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Haven Hardwoods
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I was wondering if any of you guys have bought an investment house under your company's name and what that all entails? Also, what kind of financing did you use?:thumbsup:
 

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Contractor of the Month
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Or buy it personally and transfer your personal address to it for a year to avoid paying capital gains upon sale.
 

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I was wondering if any of you guys have bought an investment house under your company's name and what that all entails? Also, what kind of financing did you use?:thumbsup:
No, haven't. Have formed new LLC and that is how we purchase/maintain/operate the properties.

Straight out of Best Business Practices 101.

Always, always ALWAYS limit liability exposure.

ALWAYS.
 

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Imwould agree with small town guy. We have seperate corporations or LLC's for our construction business, and our rental property. Many people set up seperate LLC's for each property. That way a lawsuit from an accident at one , can not get at the equity of the others.
 

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Separate holding companies for the flips, land, and rentals properties as well as the business. Allows for the business to bill the flip for work reducing net profit and capital gains. S-corp in US is very tax efficient.
 

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Separate holding companies for the flips, land, and rentals properties as well as the business. Allows for the business to bill the flip for work reducing net profit and capital gains. S-corp in US is very tax efficient.
...
 

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Or buy it personally and transfer your personal address to it for a year to avoid paying capital gains upon sale.
Only works for the unit you live in, not the entire building. Then you have to live in it prior to sale not just one year

Buy it personally then put it in a LLC. No other way, banks not going to loan to LLC unless you personally guarantee loan.

LLC will give you some personal protection, not a lot. More for tax and accounting purposes.
 

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Separate Corp for each house...

Keep in mind that whatever you bundle together under on name, is assets that are accessible to liability...
 
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