Jump to content
The forums have been archived and are now read only. Years of great info saved for your reading pleasure. Thank you! Visit us on Facebook: https://www.facebook.com/NakedInvestor/ ×
The Naked Investor Forums

grannyguru

Members
  • Content Count

    123
  • Joined

  • Last visited

Community Reputation

0 Neutral

About grannyguru

  • Rank
    Making Offers
  1. Now THAT is a good idea. I'm throwing away lead after lead after lead that would make for a perfectly good listing. I've tried the route of signing up marginal cash deals and found selling the property too difficult. But... referring that out to a realtor could work. I know there are agents out there who work solely on a referral basis, their marketing brings in leads which they refer out to other agents to work, and they get 25% of the commission when the deal closes. Since a broker can't pay me a referral fee without violating his license, how would I get paid? Release fee on an option perhaps? REPLY: When agents pay non-agents that 25% for having referred the lead, it's called a "marketing fee" instead of a referral fee. Just a simple change of terms makes it legal. Hope that helps.
  2. Per square foot neighborhood comps past 6 months show market value 309,000 w/ all comps 300k plus Sale price: 275000 Lovely established but newer neighborhood in Sierra Vista. Moving out of area. Want to move 1st of year. Wants sale, but may consider lease-option or subject to with right investor managing or buying property. Needs 30k cash at least. Total loans 223k No repairs needed; move-in condition, except no lawn in back yard. 3 bedroom with huge family room/office which could be 2 bedrooms or large bedroom and family room.
  3. Just shows ya: I'm pretty scary! Glad to hear you are still with us! Off to call FRBO and FSBO.... in Canada and elsewhere. Got one here to call again this afternoon. Alice
  4. Hi Rachel: Where is the condo? If there's anyone on this forum near you, they can probably help, though we'd need more info on the condo. Alice
  5. Tell Jeanne: Hurricanes don't work in your area!!!!!! Tell her: violate that rule, and she'll hafta face me! da mudderlaw
  6. Answer: NO! ................................................................................ ....................................... Your scenario would ONLY apply if the seller had just recently purchased the home, claiming to be going to occupy it. These things are spelled out in the contracts the seller signed when taking out his loan on the property. IF someone takes out a loan as owner-occupant and then almost right away turns around and rents the place out, then the seller could have problems. IF the seller lied about planning to occupy the property, then the seller is guilty of loan fraud. But again: these things are made clear in the loan contracts. Translation: it is NOT a big, scary thing with sharks out there ready to attack at the least slip. It's quite common for people to buy a home and then later decide to move somewhere else and rent out the old home. Lenders don't care as long as they are paid and the seller hasn't committed loan fraud. If the loan specified the home could NEVER be rented out, then the seller would simply have to refinance. But I doubt you will ever run into that situation and the seller would definitely be aware of it long ago. Hope that helps, Alice
  7. Lord, I LOVE THIS FORUM! There is NOTHING like it anywhere! Alice
  8. Hmmmm I wonder if this guy is related to Mr. Jerk? I agree: tell him to take a flying leap. I'm tired of pin-headed two year olds being rewarded for throwing tantrums! First of all: Michael's right; he'll lose in court. But at this point think: You have got not only yourself but as you mentioned several people mining for deals.... he won't win... but even if he did, SO WHAT!? In the meantime, you are going to be adding so much moola to de pocket that his idiotic ravings won't matter, nor would it matter if he won, which he can't. Contract law... and especially real estate law... says he's done before he starts. (I am not a lawyer; I only play one in street theater! ) In the unlikely case that happened, it would be a pleasure for me to keep on calling to make up the difference to you! Ya got all of us here, kid! Alice
  9. I agree; I despise insurance companies, credit score keepers, and banks, to name just a few. My insurance clients liked me so much because I educated them, I cared about them, I was good to them. Unfortunately that made it difficult for me to get them to understand that the Company was ONLY their friend when someone was suing them. When it's the Company having to pay them, it is the job of the Company adjuster to be careful not to pay them a penny more than required. Tony will understand this It's called being Thrifty with the Stockholder's money. Here's what credit has to do with risk: I am a great driver; a wonderful risk.... even though I am now temporarily extremely poor. But I have been rich and I have been poor, and I can tell you: rich is a heck of a lot easier and more fun! But being poor, I haven't been able to take care of things, though haven't gotten way behind on most bills. Went out almost on the street rather than get behind in rent. Am frequently upset; am jittery because I am so vulnerable. For me, car trouble in an hour away means I lose the car, where when I had money and great credit, all car trouble meant was a brief inconvenience while someone else towed and repaired the car, after having someone bring me a rental. So when the car hiccups, I freak out, and that's distracting. Those times when it looks like bad things are really going to happen, I'm upset, and that's distracting. Having bad credit, if you are not a jerk and it just happened to you, still means you cannot paint, repair, etc. as you might want to. Places fall apart, not because you are a jerk, but because you are poor. I cut my grass with a push mower and a pair of scissors, but it still looked like hell because it wasn't really grass, but short weeds. Having bad credit may not always mean you are poor. Certainly it does not always mean you are some sort of a jerk. (After all, here I am a saint!) But when it does not mean you are a jerk, it means at least something bad succeeded in incapacitating you. Happened once, may happen again. Translation: you might not be able to meet the needs. Plus, as mentioned above, may mean you are understandably stressed and possibly suddenly vulnerable, and might freak out. Risk does not mean these things WILL happen; it means over a large group of people with those factors, it WILL probably happen to a certain percentage of them. When the same people, in stable situations, could be relied upon. ie. not be risks. ............................. Since