Posted by Wayne-NC on January 19, 2001 at 06:57:39:
He probably means a trust, limited liability company, or corporation. Check out the legal corner for some great stuff.
Managing risk? - Posted by LeonNC
Posted by LeonNC on January 19, 2001 at 01:03:44:
I just thought I’d post this to see if we could get some interesting discussion. I know Robert Kiyosaki is big on managing risk so I just thought I’d see if the best in the business have any pearls of wisdom when it comes to managing risk in the REI arena. I know Ed Garcia has a real good post that tells what to look for when he buys. I’m just wondering what you feel like are the real risks that real estate investors take besides going broke and losing your credit. Is there anything worse?
- You make your money when you buy
- Know your numbers
- Screen tenants hard
- Measure twice cut once
What else?
LeonNC
Re: Managing risk? - Posted by TRandle
Posted by TRandle on January 19, 2001 at 08:08:28:
Leon,
Your request seems to not be very specific (which I think would help generate more responses). However, it reminded me of a post I typed up a year ago and I went searching. And although it’s the first time I’ve read it since that time, much of it still holds true. The post doesn’t pertain to only risk, but there are some references to it. My belief is that you’re just getting started (sorry if I’m wrong) and you might find it entertaining.
Re: Managing risk? - Posted by Jim IL
Posted by Jim IL on January 19, 2001 at 03:13:42:
Leon,
There is only one off the top of my head that you missed.
“Don’t ever own anything, control it.”
Words to live by…
Take care,
Jim IL
Re: Managing risk? - Posted by Monique
Posted by Monique on January 19, 2001 at 12:00:36:
I enjoyed your link to the Dec99 post. Lots of good reminders even for those who aren’t just starting out.
Monique
Re: Managing risk? - Posted by Brad (GA)
Posted by Brad (GA) on January 19, 2001 at 05:24:21:
Jim, what are some ways, other than lease option, to control property without owning it?
I bought Bronchicks L/O course with that in mind, but I need more options to offer sellers.
Thanks!
Re: Managing risk? - Posted by Jim IL
Posted by Jim IL on January 19, 2001 at 15:40:33:
Brad,
Wayne is correct with his post below.
I learned the hard way to keep things out of my name.
I went through a divorce and realized quickly that much of what I was doing was way too far out in the open.
During the divorce I was told that any deals i did, my soon to be ex could get a piece of the profits, since they were in my name and we were still married on paper.
So, after quitting doing deals for a while, which was foolish, I began again.
I started to use partners, and some different entities to hold the homes I bought.
This kept me protected as well as kept her from finding the deals I was doing.
When/if ever asked now, I can honestly say that I do not own a single piece of real estate.
Even a close look at the county recorders office and you will not see my name.
So, other than L/O’s, there are plenty of ways to buy property and not actually own it yourself.
If you want to know more about protecting your assets, check out www.legalwiz.com for more info.
Take care,
Jim IL