Re: Questions for SteveS(CPA)!!! - Posted by SteveS(CPA)
Posted by SteveS(CPA) on June 19, 2001 at 22:20:20:
Great job!!! Man, you are doing everything right.
How are you getting the $150k tax-free? Is it not capital gains?
But anyway, pretty much everyone’s courses on this board is first rate, but I like Bill’s courses because; 1. HeÕs an attorney (and I’m a card carrying member of the lawyers relief act) and 2. HeÕs in CA. which means his courses work here. California is the riches and most contract happy state in the union, and I have found his courses very complete in dealing with the CA area. So, I know when I ask him a question about CA he is more likely to know it than someone from another state does.
Yes. I do go to the real estate club in LA. You can find their web page on REI clubs section of this website in the California section. The cost is $20 per visit, but you usually get a lot of good information and meet some really good contacts. Matter of fact, Bill is going to be doing a seminar on the 23rd. If you can catch it would be a great opportunity to meet him and ask him some questions first hand.
haha, that’s a funny question. Yes it is very possible. But, instead of focusing on the more than 10 million properties in Los Angeles county alone. I would focus on a smaller section of LA or Orange County. That way you can get to learn the market of that area and know better where to focus your time, resources and energy.
My only warning would be when you do get the 150k don’t spend it like it was burning a hole in your pocket.
Having a lot of money to invest in real estate is even more dangerous than not having money to invest.
Also, if you don’t have a plan - now is the time to start putting it together. It should be as detailed as possible as to what your investment goals and plans are.
After you have you plan in place, if you have partners make sure they all sign off on the plan and know what they are expected to bring to the table.
Next will be time to put the rest of your team together. If you do not have a first rate real estate attorney get one. And make sure he not only knows what subject to and L/O deals are, but he will be on board when the deals start coming down the pike.
A lot of attorneys will give you a hard time because either they do not understand how this works or even worse they have to go look it up. If you have to educate your attorney what your doing, then unless you really want him on your team get rid of them and find the best one you can that you feel the most comfortable with.
Next find a good CPA and tell him your plans. If he is going to be your personal accountant give him your entire financial profile. By putting him in the beginning of the deals he can help you structure your deals that will be the most tax friendly for you. And you’ll be doing yourself and your accountant a great favor by structuring deals right in the beginning rather than coming to them at the end of the year and saying this is what I done, now help me pay less tax. And I’m not saying to let your taxes determine the deal, but if there’s a more profitable and tax friendly way to do it then you should know that going in.
Finally, get a buyers broker in your area. Find someone who is aggressive and has some energy. I recommend you find an aggressive buyers broker, because these people are the ones who is going to be doing the bulk of the negotiating for you and you do not want someone who is timid or laid back. You want someone who will fight to save you as much as possible and not give away the store on the first deal.
Everyone on your team should have your plan and understand what the objectives are and what is expected from each of them. Once you have laid the groundwork, you will be ready to attack your market. When you attack stick to your plan like glue. If something is not working the way you intended it, do not just abandon it. If you have to abandon a part of your plan, replace it with something better, but don’t just say this is not working and stop doing it completely. That’s the kiss of death that most real estate investors make starting out.
I’m sorry this is so long and I wish I had more time. But that’s the start let me know how your doing.
And good luck