Real Estate

Originally posted by Scott Hubbard... Another thing to look into is right of survivorship. Get a copy of the warrant deed to see if the wife as rights of surviorship. Meaning, in case of death, she can sell the property. A title company can usually help answer these questions for you too.

Good luck!

I agree with Scott's post; I would start by looking at the bit that I extracted and quoted from Scott's post. If the deed is "tenants by the entirety" or "joint tenants with rights of survivorship" or something similar, then the surviving spouse should get to do as they please with the property. If the deed is "tenants in common", then you get the whole succession and probate thing to deal with. Then there are other ways of holding title to property that need to be considered, such as a trust.

Daniel,

My guy at US Bank just had the rug pulled out from under him - they changed their lending guidelines effective Q2.

Conventional loan or private money is looking like the most readily available options right now.

I have never seen this software (I have heard of it). Is it just an interface to a database of REO's and pending foreclosures?

What does it have that a local title company, (if your state has them), can not give you?

I have a paracel of property in the North phoenix area great area 5 1 acre parcels with water. I can no longer make the payments and it makes no sense as the property is worth 25% of what I bought it for. If I short sale the property can the bank come back on me personally for the difference? Property is titled in my wife and my name. :cry:

She'd emailed me back as soon as I finished posting above.

She said that I need to put a time limit on our agreement and that I may not work with anyone else during that time limit.

She also said that generally people work with one realtor, since there could be a problem if two realtors sent me the same property. She said if we were going to work with more than one realtor she'd rather opt out of working with us.

Does she have a point?

Hi there,

To answer your questions, in my opinion only....

It sounds like you want to Short Sale your property and take as little loss as possible, which is understandable. Let's look at your options:

If an investor were to make an offer on your property, they are going to obtain as much a discount as possible, because they want to make as much money as possible. I can't see this as a viable option, since you don't want to take more than a 20k hit.

It may be a bit more attractive for an owner occupant to make an offer because the discount they get will be enough to cover estimated repairs (5k), plus obtain a bit of equity (about 15k). This of course is under the assumption that the realtor gave you correct comps and that the prices in your area aren't still falling, in which event may prevent even an owner occupant from bidding. The downside to this is that Short Sale takes several months to complete - at minimum. As well, a Short Sale is never guaranteed to be approved. It may be very hard to find the right buyer who is willing to wait for a *possible* approval. Remember, this is a buyer's market, so they have alot of options right now.

I understand that you need to sell due to medical issues. Is it just not possible to put the money in for repair and list with an agent? Perhaps if you have the cash, but not the time to repair you can offer a credit at closing and just pay out of pocket?

A few brief points...

How much do you trust this realtor? Perhaps get a second opinion. Explain that you need to sell fast and ask what improvements are necessary for that. Also, you may be able to get a contractor to do the work for less than 5k. This is a tough market and *all* professions are hurting.

Not certain how familiar you are with Short Sales, however keep in mind they will impact your credit negatively. Depending on your financial hardship, the fact that you are current on your payments may hurt your chances of successfully completing a Short Sale. This also largely depends on your lender and the negotiator.

Finally, have you considered either straight renting or renting with the option to buy? I know that your property needs work, however there are plenty of credit challenged people with money who want to live in a home. Offer them to complete the work and credit it as a down payment. Just ensure that you request receipts.

This may be the best option to move quick, depending on the rental market in your area and if rent can cover your payments.

No matter what, seek professional advice before you make a decision.

Good luck!
Danielle

Rich
What would that $140K home rent for? I bought one in Arlington last year for $142K and it rents for $1,275 a month. Property tax for 2009 was $3,876.00. You are right about the insurance, it was only $713.00 for 2009. Repairs are also quite low, I had a French Drain installed last year from the back yard to the front, and total cost was $800.00. Locally, I had an estimate of $3,000.00 for the same thing on my home here in Colorado.

I just wish there was a place in Texas that I could get 2% rental income. I would even be happy with 1.5%.

"Why would people facing foreclosure say No to a short sale?"

1) If they are REI knowledgeable, they'll know you're talking pre-foreclosure, not a true short sale. Maybe that leaves a bad impression, maybe it doesn't. It may also send a signal that you're lacking in other areas...and might end up with the wrong deal.

