Sunday, November 27, 2016
Saturday, October 29, 2016
5 Reasons Credit Reports Dont Work
5 Reasons Credit Reports Don't Work
By John Nuzzolese
What??? Credit reports don't work? This must be a joke, right? Tenant credit reports are one of the most important screening tools in the rental housing industry.
In order to secure a good tenant for your rental, it is critical that we practice proper tenant screening. This includes verification of all the reference information on a detailed tenant rental application. A credit report is an important final step of verifying the tenant's financial history, or track record.
Credit reports contain important factors in evaluating a person's creditworthiness. Creditworthiness, of course, is what you are looking for if you plan to hand over your rental property to someone.
So What Are "5 Reasons Credit Reports Don't Work?"
Click for full articleScreening Tools for Before the Credit Report
Tenant Finder ™ Pre-Screening Telephone Worksheet
or The LPA Pre-screening Prospect Card (with html code for Internet ads)
The LPA Rental Application
The Landlord Reference Qualifier
Credit Reporting Disclosure Notice
Tenant Finder ™ Qualifier Chart
Tuesday, October 18, 2016
Wednesday, October 12, 2016
What’s Best for Real Estate Investors : LLC or S Corp?
There are many Real Estate Investors that are unsure whether they should establish a Corporate Entity or not. The primary purpose of having your Real Estate Investments, in a Corporate Entity, is to protect you personally. You want Asset Protection. Ideally, for Buy and Hold Investments, you would want to create a LLC, for each property. This may seem a daunting task; and you may be thinking how to manage all the bookkeeping. Depending on your area and the value of each property, you may want to consider grouping properties into a single LLC that does not exceed a total monetary threshold.
To better illustrate this concept, I will share my Company's Business Model. Each acquisition is placed in its own Clone LLC, with the only member of the Clone LLC being the Umbrella LLC. This funnels all net gains and losses, from each Clone LLC, to ACT Investment Properties, LLC that operates as the Umbrella LLC. This Business Model only requires two Bank Accounts: a Corporate Checking Account and a Corporate Savings Account...