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MichaelC

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Everything posted by MichaelC

  1. I neither know nor understand the technology behind the app. But I do know that programs like Cubix Solutions are needed. As you said, so many of the listings are Realtors, spammers, repeat listings, etc., that going through them manually is time consuming and discouraging, to say the least. A program like this, or a crafty virtual assistant with the know how to get around Craig's List filters, is almost a necessity.
  2. Randian, I think you're correct about Cubix only working with Windows. I'm surprised. Have you contacted their support desk to see if anything is in the works for Macs?
  3. nash, if the assignor above assigns the deal to the assignee for an assignment fee and receives that fee in total upfront, then he shouldn't care a bit what the assignee does as he is totally out of the deal. On the other hand, if the deal was set up so the assignor had to wait for the assignee to close on the deal, he would want some protection in case the assignee couldn't close. Of course, this is not the recommended way to do assignments. Get your fee upfront and move on.
  4. Mike, the legalities are often different from locale to locale. So your best approach would be to ask your potential office partner, the strip mall management company, and possibly the county or city office that handles related issues for business licenses. As for a business name, it would seem to me that is a must, unless you are planning to use the office only as a place for a desk, phone, laptop, and a convenience for meeting tenant/buyers, homeowners., etc. You might be able to piggyback off the existing office setup. Being there all day? Well, sitting in an office doesn't usually produce results. Everyone is different but I've always worked better independently. But I can understand that for some, staying at home doesn't lead to productivity. Perhaps the couch and refrigerator are too close and tempting. Decide what works best for you. Finally, I think much of this setup depends upon the existing office people expect from you. Hashing out everyone's wants, needs, and expectations is probably the best first step before anything else concerns you.
  5. You need to weigh the pros and cons. Free office space is a positive, plus you gain a more professional appearance for that occasional homeowner or t/b who wants to "meet at your office". Sounds like your friend has an interest in what you are doing and is bartering his space for your know how.
  6. No downside that I can see. The tenant has agreed to the increased rent and they pay on time. When dad gets out of the hospital, have a talk with him and find out his plans. If he doesn't want to commit to a lease purchase, then sit and figure your options. Is a straight purchase a good deal for you? If so, get your financing in place and do it. If not, you can continue to milk the property for cash flow. Or, you can always try and assign your position, (a good one from what I know), take the assignment fee and move on.
  7. You're negotiating from a position of strength. The t/b allowed their lease to expire, so their option has expired, as well. Do what you think is in your best interest, but if they are good tenants, don't be too quick to push them out the door. Making payments on a vacant property is not what our business is built around.
  8. Question I should have asked previously: are these tenant/buyers, or simply tenants? Either way, if their contract with you has expired, call and ask what their plans on now that there is no longer a binding lease agreement. If they want to stay, advise them of the increased rent and gauge their reaction. Perhaps they're OK with it, (business is booming), perhaps they want to negotiate, (be flexible and keep them if they are good tenants), or perhaps they decide to give you their 30 notice to vacate, (rethink the rent raise or begin your marketing plan for new tenants). If they end up staying, draw up a new agreement reflecting the new terms and you are done.
  9. Being that the lease between yourself and the t/b is over, you default into a month to month agreement. Either party has the right to terminate the agreement by giving 30 days notice, ,(or more or less, if the state statute says otherwise. But most states I am familiar with require 30 days). And I agree about the rent. Raising it doesn't seem like a bad idea. The tenants are running a business and making what I assume is good money, a bump up in the rent shouldn't send them running. It would be a lot more costly for them to shut down and relocate elsewhere.
  10. The tenant/buyer contract with YOU has expired and so it defaults to a month to month lease, subject to your accepting rent each month. However, YOUR lease with the homeowner has not expired and so nothing in this deal changes between you and the homeowner. By the way, she doesn't have any legal right to snoop around the property, knock on the door, peer into windows, etc. Most every state I know requires at least a 24 hour notice to the tenant from the homeowner to pay a visit, unless there is an emergency or extenuating circumstances.
  11. I'm no lawyer, but there needs to be a reason to evict, some violation of the lease agreement at least. Has there been any? Has there been one? If not, I don't see how you can evict your tenants. Likewise, you are the homeowner's tenant and unless you have violated the terms of your agreement with her, she cannot evict you. Curious, how did she become aware of the marijuana business in the house?
  12. Interesting article from RealtorMag: http://realtormag.realtor.org/commercial/conversations/article/2014/07/are-mega-investors-changing-rental-housing#.VCMDN7DeetA.twitter
  13. I agree, Chris. It will be interesting to follow the growth and acceptance of AllRe.com. At first glance it is a good idea and I want to see how Brokers and Agents fight this.
