All Forum Posts by: Adam Jernow

 yeah. you can reach out if you're serious and before you do...

We're all here with the same questions. It seems like one of us has made the commitment.

He says what my other friends say- never missed a payment.

I'm also looking at a few of their other funds. Haven't committed yet.

If any of you have, I'd love to connect...

Good luck with the eviction. Joe M already made the point that I'd echo. Hire the most local attorney that you can and hope for the best. 
This eviction ban keeps getting extended so you may be better off paying the tenant to leave. It's faster and speed matters in investments. That's a different conversation though. 

Did you find any books for this? I'm looking for the same.

Any updates on using VRF? I'll look at other threads too.

It's a challenge to find reo that reflects a discount to the market in popular areas. Auctions aren't currently being held due to covid so this reply will become dated. Keep looking, looking, looking for deals. Run the numbers. Show the numbers to a mentor for Confirmation and clarifying questions.

When you find a reliable source for deals in the city, treat it generously and right. I have several  reliable deal sources. I make sure that they know that I'm 'money good' meaning that if I commit to a deal, I'll pay and not hassle them.

The pandemic should create some investment opportunities. Many of my friends and I are Picking our spots and waiting for more opportunities to arise.

Investment Info:

Industrial note investment investment.

We bought a tax lien, then negotiated successfully with the property holder for a payoff. This is not glamorous (see the photo) but we helped the city to keep the lights on, police paid, and schools working so it's a nice win-win for the city and us as well.

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

It used to be good business but has become harder to make money with increased regulations and hurdles.

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

We were quite new to the scene and this was at the time our largest purchase. We held the lien for several years, interest accrued, we learned more and got a lawyer to negotiate the terms for us.

How did you finance this deal?

This was cash out of pocket which isn't effective leverage. With a bullet payment at the end of an undetermined term, leverage becomes risky.

How did you add value to the deal?

We used Waveapps.com to track the liens which is a great platform. I researched the property owner across Property Shark, then reached out many times to collect. Only when we threatened legal action did the property owner call us back.

What was the outcome?

We received payment along the lines that we had hoped for. Not quite as good but still a positive result.

Lessons learned? Challenges?

The #1 lesson is that tax liens are hard to make a living in. They are a nice hobby but not an occupation.

Hi Lady,

When it comes ro violations, the answer about penalties is ' it depends'.  If the violations are very old and no longer exist,  then we have had success reducing or eliminating the penalties. If,  however, the conditions still exist,  then NYC will want to see those cured before moving forward. 

We have had funds held in attorney's escrow until the violations get resolved in order to get purchases to close. That has taken up to a year in some instances. Doing the legwork ourselves moves things faster but does require focus. The DOB and ECB can be challenging. 

I hope that is helpful. 

Hi Mary Jay,

Appfolio doesn't have that feature. It seems like that wouldn't actually be legal.

Appfolio and Buildium both have 'push' systems. That means the tenant or unit owner decides when to 'push' the payment through. They can authorize recurring payments. That makes payment and collection much easier. Less time spent debating postmarks, deliver and the USPS.

Hi,

We migrated to Appfolio. I'm far happier with it. The migration was VERY difficult but the platform is certainly better. 

I hope this post doesn't get edited away.

I have contacts at Appfolio. If you're interested in have a conversation there, then message me.

Good luck!