2) If they bought the house to live in, and not to invest in, they might not see the 'advantages' you're speaking of; there may be other reasons, such as a medical/family issue. Chances are, if they are in this category, they also do not know the difference between a shortsale and a pre-foreclosure...

3) No 1099 for the deficiency. This is where knowing the difference between the two is CRITICAL in my opinion. Can you imagine arranging a deal for someone in the beginning, telling them this, then, the deal closes, and they get it anyway? Get your reputation sunk by something like this, and you may have to find elsewhere to do your business. Remember, as we get better, we'll deal more often with OTHER REI's...and word gets around.

4) Exposure: If you deal with a pro, and they detect you don't know the difference, don't expect them to structure the deal to accommodate your lack of knowledge. Its not a rip off, its about each of us being responsible and knowing what our goals are. Thats not the job of the woman across the table from you.

Those were my two cents.

I'd say that all of these big lenders have some kind of application fee. Not sure whether a phone call is enough to trigger that fee or not, but I won't argue with Bill's statement since it's definitely possible.

Originally posted by Darren Little...
roof, heating and hair replaced within last two years.
...


Those hair replacements can add quite a bit of value, especially if ladies are looking :D

Or was that part of the "roof" job?

Why no new "rugs"? :lol:

thanks for everyone's help.

normana61

Assuming that you are wanting the service to create, print, provide postage and mail then.....

Click2Mail has the cheapest prices and quickest turnaround from my experience.

But, their software is horrible and so is their quality.

They're fine if you're just using text but if you use graphics then be prepared to send out wimpy card stock with smeared, smudged and blotted art.

DeeXiXi wrote; "Does anyone have a sample of their owner financing note term and condition"

Here's one that I use, NOTE, please make sure that YOUR attorney draws one that fits the bill for YOUR STATE.

You will note that even though I was only charging them 8% interest on this loan I was earning 11 1/8 on MY INVESTMENT. I calculate my earnings this wasy.

I paid $46,000 CASH for this property. Buyers had already looked at it with me and signed a purchase deal the day I signed to purchase it.

They paid me $2,500 down (plus $350 document fee but that was just a sweetener) reducing my investment to $43,500.

The P&I on $43,500 at 11 1/8% is the same as on their $57,000 @ 8%.

BTW, when I started doing this in the early '80s I didn't put a balloon in my notes, as I hit my 50s I put in 10 year balloons, in my late 50s I changed ti to a 5-7 year balloon.

REAL ESTATE LIEN NOTE

DATE: NOVEMBER 16, 2001

MAKER: THEIR FULL NAMES

MAKER'S MAILING ADDRESS: THEIR ADDRESS

PAYEE: ME

PLACE FOR PAYMENT: TX 77084

PRINCIPAL AMOUNT: $57,000.00

ANNUAL INTEREST RATE ON UNPAID BALANCE: 8.00%

Terms of payment: monthly payments of FOUR HUNDRED, EIGHTEEN DOLLARS and 25/00 (418.25), commencing on the first day of January, 2002 and continuing, one payment being due the first day of each successive month, until the first day of DECEMBER, 2011, when a final payment of all unpaid principal and interest will become due and payable.

SECURITY FOR PAYMENT:

INSERT FULL LEGAL DESCRIPTION HERE!!!

Maker promises to pay to the order of payee at the place for payment and according to the terms of payment the principal amount plus interest at the rates stated above. All unpaid amounts shall be due by the final scheduled payment date.

If maker defaults in the payment of this note or in the performance of any obligation in any instrument securing or collateral to it, and the default continues after payee gives maker notice of the default and the time within which it must be cured, as may be required by law or by written agreement, then payee may declare the unpaid principal balance and earned interest on the note immediately due. Maker and each surety, endorser, and guarantor waive all demands for payment, presentations, for payment, notices of intention to accelerate to maturity, notices of acceleration to maturity, protests, and notices of protest, to the extent permitted by law.

If this note or any other instrument securing or collateral to it is given to any attorney for collection or enforcement, or if suit is brought for collection or enforcement, or if it is collected or enforced through probate, bankruptcy, or other judicial proceeding, then maker shall pay payee all costs of collection and enforcement, including reasonable attorney's fees and court costs, in addition to other amounts due. Reasonable attorney's fees shall be 10% of all amounts due unless either party pleads otherwise.

