All Forum Posts by: Valerie Post

@Nathan Williams

How did the property manager run off with your money and how could you prevent that in the future?

@Jay Williams

I would strongly suggest revisiting the benefits of an LLC, mostly for asset protection, but also an LLC is a business entity and there will be write-offs. I cannot stress asset protection enough! I would recommend Corporate Direct for additional information. They did an excellent job for me and provide ongoing support--I can call any time with additional questions for no additional charges. You might also want to surround yourself with a CPA who also invests in rental real estate (if yours doesn't already). I would highly recommend Justin Jensen with Morrison Clark & Company. Whoever you choose, interview them and make sure they have your best interests in mind. Don't ask a CPA for legal advice and don't ask a legal team for tax advice. :-)

@Adam J Goodsite

Can you tell the tenants that you will need them to move out for a period of time while you upgrade the unit? They will need to move all their stuff out because you will be doing a complete remodel. Once they are out, they are out. They don't need to know when you will start but give them a time you want them out so you can start prepping. If they won't leave with that, I would talk with your local sheriff. Hope that helps

@Travis Moe

What great insight! I am a complete rookie, about to hire my first property management and I want to make sure I clearly understand this (because my head is pretty muddy at the moment). So, when you hire a property manager, they should set up an escrow account specifically for that property? How then does the money get into your bank account? And what recourse do you have if they decide to hold funds?

I guess I read too much and would just like a clear, step-by-step explanation of how you believe it should be set up. I can see where we are looking at worst case scenario but I would rather worry about it now and get it ironed out than wait for a problem (which might never happen...). Thanks, Travis!

@Russell Brazil

Thank you. That is very helpful.

@Russell Brazil

How many hours are typically involved in the paperwork?

Hey, everyone~ What would be a fair amount to pay a realtor for just doing the paperwork on a deal? My husband and I found a property we are interested in that is not listed with a realtor. I started working with a realtor a few months ago and would like him to handle the paperwork for us. He said he would charge 4%. Is that reasonable? average? 

Thanks for your input!

Hey, BP Crowd!

I'm curious to hear people's stories of someone who wanted to invest in rental real estate but got in over their heads through taking on too much debt, stumbling during rising interest rates with an adjustable rate mortgage, etc. What happened and what could have been done to avoid this?

We spend so much time focusing on the positive but learning from mistakes also makes us better! Thanks for sharing!

@Account Closed

Thank you very much!

@Angelina Ng

Got it! Thank you very much!