I'm saying this, it's important to note for those here working and so much wanting to become un-poor...or at least to leave the slave trade.... that being poor, having bad credit, etc. DOES NOT MEAN you cannot become rich. Just as my having been well-off did not mean I could not become poor... I'm the same person, either way, but I sure don't look like it to banks. Plus it's true I'm a heck of a lot more nervous when poor! I'm letting you know I'm poor so you will know I'm not some privileged person looking down on those with "bad credit"... or supporting banks, credit agencies, or insurance companies. I hope they lose in court. In fact, my situation here is the only reason I haven't invited Michael here. He goes out of his way to be supportive, and deserves the best. Shortly we will be able to laugh about it all, and THEN I'll invite him here. Although I really AM privileged to have Michael and all you folks on the forum here. This IS the forum where even us 'por folk' can actually get rich doing real estate! Hope this helps. Alice
  10. The answer to your question is that where it comes from depends upon how YOU set it up. Or: what all parties agree to do. How YOU look at it is important because that's going to influence how the seller and the buyer look at it. ................................................................................ .................................... But let's suppose you do a L/O where you are buying the house from the seller for 200k, and selling it to the T/B for 206k. Let's suppose you collect 6k from the T/B as option consideration, bringing the selling price down to 200k, and the lease runs for a year. Let's further suppose you are giving a 50% rent credit on $1000/month rent, or $500/month in rent credits. $6000 for the year the place is leased. If you are doing a L/O probably the price the seller is getting is above what he would have otherwise gotten. Otherwise he wouldn't be doing the deal with you. Supppose the seller complains what you seem to think: that he is losing $500/month from his equity. You tell him: HE ISN'T LOSING EQUITY! Instead, he's RECEIVING part of his equity early.... Not only that, but he is receiving that equity payment WHETHER OR NOT the tenant ever buys. Cash in pocket. His to play with. No matter what else happens. And that is only part of what makes our L/O so lucrative for him! So: if the tenant exercises the option, the seller then gets THE REST of his equity. If the tenant doesn't exercise the option, then the seller GETS TO KEEP the part of his equity he got early. And if he wants, to then raise the selling price and the rent and start getting paid MORE equity early. Even better, in the meantime, his getting paid part of the equity early in the form of a rent credit KEEPS THE T/B paying on time, etc! Win win win win. ................................................................................ .................................... Now, of course you can also set it up so that, even after the rent credits are paid, the amount owed by the T/B if he exercises the option, is AT LEAST $200k in our example. I have software that calculates that. So in that case, you'd be selling the place to the T/B for $212k. You would collect 6k as option payment, and the rent credits would reduce the remaining price from 206K to 200k. Otherwise known as what you agreed to pay the seller. Now the seller is not only getting his price, but whatever extra the T/B pays him in rent, including rent credits. ................................................................................ ................................... If you still have problems with this, adjust YOUR deal to fit. As long as the deal fits the needs of the T/B and the seller and you, and that means the house will appraise at point of sale for enough to cover the loan company's needs. Another, more important point: Without going to all that trouble, people here, especially Michael.... have been doing L/O with rent credits etc. for years, with all parties very very happy with the deal. I know: it's difficult at first. You want to understand and you keep coming up with objections. Trust me; this works! Most sellers and T/B out there are not going to come up with all the objections you can come up with when you are starting; they are just supremely happy to have the property sold, purchased, or whatever! On those occasions you come up with someone that negative, AGREE with him and dump him: move on to the next deal; why share your good news with a jerk? It not only works; it is a win win win win win deal all the way around! Alice
  11. Many years ago I was an insurance agent. Checking credit is something that has been done by many companies for different products they offer. It began with life insurance. You are right that it's been spreading even into the rates on auto insurance. (Kick 'em while they're down!)... :ph34r: but the real reason is credit problems are a risk factor: people with problems are less able to take care of things and more likely to be exposed to risks. With downsizing etc. it may become a less useful indication of risk, purely because the majority will be effected. As a person who has been in both places, though, I'm glad to see someone challenge it, even if it is a real risk factor, because I don't like the way credit report companies operate. Alice
  12. Once again: CONGRATULATIONS!!!!! Now, off to spend all that lovely cash! Enjoy! (Looks like I'll have to make a copy of this post, so I don't have to keep typing it everytime you close a deal! ) Alice
  13. WOW!!!! Great Work! Congratulations!!! You are an inspiration! Alice
  14. grannyguru

    FSBO Sites

    OK... I think what you do with Craig's list is to post to the nearest geographical area. I notice a Tucson house for sale posted in the Phoenix category because there is no Tucson category. Their site says their small staff adds unserved communities as they can get to them, but they also say they add new ad categories as they notice ads for them. The example given is that if they notice many furniture ads in the "for sale" category, they will add a "furniture" category. Perhaps they will do that for area categories too. I'm going to see if I can post to Craig's list for my area, using Phoenix. Hope that helps. I've thought of programming a database to create it's own categories and locations. That way, people could post what is needed, and the database would sort it for them and present it by area, etc. But at this time my priority has to be getting deals. For one thing, I'd have to be able to afford the possible website traffic in case it happened before it gave me a deal in area. Alice
  15. Dang! ...So THAT's what's wrong! I've been trying to do false estate! Alice
×
×
  • Create New...