All Forum Posts by: Steve Hall

@Dawn Batts

Welcome to BP...

Someone smart enough to save up $500k to invest would not buy five $100k SFH's in cash.

That sounds more like the investment strategy of someone who just won the lottery or inherited the money.

@Ryan Causin 

I almost bought one of these SFHs. We looked up the story first... When I went to go look at the property, my wife said "I'll go with you but I'm not going in". So if my wife wouldn't go in, I wonder how many prospective tenants wouldn't go in?

And like my wife said, "What happens if a tenant doesn't know about the incident when they sign the lease, but find out 2 weeks after they move in by talking to the neighbors, and then want out of the lease?"

@Daniela Reyes

Two months ago you were looking to purchase a duplex in New Jersey.

One month ago you were going invest $30k into a rehab in New Jersey. 

Now you are asking about house hacking in Baltimore, but you don't know anything about Baltimore and you live in New Jersey...

Am I the only one confused?

@Jennifer Ozinegbe

Hi Jennifer... Welcome to BP. I can't imagine why anyone would choose to live in New York. The commute, the crime (in Brooklyn), the taxes, and all those people!

29 is a great age to get into Real Estate. You're older and wiser now, and you probably have some money saved up.

If rent is high, property prices are high, taxes are high and crime is bad, my advice is to invest elsewhere. If you don't know much about other areas of the country, find an experienced partner.

If your job is not tied to NY, I would also advise you to move from one of the top 10 highest taxed states, to one of the bottom 10.

@Brian Ellis

Don't sh*t where you eat!

Pitch the deal on BP and let the interested come to you. 

@Robert J. Van Horn

What a great guy you are trying to protect your wife! Bottom line though: if you are married, you have an implicit legal partnership with your wife. Therefore, if you get into trouble, she is in trouble, and vise versa.

You are wise to start your business in an LLC, so that it gives you (and also your wife) some degree of separation from the liability of the company. Just be sure to keep up with all the legal requirements. Getting insurance, and protecting the corporate veil are the two most important things you can do to help protect your wife. It's also worth noting that charging order protection for single member LLC's in Florida is poor, so you should consult with an asset protection attorney for better protection options. Better protection options might include a Delaware Statutory Trust, or perhaps a Wyoming LLC holding company (since WY has great charging order protection.)

We call this NEI...  Not Enough Information.

I don't use a real estate agent, I use real estate agents (plural)  

Why? Because they know about properties that are going to hit the market before I do (or anyone else for that matter). They know why someone wants to sell. They know what I am looking for and call me when they stumble upon something that fits my criteria. They are all part of my team. The more I have on my team, the better.

@Nathan Gesner

The answer is: failure to underwrite properly. Due diligence on the purchase is everything!

@Lauren Milam Every deal is different. You need to talk to your business partner and find out what they want. If they are passive, then I would most likely propose an offer, and see if they bite. Partnering involves negotiation too. Be creative, but make sure the partnership is a win/win that benefits both of you.

BTW, you need an attorney and an accountant... now, not at closing.