LLC or Sole Proprietor for rental property management?

[TacomaJD]

At least you did not get it town down, then she came and got it. Serious note, time to look at the insurance on others also.


Posted with my thumbs from Tapatalk.

We are, I've actually told her for about 2 months now to get insurance on it, but none of it being in her name yet and two secondary factors being the time to fawk with it and money, has developed into her putting it on the backburner. This has been a huge eye opener for her and an "I told you so" opportunity for me haha.

The problem is that all her dad's junk is still tied up in his estate deal. Called statefarm today and they said they wouldn't even fawk with any of it because they can't start a policy in the estate of the deceased. Their lawyer is doing a deal where they run their dad's name in the paper for 6 months (which ends in December) that says for anyone of whom he may have owed money to, come forward. Then after the 6 months, deeds will be split up into all of them's names accordingly. The hassle of dealing with it through the estate deal is the main reason insurance policies aren't already in place. But we are really pushing to find someone to insure the rest now.

 

[LandSpeeder]

So... if his estate is still tied up in legal, then are his renters paying in to an escrow account? payable to his beneficiaries after all debts/collections are satisfied?
How did crazy-bitch even get kicked out given her landlord is deceased?

 

[TacomaJD]

So... if his estate is still tied up in legal, then are his renters paying in to an escrow account? payable to his beneficiaries after all debts/collections are satisfied?
How did crazy-bitch even get kicked out given her landlord is deceased?

Casie has been collecting rent and keeping up with revenue and expenses. I honestly don't know how this is all supposed to work. She has an older sister and older brother. The older sister also got 3 trailers that are rentals and is collecting rent on those. The older brother got more chicken houses and a lot of the farm equipment. They know how everything is supposed to be split up and are acting like it's already settled, it's just not legally deeded to any of them yet.

The tenant in the trailer (Frank) was their farm hand. He is illiterate, lazy, but decent mechanic and knows how to run chicken houses, so he was cheap help to her dad while they were farming chickens. After her dad passed, Kochs cut the chicken contract completely, so they have 7 empty chicken houses now. Obviously Frank no longer had any work with them, so he was going to have to start paying Casie rent, as the power and water that went to his trailer was ran off of the chicken houses, aka Casie was responsible to pay both utilities as he lived there. He had a dirty ole bitch with 4 or 5 kids living there with him that didn't work and lived off mine and your tax contributions via welfare. Several of Casie's family has chicken houses, and one set of cousins was gonna hire Frank so he could make money, stay there, and pay Casie rent, and paying much better than what he was making too. Well he showed up a few days in a row, then just stopped showing up for work so they found someone else. He calls Casie and says he ain't got money to pay rent so she said look Frank, you gotta work so you can at least pay rent, I can't pay your bills and mine too. (Casie and Frank had settled on $300 a month for now including power and water) so he was getting a fawking deal in rent...but she said if you can't pay and don't want to work, you are going to have to find somewhere else to live because I can't keep you up forever. She wasn't running him off immediately and she made that clear to him, but they got out that day. Frank went to his moms and the whore took the kids and went to one of her friends or something. Well Frank did that because he was wanting her out anyways and had planned to move back into the trailer. Somehow this bitch found that out or maybe just suspected that or something, she had some cross words with Casie via text that evening, then the next thing you know we got a call at 3am that night saying the trailer was burnt to the ground. She immediately called that bitch and she didn't answer. She tried calling her again around 9am that morning (5 hours later) and the phone had been disconnected. There's not a doubt in my mind that that bitch burnt it.

So it's just been one big cluster ****, I hate it because none of it is in my name and she is looking to me to help handle a bunch of this, and it's very difficult to do given the current circumstances. So to answer your question - I have no fawking idea haha.

 

[TacomaJD]

Oh and regarding paying into an escrow account, I'm not real sure exactly what you are talking about there, but everything her father owned was paid off by life insurance so they weren't burdened with anything financially. The only thing holding it up as far as I know is whole running his name in the paper for 6 months for whatever reason, then after that, all the legal documents (deeds and such) will be transferred over into each of their names accordingly.