Interest on the debt evidenced by this note shall not exceed the maximum of non usurious interest that may be contracted for, taken, reserved, charged, or received under law; any interest in excess of that amount shall be credited on the principal of the debt or, if that has been paid, refunded. On any acceleration or required or permitted prepayment, any such excess shall be canceled automatically as of the acceleration or prepayment or, if already paid, credited on the principal of the debt or, if the principal of the debt has been paid, refunded. This provision overrides other provisions in this and all other instruments concerning the debt.

Each maker is responsible for all obligations represented by this note.

When the context requires, singular nouns and pronouns include the plural.

A late charge of 5% of the overdue payment of principal and interest will be due on any payments received after the fifteenth (15th) of each month.

___________________________

___________________________

STATE OF TEXAS

COUNTY OF BURNET

This instrument was acknowledged before me on November 16th 2001 and wife.

____________________________
Notary public in and for the state of
Texas

KUDOS to the OP for this great thread. I'm essentially doing "Lonnie deals" on SFHs and making a nice living at it.

Frank

Can anyone help with 90-day funding on a transaction for me? I need $75k in Minneapolis metro to fund a town home purchase. Home could sell for $120k with TLC. Thanks.

Anyone have a good list provider of people 30-days delinquent on mortgages, credit cards?

We've Created a Forum Where Members Can Post their OWN Buyer's List Post. All Future Buyer's List Solicitations Should be Made in the Promote Your Buyer's List Here Forum.

We realized that this huge thread was relatively useless for everyone involved . . . sometimes it takes a bit to figure it out, but we've managed to do so.

[Thread Closed] :zzz:

We've made a decision to open up a new forum so members can work to build up their buyer's lists. This is the ONLY place on the BP forums where we'll allow you to solicit for your list, so please take this opportunity to provide DETAILS about what you're offering and what exactly you're looking for.

NOTE: You MAY NOT post the email address where people can respond to join your list here. It MUST be contained in your signature or profile, or the email will be removed. That said, you MAY post the URL of any form used to create your investor list here.

Example post:
Join the BiggerPockets Investor's List as we're seeking investors across the USA of all types, purchasing abilities, interests, etc.

Thanks and good luck everyone! :mrgreen:

Be sure to include what areas you are looking for buyers in!

UPDATE: EACH MEMBER YOU MAY CREATE ONLY ONE THREAD IN THIS FORUM. You're welcome to respond to other discussions, but you can only have one for yourself.

Hi everyone, I want to get started doing bpo's to get some extra money rolling in. I was just wondering if anyone has gotten certified with National Association of Broker Price Opinions Professionals? Their membership is $220 and I was just wondering if you guys thought it was worth it or not.

Thanks,
Michelle

Thread closed.

As for J Scotts video, I find an interesting paradox. While sounding uneducated and 'backwards', these are the folks that put the bread and meat on our tables, the milk and beer in our refrigerators and supply many of the basic needs of Americans. I believe the term is "salt of the earth" folks. I live in an area of heavy cattle ranching. We see the folks with 'dip drool' coming out of the side of their mouths, the overalls, beat up pick-ups, etc..., yet they are running 10,000 head of cattle that we all enjoy at Outback Steakhouse, Chili's, summer BBQ's, etc... If you saw the richest rancher here in the area at the local coffee shop, you would think that he is one step from homelessness. Yet, he has a private airstrip, an indoor rodeo arena and more money than you can imagine, and he talks just like those folks in J's video.

As for Tim's video, I wish the American Press would really cover Iraq the way it should be covered, meaning with no political agenda, just the news. I have talked with many military servicemen and they say the US news is not even close in accuracy covering the Iraq War. The average Iraqi LOVES President Bush and America. We gave them their country back. We let them write their own constitution. We let them establish their own government. And we took out the most destabilizing force in the Middle East, Saddam Hussein.

Once again, J Scott compares a person voting in Iraq to a redneck American. It boggles my mind how anyone can compare someone finally enjoying the right to VOTE to a Anti-Obama Redneck. I guess I will tell my boss that I was late today because the price of garlic in China went up yesterday.

Brian,

Thank you for responding to my post. This group is looking to buy in Bulk. They are buying and holding.

If your contacts have multiple unlisted properties please give me a shout. I have other buyers that may be interested.

Thanks,

Stacy