pilot76180

I have found the biggest thing to look at is the HOA fees. That can kill a deal, at least here in TX. If you have a $100k condo that rents for $1100...but HOA is $600 a month... The buyer could go get a $190k house with a pool for that... FL is different because it's full of Italians and old people, so it's all screwed up, so HOA's are tighter to keep out the riff raff.

Nick, be well learned on Occupational Code for your state. When...on the rare occasion anyone called me or said something along what you are saying, I could cite Occupational Code Sec 1101.1 and they didn't even know what it was... Conversation stopped.

Yes...it's me... The tenant is responsible for anything that doesn't fall under something that the owner's ins. would be involved in unless state law says otherwise. Tenant's don't pay taxes ad ins as it's not an owner finance or contract for deed. It's best and cleaner to have the rent credit go towards closing costs. We actually don't offer or mention rent credits in our docs, just a seller concession.

Hey my peeps!!! BAM!!!! Daddy's in house!!!! So...seller concession.... Rent credits...blah blah blah... We do not mention a rent credit in our docs..we offer a seller concession of say $3600. the concession goes towards closing costs. Keep in mind the seller can't contribute towards down payment. I don't mention a "monthly rent credit" in our docs, just a seller concession of $3600. The lender knows how to put that on the Hud-1 FHA caps it at 6% and conv. is 3% With our numbers, we never get close to those caps.

DanielSun.... I go by the 43% rule just like FHA. If they can't do that, then you are putting the buyer in harms way.

We haven't offered a monthly rent credit for years. Our docs show a seller concession of say...$3600 That's it. It helps with finance and makes life simple. Also, FHA has a 6% cap on concessions. AS far as DF, I have yet to read anything in the bill that states that if you offer a rent credit you have to provide any sort of additional reportings etc. Although....DF is a moving target as the CBFP is creating rules on the fly to be in line with DF. DF...get 2 idiots to cause a problem then they think they solve it by creating more legislation.

AH4R was started by the guy that started Public Storage....Their buying formula changes weekly it seems, but I've done some title work for them, and even some bidding at the auction for them. They went public I think in hopes to pay off debt, and IMHO to sell to another hedge fund like Blackstone etc. The formulas they use just dont' work for the true individual investor.

If the house is listed above what I feel the value is, then I just let them know, and I send my figures, and explain that I want to get as much as I can, but I just can't see the price per sf that it's listed at. That's pretty rare though.

I tell them the numbers..."this house is $1595 a month and $6800 down..this is a lease purchase, not a rental...are you looking for a lease purchase?" That knocks out a ton of them... Then you sometimes get this... "well, we could be...if the house is right..can we see it this week?" My response...."You could be? Well, I just want to make sure that you all are looking for a lease purchase, where we help you buy the house in the next year. If you all are looking to rent, then we can't help. Are you all looking to rent or to purchase?" "Well, if the house is right then we could consider buying it." (they say that with a snotty attitude) "Well, that house is a 45 minute drive one way for me so I would suggest you do a drive by, and also look at our website which has a number of pictures and a full description and if you all think you would want to buy it in a year call me and let's get you inside."

We don't record anything and the seller's and assignee don't record anything, although they could if they wanted.... Let's take a step back... Subject -2... This is where you take control of the property "subject to" the existing lien and the terms there of. What is one of the first things you do with a Sub-2? You get an Authorization to Release Information and submit that to the lien holder. Same thing, except, in this case the seller is submitting it with the Assignee's information. But let's now take it a step further.. If the seller is late or goes delinquent...the law states very clearly that they are under default of the law...not you... But again...I don't deal with loser sellers, and that's why you see nice houses on our website. I've had sellers that I've talked to or met and I know JOHN.....RUN AWAY!!! and I did. I don't have time for their crap...

