State Street is going to be a rental. We may be buying it from ourselves along with another business partner and creating a new LLC for the property.
In case we didn't mention it, the whole reason we are fans of LLCs is because the United States is a litigious place filled with "victims" that have an increasing sense of entitlement. We shouldn't have to try to protect ourselves from this stuff, but we do. So, if someone get's hurt on your property, and they decide that their injury is your fault somehow, and they file a lawsuit, the lack of an LLC per property could see you losing more than just the house where the injury took place. Hopefully one would not lose more than a few thousand dollars, but you never know -especially with the uncertainty of the extent of their injuries.
So, creating an LLC and paying the $200 per year to maintain it with the state (at least that is the case in North Carolina) is very cheap insurance -on top of a landlord insurance policy. It is not to say that it is bulletproof. Lawyers can and have pierced the corporate veil that is afforded one through the use of an LLC, but it does make it just a little harder to do so.
So, in theory, if something goes down and an organization or person owns multiple rental properties, the owner can limit liability to a small extent by putting each property into an LLC by itself. Grouping properties together under one umbrella invites an injured party to all of the property -should the injuries warrant that kind of settlement. You don't want to be wiped out by one event.
We learned this from a man who owned a chain of fast food franchises. He was a lawyer. And every single restaurant, some not too far from one another, was it own little company or LLC.
Protect yourself. Don't step over dollars to pick up dimes. Spend the money. Go Pro and cough up a few shekels for long term view and care of the wealth that you are trying to build, instead of taking the short term view.
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Here's the Moreland Specific Site from our Realtor. Click here.
State Street may be back on the market. We are 93.5% sure that the buyer has fallen through. So, we will put it back out there for another 30 days or so. If it sells; great! If not, no worries. We'll pull it from the market.
So, if you are looking for a nice little cottage in an up and coming area near downtown Raleigh, we have the perfect little 2/1 cottage for you. The price is a steal considering all the money that went into it. It can be yours for $168,000.00 But, absolutely no VA loans. We are done dealing with that stuff and won't even consider a VA loan offer.
This is an object lesson for anyone else out there dealing with a home that is 75 years old... even if it has been rewired, plumbed and is new from top to bottom. The VA has some very strange ideas on what they want to see. "Like jack up the home over the completely dry crawlspace and rebuild the foundation so as to provide more room," OR "dig down -even though the crawlspace is very dry after two solid weeks of rain." Um... no.
This crazy nut ball of a house has been our "humbling house." Either that, or it has been a great education and has brought us down a few pegs. We've learned a few lessons, and will be trying hard to not make those mistakes again in the future. This, too is a good thing. Don't believe your own press.
Stay tuned and we'll keep you posted on this continuing epic saga of State Street -The House that Won't Sell..
Yes! The Moreland property is now on the market. We are grateful.
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