Diary of a Mad Investor

[Ron H.]

A few years back, an investor hired a contractor to work on a fix and flip in Orange County. The investor's main focus was notes, but he also did the occasional flip. Throughout the project, the investor experienced countless issues with the contractor's quality of work and missed deadlines. Finally, the contractor stopped showing up all together and threatened to withhold vital documents and materials if the investor did not pay the remaining fee in advance. The project was nowhere near completion and the investor already paid in excess of the work that was performed. The investor refused and the contractor went MIA right after saying "go ahead and try to sue me."

A few months later, the contractor received a letter in the mail notifying him that his mortgage had been sold to a new lender. A second letter notified him the note's remaining balance was being called due. Guess who bought the note - the investor. Foreclosure proceedings took place and that became the investor's next flip.

The person who told me and a roomful of our buddies this story was the investor and from what I know of him, it's probably true. Fact or fiction and right or wrong, it's an interesting story so I thought I would share it.

Looking forward to your thoughts, comments, etc.