Grunt work

[Account Closed]

I live in Manitoba, Canada, where no or little money down finance strategies and wholesaling are illegal. I currently want to start out in REI, so I have no hands on experience with doing any REI deals, flips, etc. I'm building capital by paycheck every 2 weeks, but it's a slow process. I've also joined a few REIA groups in Winnipeg, and one of the group meetings is November 30th.

I want to work for other REI for the purpose of developing capital, applicable knowledge + experience and relationships with the people involved.

I've read on here that offering to drive for dollars, clean a investor's property for free, or been their personal assistant for free would be of value.  What else could be valuable to an investor in exchange to learn from them?  Or is what's valuable to them specific to the problems they're facing?

Such as one investor needs a painter while another doesn't.  If you have experience been a professional painter, you could paint the interior and exterior of the house for free in exchange to learn from them?

[Roy N.]

@Account Closed

From reading your recent posts here on BP, I see you are a fan of Don Campbell and his REIN.   I know some folks find value in their orgnaisation and courses, but many just spend a lot of money - they are a slick, guru(ish) operation which charges exorbitant fees to disperse information readily available for much less (even from accredited schools).

As for lenders being able to divest the defaulted properties, of which they have taken possession, below FMV, it depends on where in the country you are. Foreclosure in Canada is almost evenly divided between provinces which operate under Judicial Sale (Alberta, British Columbia, Manitoba, Nova Scotia, Québec and Saskatchewan) and Power of Sale (New Brunswick, Newfoundland & Labrador, Ontario and Prince Edward Island).

Under Power of Sale, the lender is permitted to sell the property without involvement of the court and often without actually taking ownership of the property. As a consequence, the mortgagor/borrower would/could remain obligated to the lender for any shortfall if the property sells for less than the outstanding loan balance. Conversely, if the property were to sell for more than the outstanding debt, the mortgagor/borrow would retain the surplus. In this scenario, the lender has a fiducial obligation to the mortgagor/borrower (first) and the mortgage insurer (CMHC, Genworth) to obtain the best sale price possible. As such, these properties will almost always be sold through a real estate agent and listed on MLS.

Under Judicial Sale, the sale of the property is conducted under the auspicious of the court and the lender must apply to the court to for permission to sell the property, and the court will sets the bounds and terms under which the property is to be sold. Details of the process vary between jurisdictions, but it is not uncommon in this scenario for the lender to take ownership of the property and, in exchange, release the mortgagor from his/her obligations. In turn, the lender no longer has a fiducial obligation to the mortgagor/borrower, but only to the mortgage insurer (if there is one). All this will be taken into consideration by the courts and it is possible the lender could be permitted to sell the property below FMV ... though, they have no need to sell at a discount (re: low default rates).