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About Walter

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    Ontario, Canada
  1. Hi! My ads pulled a note and a judgment lately, and that got me some education at least on notes in Canada. Since there are differences between US and Canada on this subject you would have to be more specific. I have met someone who is very good at notes and judgments. Walter
  2. It has been three weeks since my sellers couldn't come up with all docs to sign CA Agreement. I almost questioned their intensions...but I never let them know about it. Three days ago I was asked by them to wait for an hour so they could find the docs (they didn't). I was sitting in my car and waiting and then I reached for my briefcase and looked at my newly created flyer. I went with it to Staples changed it a bit and printed 100 pages 8x11, then I cut each page into four pieces and went out to Walmart's parking lot and put them behind the rubber...no, no the wipers but the rubber around the driver's window (between glass and surrounding rubber). Some cars have plastic like hard stuff but some are just fine. It took me half hour and I placed over 150 of them. Since it was a cold and windy day, at the end of it I didn't feel my finger tips (I live almost at the north pole, ...on a clear day I can see some igloos - the homes made out of ice) When I came back home...there was not even one message.... But the second day two calls came in and I got my hands on a trailer for sale and a second mortgage note that right now keeps me busy (with some help from Christian). If I had gone for a coffee I might have missed an opportunity and that shows you that you have to knock on the door and if there is none...make one out of "thin paper" like a 1/4 of page with this: I BUY HOUSES! *NO BANKS *NO FEES *NO AGENTS * NO EQUITY *ESTATE *DIVORCE *JOB TRANSFER * BEHIND PYMTS *UPSIZING * DOWNSIZING CALL NOW! TEL. XXX-XXXX I think that covers almost everyone alive and I picked these bits and pieces while doing my readings on RE. At the same time listening to an audio tape like Power Talk with Tony Robbins is more than helpful...especially when the subject is CERTAINTY. Try it yourself and you won't be dissapointed...ever. Walter
  3. My client has a "demand note" with a home owner. It is a second mortgage of $12,000 at 8% since 1997 and the home owner has defaulted. At this moment my client gets promises but no money from the home owner. The home owner has first mortgage taken in 1997 of $114k. My client is completely out of cash and wants to sell his note @50%. What would you do in this situation? A) Would you go after the note and make 50% on it minus court and lawyer costs? Would you go after the house and "force" the sale since the owner may not be cooperative. If this would be the choice how would you go about it? (Buy his unpaid part of mortgage?) C) Would you garnish his and his wife's wages knowing that she works (and he hides). If taking this option would I be able to garnish only "her half" of their debt? Enlight me with "Notes" cause I am blind...please. I wil be visiting tomorrow the Land Registry and will look into this property to see what's in there. Oh...fly Eagle fly high!!! Walter
  4. The seller wants to free his credit and that's why he is crying. today his agent called me that an investor comes for a visit to that location with a different agent. That investor bought already 14 units in this area in the last few years...and yes, I will let this go without any regrets but with a good experience as for a newbie. If one doesn't make offers she never buys...next. Thanks Walter
  5. Walter


    I may be a newbie, however I would never consider doing it based on my readings of all materials on RE unless it is your house that you are selling and you try to get as much as you can out of it. Keeping them (deposit and rent credits) separately makes it simple and easier for both sides unless you chose to be hard on buyers....they lose 50% of their own money from the deposit. How would you feel ...look in the mirror... I guess it all depends what is your market like. If you have a whole bunch of buyers flocking your house then you have to look at the demand vs. supply. I would prefer to have many but smaller deals than waiting for one deal to happen. Walter
  6. I came across a seller who purchased half of duplex years back (late70') for 76k. The neighbourhood deteriorated to the point where his property is appraised at ...52k. He has it listed with an agent for 51.5k. I tried him with LP at his mortgage (40k) plus closing fees ($1200) and agents commission (2k). I also tried to add my sweat by building a fence and exchanging windows (3 @ around 1k alltogether) as a downpayment. His agent says he wants 4k and assume his mortgage... but at this moment I wouldn't qualify. By building fence, exchanging windows and sprucing things up I could rto it for 53k as a sandwich. Do you have any other ways to crunch it? Thanks Walter
  7. Hi Bev! I have sent you private message since I have decided to write more than just a typical response. Walter vel Vlodek
