All Forum Posts by: Tracy Briggs

Thanks for the information Carter!

Tax value is $119,000.

Could we possibly talk on Monday? You could PM your email/phone.

Thanks so much!

OK I admit, that was stupid of me.

Let me clarify ....
As long as the bidder shows proof they are arranging financing, the clerk of court and substitute trustee will allow an extension.

This is only my second flip. Two years ago I obtained a construction loan but several months ago when I called the same bank they said they don't do those anymore. So I was trying to find another option.

In NC there is a 10 dsy upset period, I was awarded bid today.

Bid amount $55,000 .... confirmed recent comparables $125,000-$135,000.
Home needs $25,000-$30,000 in repairs very worst case scenerio.
I want to flip NOT keep for rental.

I don't want to tie up my cash. How should I proceed with the bank?

Pay the $55,000 in cash and try to get a refi cash out? Get a home equity loan?

Thanks in advance for any suggestions.

Tom and Jim have plans to buy a house to rehab/flip or rent

Tom already has an S-corp established for his existing real estate company. Jim wants to establish an LLC for his company.

Tom and Jim both agree to have an attorney draw-up an agreement that states each of their responsibilities (financial & other) and how to split the net profit.

Question #1 - Is there a name for such a legal document?

Question #2 - When Tom & Jim buy a house together, do they create a 3rd LLC?

The purchase price is $60,000. Tom and Jim agree to split the 20% down payment at the bank ($6,000 each) . . . the loan will be in Tom's name (not his company name).

Tom will order materials, arrange contractors, pay monthly mortgage/utility bills.
Jim will provide the $15,000 in cash needed to rehab the property.

Tom = $6,000 initial cash (plus) time = $6,000 cash outlay
Jim = $6,000 initial cash (plus) $15,000 rehab cash = $21,000 cash outlay

Question #3 - how would the deed read?

Question #4 - what am NOT thinking of?

We will meet with an attorney but curiosity killed the cat until then.

Thanks so much for taking the time to answer my questions and the advice.

RE: #1 - I am not an agent (or attorney for that matter) but work in a similar capacity. I like the option of assigning the bid. Any suggestions as to establishing a fee for this scenerio?

RE: #2 - thank you for the suggestion of forming LLC with a partner (my personal business is an S corp FWIW but I guess possibly for tax purposes keep it separate since this is a different partnership I'm assuming). I love the advice of having a strategy BEFORE the sale happens. I would assume this would be a 50-50 profit split?

Thanks Again.

Hi ... need advice on the following scenerios:

(1) Scouting Foreclosure Auction Bids
I am in real estate and have MLS. I know how to search Trustee websites and find address / date / opening bid amount for courthouse foreclosure sales. I know my area and how to search comps. I know how to do prelim title seach on reg deeds website. I know how to bid @ an actual courthouse sale. Here in N.C. I understand the 10 day upset period and how to increase bid by 5%. I have flipped one house last year by securing a construction loan at bank.

So ..... I have a lot of knowledge but don't know how to use it!!!?

Quest #1 .... how should I market that service IF a private individual wants me to find a property and bid at courthouse and then turn everything over to them to rehab & flip. Basically Im just a "scout".

Quest #2 .... same scenerio HOWEVER the private individual wants me to do everything (i.e. do the rehabbing and line up contractors and market the property, handle showing etc. Basically the individual is "the bank" and wants a return on investment.

Thanks in advance for any advice!

Thanks so much!

I guess this is stupid question but gotta learn somehow.
How much do I offer???

The house we purchased had an outstanding mortgage balance of $94,000 and courthouse bid started at $39,000.

The house next door has a balance around $123,000 I'm guessing.
(original loan Nov 2006 for $127,000 variable interest rate started at 10.6% and slated to change Nov 2008).

Hey Thanks!

I thought it was "too far along" in the process.

I very much appreciate everyone's advice. :-)

I went to the courthouse (South Carolina) and did a search.

the mortgage was assigned in May 2010 to Chase on behalf of Ameritrust which was the original mortgage company.

the substitute trustee has been assigned to the law firm of xxxx and has been given a CP (civil proceedings #).

it has not gone to courthouse steps yet - the law firm will not disclose the date it may "go" they just say watch our website