All Forum Posts by: Chris Winterhalter

@Samson Kay

Westloop and Bridgeport are going to be expensive. Westloop is a better location but Bridgeport is still a cool area that is definitely growing.

Also 15 cap deals don't exist (at least not when you account for ammunition and firearms :)).

@J. Martin

Thanks for coordinating this! I love Duke's and love the view. I'm not 100% sure but should know within a week so depending on my flight schedule.

Remember it's Mother's Day. So maybe all of us non-mothers should pick up the tab for the real estate mothers???

@Daniel Cooper

Welcome to BP! I think the OP was more interested in fire damaged properties from an investment perspective not in regards to a fire claim of her own. But you have given some good advice...which would be more applicable to a homeowner than an experienced investor. I would never let a contractor run with the insurance claim on one of my buildings. I know a lot of companies do an excellent job...especially because they are operating at such large margins for these insurance jobs however I like more control over my claim. I completely understand that a great company can handle everything and deliver a finished product within the insurance limits however there are many reasons why that can be negative for the investor.

@Irene G.

We've been through a large fire at one of our multi-families. If properly restored and renovated most structures can be rehabbed. Everything is obviously case by case however a lot of times it's worse than it looks. The key is working with someone that has experience and knowledge in this area. If the property isn't properly rehabbed you could be dealing with a ton of problems. Smoke and soot react differently in cold weather than warm weather. The HVAC systems needs to be properly replaced or repaired/cleaned. The structure needs to be thoroughly checked (possibly by a structural engineer). Etc etc.

I'm not sure about special government grants but I don't think they exist specifically for fire damaged buildings (but I could be wrong). Have you been able to find any info on this?

@Chad Hedrick

Thanks for your comments....the elastomeric coatings have been holding up well since the original post. I coated one roof with fibered roof coating around the same time we did the elastomeric coating on another property. I've had a few issues with the fibered roof coating and none with the elastomeric coating.

@Garrett Jacks

Great job and well executed! Now you just need to turn on the lead generation faucet and keep the deals flowing.

@Brant Richardson

I completely disagree....tax deductions are way better on income property than owner occupied property. How about depreciation? The only tax benefit that I see better for owner occ homes is the tax free gain when living in a property 2 out of the last 5 years (which maxes out) upon sale.

@Anthony Barbato

Anthony yes they are most certainly tax deductible. Home office still gets deducted from your personal return however everything else is tax deductible through the business and then flows through to you by way of the K-1. The IRS website has an amazing amount of content for tax deductions for businesses. Remember an LLC is a state designation so you would be classified depending on the setup...i.e. single member LLC (sole proprietor), multi-member (partnership), or corporation (s or c if elected).

I am not an attorney and this is not legal advice.

@Jon G.

It sounds like you are looking to grow your business in the future. I would develop a relationship with a local bank (or several) so you and your business partner can finance your investments out of your LLC. Establishing solid tax returns with rental income is important along with building equity. However you will have a lot less hoops to jump through when dealing with a local bank. See if you currently have enough equity to refinance your first property with a local lender.

I'm in Chicago all of the time because my fiancé is finishing law school at the University of Chicago and saw a bank advertisement that made me smile a few weeks ago. A local bank was advertising 5+ unit multi-family loans at 4.25% for 5 years amortized over 25 years. Local banks are back and they want to originate loans on multis. Good luck!