All Forum Posts by: Tony Savage

Be careful flipping in an S-Corp. If you're doing a lot of flips, you will be considered a dealer since the income from an S-Corp passes through to your personal tax return. 

My advisors had me set up a c-corp and I form an LLC for every state that I flip in. The respective LLC"s are attached to my c-corp and the tax implications are not nearly as bad. After I have completed 4-5 flips in an LLC. I shut it down and form another LLC.

It all depends on your strategy.

I would fire him and look for another GC. Square up with what you owe him/her, then move on. Be professional about informing the G.C that you need to part ways. You're going to waste a lot more time trying to deal with mediation.  

Get a few referrals for a contractor from someone you know really well and go from there.  Now you know what you need to do when interviewing G.C's.  If they can't execute on your expectations move on. It's worth spending the time finding a G.C then worrying about mediation.

Kyle, 

Have a separate account for each property. If you're ready, you can form LLC's for each property and open the account in the name of the LLC's. Pay your expenses for each property out of the respective LLC' account; ideally these should be business accounts. You should set up a separate account for your cap x expenses and your annual vacancy rate. If you're not ready to deal with LLC's just open them in your name.

All of my rentals are in the name of my LLC's. Keep all accounts with the same bank.

Good luck on your journey, it's a fun ride!

It could mean that the neighborhood is gentrifying, if it was a lower income neighborhood in the past. It's a good thing for appreciation in that sub-market

Short sales take a very, very long time to close.  Not only do you have to get the seller to agree to P.P and terms.  You have to get the bank to agree as well.  Waiting for the approval from the bank is what takes a very long time.

The home could be in good condition.  You just need to ask yourself is it worth waiting 3, 6 in some cases 12 months to get an answer from the bank.

If you have the capital and the time to wait, go for it. The other option is find a home that's not a short sale.

I manage my own rentals that are in Lansing, MI.  I have in all of my lease's that I am allowed to show the home to prospective tenants while the current tenants are still there. 

If my current tenants don't want to show the property. I pay a neighbor to show it for me (150.00) and tell them this is a way for you to screen your new neighbors.  They are always on board.

I tell the new tenant that once the current tenants are out.  I will have the place cleaned and all repairs done.  They usually move in 3 to 5 days after tenant is out.  the date of move in is the date that the lease starts.  

I am not waiting two to three months to get me rentals leased out.

For those states that do not allow dual agency.  Those agents are in a better situation.

Great question!

We had a Q & A with our state association on Monday and that question was asked. Our President said that you may be able to put it in the MLS remarks as seller concessions but don't quote me on that, check with your association.

So the listing agents will be holding open their own listings, right? Now if I don't have a listing I can call a listing agent and ask if I can hold open their listings.  Not that much of reason to do that now as a buyer's agent.

We have dual agency here and we do represent both parties often.  I agree, open houses will not play a big role in this new market. The motivation to sit open houses now is gone!