All Forum Posts by: Tim Griffin

I don't have an LLC. I wasn't able to find a lender that would loan to one at a competitive rate and didn't want to run the risk of a due on sale clause transferring properties into one after closing. Were you able to find one?

Wish I could be more helpful, but I'm not sure of the implications of receiving rent in a personal account and then transferring to an LLC.

Hey Miles, 

I'm not an attorney, but I wouldn't bother with an LLC on your first property. I'm not sure what size MF property you're looking to acquire, but if it's under 5 units, I think it would be difficult to find someone willing to lend to an LLC at a reasonable rate. You could go with a commercial lender, but you'd most likely be looking at higher rates and fees, and shorter terms. You could also purchase the property and then transfer it to an LLC, but then the lender could call the loan due because of the due on sale clause. My understanding is this is very rare, but it's still a risk.

My advice would be to speak with a good insurance agent and just make sure to purchase the right insurance and enough of it that you're comfortable. 

I'd steer clear of this one. It's going to be tough to cover CapEx and maintenance with only $350/mo and the risk just doesn't seem worth the reward.

Welcome J! I like your plan to house hack as your first investment. That's how I got my start and living rent-free certainly allowed me to save quicker. 

Yes, I give all attendees an application and take an application fee with each one. I'll send you my application shortly. It's similar to the form @Brandon Turner provided in his book 'The Book on Rental Property Investing.' If you're going to self-manage, I'd highly recommend that book as well as 'Landlording on Autopilot' by @Mike Butler. To avoid a potential discrimination charge, I'd process the applications on a first-come, first-served basis. If you deny someone, clearly document why and send them a written notice. 

I post an ad on Zillow and Craigslist that clearly spells out the application requirements (e.g., income at least 3x monthly rent) and phone screen everyone first. Then I'll schedule one or two showing times for all prospects I spoke with. I'm a fan of having them all show up at the same time to create a sense of competition.

Hey Jacob, congrats on the Hapeville SFR! I give tenants the option to use whatever platform they'd like to pay rent as long as it's electronic and I don't incur a fee. My tenants go with PayPal, Zelle (Wells Fargo), and Cash app. Zelle is my favorite because it goes straight to my bank account, but pushing the button to transfer the money in PayPal and Cash app is pretty easy. As far as screening tenants, I recommend Rent Marketplace or SmartMove. Both are intuitive and affordable. I own a few duplexes in Hapeville and the surrounding area, so feel free to reach out if you have any questions.

Hey Arun,

I would check out the crime map on Trulia (https://www.trulia.com/GA/Atlanta/#map-crime). If you get a property under contract, I'm a proponent of walking the immediate area at different times of the day and talking with as many neighbors as you can. 

Welcome back, Alfonso! I've picked up a handful of SFRs and duplexes in the Atlanta area over the past year and am happy to put you in touch with a few agents and lenders I've used. Shoot me a message. In terms of where to invest, I'm a fan of near where the new park will be coming in on the westside and south ITP (inside the 285 perimeter). These areas seem ripe for appreciation and offer a better return than the duplexes and quads I've seen up north. 

This is incredibly helpful. Thanks, @Dan Mahoney!