  14. There's a new kid in town. Still in beta but showing much potential for transacting real estate deals without the need for Brokers, Agents, and commissions: http://techcrunch.com/2014/09/08/allre-lets-you-buy-and-sell-your-house-online-without-a-real-estate-agent/
  15. With the understanding that I am not an attorney, I must disagree with the seller's attorney. The Assignment Agreement makes it quite clear that you have relinquished all interest and rights in the deal to a third party, in this case the tenant/buyer. You have no further attachment or involvement in the deal. I wouldn't be involved in any such extension, nor can I see why you should be. I'd politely but firmly tell the seller just this in so many words and be done with it.
  16. Hi, Sharyn. Personally I don't offer that suggestion because I want to be as neutral in the deal as possible, and not give either party the opportunity to think or say I was representing someone in the deal other than myself. Perhaps I'm a bit paranoid. That said, if you want to you certainly can as a gesture of honesty, integrity, and customer service. Although, I think that if a homeowner made me feel early on that he/she was less than honest, I would think twice about doing business with them in the first place. Regarding a title search, again, I try and keep my distance when doing a CA and so a title search is the responsibility of the t/b, in my opinion. If asked, I'd say it was a good idea, however, for both the Memorandum and a title search.
  17. You've been working with this homeowner for a while and it seems like you have a relationship. So you can probably continue to market in the interim until you meet up with him again to have the option agreement extended. Just be advised that technically if you were to find a buyer you don't have any agreement with the homeowner and he's under no obligation to do business with you.
  18. It's not the norm these days, Mike. With the real estate bubble still fresh in their minds, banks are much more cautious these days about allowing their loans to be assumed by another party. Factors involved would be the payment record of the original mortgagor; the terms of the original mortgage compared to terms today; credit history of the wanna-be assignee; etc. No harm in trying, so push the current homeowner to see what he can do.
  19. That is the decision of the bank who holds that mortgage. Nothing you can do at this time. The homeowner needs to contact the lender and plead his case as to why it would be beneficial to do so.
  20. It's something I would do and have done. Yes, it's pushing the envelope regarding the license thing, but who's watching these things? The Real Estate Police? Charge 1 month's rent, find her a tenant, take the money and slither off under the rocks where we all reside. Just draw up a simple Finder's Fee Agreement, or Marketing Agreement to cover yourself. However, with the homeowner being out of the area, it's easy for you to retain control. You'll be showing the property and when you do find an acceptable tenant, they will need to meet with you at the property to sign the lease and to bring their money, usually first, last, and security deposit. $1,200 of that money will be in the form of a cashier's check payable to you.
  21. Legally, no, you cannot bring a tenant to a homeowner for a fee. That transaction clearly falls under brokering real estate without a license. This owner/broker surely knows this. My first question is why has she hired another Realtor to put her house on MLS, and why does she need you to find her a tenant. I would think she can do all of this herself. Now, with that said, a legal way around this is for you to sign a lease with the homeowner and then assign your lease to her tenant. It's the same principal as a Cooperative Assignment, but for a straight lease only. Is it worth it dollar-wise?
  22. If he wants to sell by a certain date for tax purposes, but is also open to a rental, why doesn't he express a legitimate interest in a Rent-to-Own? I would push the issue and send him a Short Offer Letter so he can see the specific numbers in the deal. Might push him over the edge to doing the deal. No downside to making the offer, Mike.
  23. No surprises there. Time is a great motivator. My guess is that a lease option will not fit the IRS definition of a sale. Emphasis on guess. There are complexities and numerous factors when dealing with any IRS issue, and that's why I never offer tax advise to anyone, nor should you. The only advise I give is to call a CPA or tax attorney.
  24. Prospective tenant/buyers, regardless of the price range, aren't much different. The first concern is always value. They'll ask themselves whether or not the property is priced right. Second concern is terms. "How does this Rent to Own process work?" They may have an idea, but they want to know what you mean by a Rent to Own. If you can clearly explain the t/b benefits, and they have the financial wherewithal to do the deal and eventually exercise their option, the deal will get done. More money doesn't necessarily mean more difficulty. If you're turning your back on higher priced properties out of fear or confidence, you are your greatest obstacle to succeeding.
  25. Daniel, being a sole proprietor myself and working out of a home office all these years, about 20, I can empathize with your thinking. There has been many a time I considered renting an office to get out of the house when things were getting too hectic. I've always resisted because you can't beat the commute of walking down the hallway. . .often in my underwear or naked. Coffee is pretty good, too. But if I were wearing a younger man's clothes these days and was serious about growing my business, I would certainly put pen to paper, weigh the pros and cons, and make a decision. Good luck, amigo!
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