No Heirs, No Problem. Probate Flip Success Story

[Michael Miller]

Investment Info:

Single-family residence fix & flip investment in Tulare.

Purchase price: $134,500
Cash invested: $33,000
Sale price: $220,000

Atlantic Ct was one of the more interesting and savvy deals we have done. The original owner had passed away and seemingly had no heirs. We were able to get in touch with his partner who still lived in the home and help him through the probate process. After getting him through probate, we purchased the property from him and stopped the foreclosure. We also helped the current occupant relocate to a nursing home in the process.

What made you interested in investing in this type of deal?

Tricky deal that not many investors could crack because there were no living heirs to the deceased. Great returns on a very short timeline

How did you find this deal and how did you negotiate it?

This deal was found through pre-foreclosure. We negotiated with the lender extensively to push back the foreclosure for over a year while we went through the probate process

How did you finance this deal?

We assumed the current loan on the property

How did you add value to the deal?

Solving very complicated title issues and postponing a foreclosure

What was the outcome?

Resold the property as is after getting two offers at asking within a week. Successfully listed the property ourselves using a flat fee MLS which can be worth it in these small counties

Lessons learned? Challenges?

Biggest lesson learned is that DO NOT FILE THE NPA WITHOUT KNOWING THE FULL LOAN PAYOFFS. If we are making someone else the administrator make sure they are able bodied enough to carry out their duties as admin.