This is in regards to if the seller defaults, so the authorization to release allows the lender to release the mtg info and if the seller defaults then the buyer can make the payments to the lender

I haven't hit the forums as much just because of focusing on other things, such as world domination etc. I completed my first wholesale deal, and go the check from the title company Wednesday. Not a massive check, but whatever. It's nice to see a deal come to completion. Pretty easy stuff, like LO's, but just like LO's, it takes effort. As far as the overall market, in places like here in TX, the market is hot, because the hedge funds like Blackstone, AH4R, The Colony etc., are buying all the FC's they can at the courthouse, and have had to turn to the MLS, so the inventory is low, but demand is the same, so of course values go up. I'm getting ready to do a mailout next week, but I anticipate the response to be mediocre. However, I'm also doing a small yellow letter campaign to absentee owners for wholesaling. I have a guy here that is doing the letters, and it's far less than what you can get it done anywhere else. He's a friend of mine that has worked for me for years, so if anyone needs yellow letters done I can put you in touch with him. Also looking to utilize the wholesale leads to JV with my peeps on potential fix and flips etc. Also looking to start my dream of becoming a Speedo model.

Sorry for the late reply... Yes, if they are in a CH 13, then they will need permission from the trustee to acquire debt, however, once they are OUT of the 13, they would need 3 years in most cases to finance. We have another couple that we are trying to get done before March 2014 because their 13 is discharged then.

I know this is screwed up...but...here's the deal... CH 7..you are looking at 3 years out of the BK CH 13..the lenders look at 1 year on time payments to the trustee and permission from the court to acquire debt. We had a great family that we got financed in Feb and we were under the gun to get hem done before the 13 was dismissed....the reason???? Once the 13 is dismissed they need 3 years to get financed... Yeah...it makes no sense..

Lenders look at 43% DTI (yes there are some variables...but...just look at 43% DTI) Take gross monthly.. Say 3200zx 43% = $1376 NOW..subtract the REPORTED MONTHLY PAYMENTS Car...$300 Credit cards $125 Student loans...$150 = $801 They need to stay under $800 a month.

Barney and Chris Dodd.....what could possibly go wrong?

If someone comes to me and is about to file BK, I tell them I can't help them... I mean...REALLY?!?!?! "I'm about to file bankruptcy, but..I kinda want to buy a house as well.." CH7 requires 3 years, although you'll read and hear 2 years...I've never ever ever ever seen it happen. CH 13 requires 1 year on time payments to the trustee and permission from the court to acquire debt.

DTI that lenders look at is 43$ DTI That is GROSS monthly x 43% then deduct the REPORTING debt, such as car payment etc and include the rent.

Hey! A bwalston sighting! Charles, our docs consist of a Landlords Acknowledgements, Lease, Option to Purchase (OTP), Assignment, Assignee's Acknowledgements, and in TX 2 other docs. The Landlord's Acknowledgements has a number of items in there, and includes a spot where I reflect what portion of the option fee the owner is getting. As MC mentioned, the OTP shows the Option fee in there, as does the Assignment. On our docs, the Assignee's Ack. also reflects it. When we take someone to finance, the underwriter gets the loan package from Rachel, and this includes the OTP and Assignment, and obviously the 1003 and support docs etc. The HUD-1 reflects the option fee and it is applied to the lender's required downpayment. That's how we do it anyway.

Yes, and that was fixed a while back.....but I just toss you all the old crumbs..... HA!!!!

I think we are talking 2 different sides here... 1) for the T/B....lenders require 3 years from the date of the FC....I don't give a crap about what else you hear....such as 2 years....it ain't gonna happen. 3 years...... now, we have someone that is at the 3.5 year mark, went to take them to finance....turns out the bank held the house for 13 months before they put it on the block!! Now we have to wait till October!!! Grrr...... 2) I don't like doing LO's on a house that is 90 days or more behind. You can, but the buyer better have enough to pay you, and make up the arrears. Also Charles....I saw a response to a question you had on a "less friendly forum".... By a guy that is trying HARD to push his LO training... Due on Sale DOES apply to a lease option. REad any deed of trust and there you go... I only read a couple hundred a month......but... Nothing to worry about at all.....but due on sale applies to any transfer of ownership, sale, or lease option etc.

Well, if she's going to jail, they probably don't need a house!

This one doesn't require an onsite inspection, and I've pulled thru them before. Doesn't get you the tir-merge though, but probably fine for most people on here. https://www.tenantverification.com/tvs-tenant-credit-checks-are-different

I've put one in before, and have meant to make it permanent, but just haven't. I don't think I could actually evict for smoking, but I guess that's up to the judge.

When they get my docs, they have my company name on them, so they are borderline useless to the owner unless they go thru me. I have NEVER had an owner use my docs to "do it themselves". It's not worth their time.