  8. Carmine, Their mortgage payment would still be at or under their rent rate. <{POST_SNAPBACK}> Maybe I'm missing something here then. I'll post numbers on an example and you can see where I'm coming from. If you finance a 200k house at 8% on a 30yr amort....the payment is $1,467 PI. Throw in taxes and insurance which may be around 200-300 per month, and you're looking at a payment of around $1,700/mo give or take. If the market rent on a 200k home is only around $1,150 or $1,200...even if you base your RTO payment on that plus a $200 premium, you're still about 20% less per month than what their payment will be when they refinance. Maybe it depends on the market though. <{POST_SNAPBACK}> Thanks for your comments! Since the market in my town is flat and slow I cannot go too high. So I would agree with Kim on going a little bit above current mortgage payment, insurance and taxes. Otherwise it may take me until winter comes and the snow will cover this little house By the way my sellers (a couple) had lately fire in their other home and they couldn't find the description of property document.... so I may wait until Monday. This will give enough time to check rental agencies about rentals in the area of interest. Walter
  9. Finally I am getting my first CA to work on. How do you determine the value of rent for t/b? Here are the monthly numbers: Mortgage - $785 Tax - $93.1 Insurance - $33.5 Hydro - $75 Gas - $155 Water - $40 Water heater rental - $13 It is 3BDRM older renovated house with a nice landscaping and cool first floor with open concept. (1500sqFt). When you calculate the rent, you look only at Tax and Insurance values or anything else? Is there anything else one should know about this house? Thanks for your feedback, Walter
  10. When doing CA, do my clients need lawyers at the moment of signing CA? Or they will need one when the buyer is ready to get a mortgage? Walter
  11. Hi Jason! Do you provide financing in Canada? If "no" do you know anyone who does or places where to look for funding? I came across an apartment building where the owner asked me to put larger down and is open to finance the rest. The price is $200k and $50 down towards the purchase price. Walter
  12. If you're leaving your contracts with the homeowners, you've just put them in business. Don't do that! If they insist on reviewing the contracts, even after you have explained the many advantages of a CA, sit there with them and point out the highlights of the paperwork. And if they are that adamant about seeing the paperwork after all this, they're aren't serious, they're curious. Don't worry, Walter. This tells me you're running about normal. Stay with this, and spend less time arguing/haggling with homeowners who aren't motivated to deal. <{POST_SNAPBACK}> Thanks for your comments. So far I have never actually argued with sellers because of my approach, and people in general are OK to deal with. They have a challenge to make a decision and that's when the fear of unknown comes into play (what if they scratch my beautiful hardwood floor...I have never done this, I need $ to buy next house...etc). I left my contract only with one seller who was so far the most interested in dealing with me. What can you say when they seemed to be more than open, invite you twice to their place, tell you how flexible they are with potential remodelling of their house to accomodate buyers and etc.? I do believe in getting through more sellers to get my first deal to be done. So far calling FSBO is the most productive way to get in touch with sellers and I enjoy talking to them...in spite of my Easteuropean accent . Walter
  13. I have been calling for the last three weeks sellers and what I am finding is that even those who seemed very open and willing to deal with me are "thinking about it". I hope we all know what that means... My question is how much you tell them about what you do and how you do it? Do you provide them only with a typical list of benefits of LP options (in my case it is CA agrrement)? I have been asked several timesto show my contract. Once I show it to them they "dissapear" from my radar. I am not sure if I am showing or telling them too much. (The more they know the less they need you...?) What are your tips on this? Walter
  14. Yes it is rather a difficult task to dump the whole case on this forum. From speaking with few tradesmen I found out more details and it looks like the price is too high, however they admited that the property has a good potential. I may not have enough financial strenght after the purchase if something goes against me. Here I am talking about the unforeseen things since we don't know the future. As I mentioned the property has been run down...that would suggest nothing else but a good potential to increase the rents. On the other hand I am not sure how many people on this board actually deal with multi residential properties, so I may have to turn elsewhere for this answer. Thanks, Walter
  15. Over three weeks ago I run into an old investor from out of town. He wants to sell his property where I live. Today I got his offer: -Apartment building with 14x1 bdrms $500-525) and 7x bachelors ($425). If fully rented it brings around 120k gross. -Selling price $ 495k Canadian dollars -$35k deposit towards selling price -12 month lease period to arrange a new fiancing with no less than 75% of purchase price -upon getting a new mortgage, seller will hold the balance on second mortgage for 1 year at +2% of 1st mortgage -1st and last lease payment required upfront ($4,600) -property sold as is with no warranties -monthly lease - $2,300 -monthly tax - $1,400 -monthly insurance - $180 -monthly bills for: -gas - $1,250 -hydro - $916 -water - $391 Current vacancy - 23.8% (5 apartments empty) Sweat involved to improve the property (cleaning, minor fix ups, painting) 4 apartments can be ready for rent within 2 weeks with minor expenses (clean, paint). What's your take on this monster? Walter
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