of my mortgages with traditIonal banks and portfolio lenders. What they want to see is how consistent the income is coming in and I think it helps to show that your income is also naturally growing year over year as you build your network and strengthing your skills.

Background 

I live in Hawaii and invest in legal short term rentals.  I have a good steady W2 job and the experience in acquiring these properties, getting them ready for rent and managing these properties.

I was recently approached by a good friend who has been saving up money for down payment/operations and she wants to make an investment and learn the business of acquiring and managing short term rentals but is self employed so her tax returns won't allow her to qualify for the loan by herself (despite excellent credit) due to a high number of deductions . 

She is asking me to partner with her to gain experience and help qualify for the loan.

Factors to consider 

We live in Hawaii and she lives on a different island from I live and where the property is being managed. 

-Myself & property|one island & her|different island

She would like to learn the management but naturally will need things dropped of at the unit or need things checks physically onsite here where I live and the property is located

The Question 

Was is a fair way to structure the deal for both parties to protect both parties? 

-I want to make sure her money is protected from me running away with it - of course I never would 

-I want to make sure my time and credit it protected should she become disinterested in running the business down the road