Like I said, I haven't been able to talk to their lawyer. I'm just having to hear how things are being handled mainly through her brother, as he is the executor.

 

[LandSpeeder]

Oh and regarding paying into an escrow account, I'm not real sure exactly what you are talking about there, but everything her father owned was paid off by life insurance so they weren't burdened with anything financially. The only thing holding it up as far as I know is whole running his name in the paper for 6 months for whatever reason, then after that, all the legal documents (deeds and such) will be transferred over into each of their names accordingly.

Like I said, I haven't been able to talk to their lawyer. I'm just having to hear how things are being handled mainly through her brother, as he is the executor.

Well, if tenants are paying his beneficiaries and not the court, then if a debtor answers that ad and wants to collect, then that money they've collected is not theirs, it's the courts, and they will be responsible. Death is never easy. But sometimes easier when the deceased has nothing. I wish ya'll the best. Sucky situation you are in, and let us know if we can help/ Legally of course. Of course.

 

[TacomaJD]

Well, if tenants are paying his beneficiaries and not the court, then if a debtor answers that ad and wants to collect, then that money they've collected is not theirs, it's the courts, and they will be responsible. Death is never easy. But sometimes easier when the deceased has nothing. I wish ya'll the best. Sucky situation you are in, and let us know if we can help/ Legally of course. Of course.

I'm not understanding how a debtor would have any means of collecting anything since the property has already been paid off? Actually the properties that Casie got has probably been paid off for many years now, as it was the initial home and farm her dad started out with a long time ago before buying the new farm. Their lawyer is aware of all of the properties and that 5 of them were being occupied by tenants (4 now since the trailer fire). I would figure the lawyer would have told them to go about receiving the revenue from tenants differently if they weren't supposed to just receive it themselves? Idk, I'm just ready for it to be completely settled, so we can continue on with our plans. This whole ordeal has been a headache and one big learning experience for all of us.

 

[TacomaJD]

I really hate airing this **** too, but **** we're all so new to this, it helps to have listening ears willing to give advice - so thank you all!

 

[LandSpeeder]

I'm not understanding how a debtor would have any means of collecting anything since the property has already been paid off? Actually the properties that Casie got has probably been paid off for many years now, as it was the initial home and farm her dad started out with a long time ago before buying the new farm. Their lawyer is aware of all of the properties and that 5 of them were being occupied by tenants (4 now since the trailer fire). I would figure the lawyer would have told them to go about receiving the revenue from tenants differently if they weren't supposed to just receive it themselves? Idk, I'm just ready for it to be completely settled, so we can continue on with our plans. This whole ordeal has been a headache and one big learning experience for all of us.

Not the way it works. If he did in fact owe anyone, and they can provide quantitative proof, then his assets can and would be sold. Or his monetary assets would be used. It's VERY likely he does not owe anyone it sounds so they are good. BUT this is why all assets are seized until this period. All money being collected by his assets should be going in a neutral account decided by the court. But if they didn't set that up, it's their fault. Sadly, the beneficiaries would be carrying the burden of the courts ****-up though.

 

[TacomaJD]

Not the way it works. If he did in fact owe anyone, and they can provide quantitative proof, then his assets can and would be sold. Or his monetary assets would be used. It's VERY likely he does not owe anyone it sounds so they are good. BUT this is why all assets are seized until this period. All money being collected by his assets should be going in a neutral account decided by the court. But if they didn't set that up, it's their fault. Sadly, the beneficiaries would be carrying the burden of the courts ****-up though.

Ah, I see. From the little bit that I know, I don't think there will be any issues there. No more revenue than she is getting off the single property now, it's not enough to really shift things either way I don't think. The house that she lives in now will be for rent, as will mine, but that will be after we buy the new house, which will be after the legal crap is sorted. We are ready to buy my buddy's house right now, but are gonna wait until around February to begin the home loan process on it.