All Forum Posts by: Austin Wood

@Darius Ogloza it can be risky if you don’t get good buyers. We push our buyers to refinance as quickly as they can

@Darius Ogloza I protect my own interest until the time which I sell with seller financing. Then the end buyer would get the insurance check. But through the whole process the original mortgagor would need to be on the policy as an additional insured

@Rick Pozos who said anything about selling for 300k? I would sell it for 250 max and so far have been using an interest rate of 7.75% on these. I have seen others go as high as 12%.

@David M. The profit is in my buyers down payment and the monthly cash flow

@David M. Sorry for the confusion. Going by propstream, it’s worth around 230k but the average comps are 252k. Why do you think the seller finance route is more gutsy than rental?

@Chris B. Yes, the subject to is what is inherently valuable to me as me and a partner have been doing strictly this

@Joe S. I only have experience in subject to. I have never wholesaled anything, etc. don’t want to be only looking at it from one perspective

@Wayne Brooks in my experience banks typically don’t have an issue at all as long as the insurance is handled properly and payments keep coming in. If that were to happen I would need to procure different financing. Buyer default is the biggest worry for me. Going through one of those right now. Didn’t qualify buyers well in the beginning and plan to be very thorough moving forward

@David M. If the house is in good shape and needs no repairs and you can get in light, as long as the financing allows for really good cash flow, it can still be a deal. The comps are strong averaging 252k.

I take over her loan sub2 and she walks. Im not worried about the loan being in her name as I will get a limited POA and communicate with the bank on her behalf. I'm negative 15k equity but in for very small amount of arrearages. (Less than 5k) if I call 3 different appraisers I guarantee their will be a 15k swing in value. I find a qualified buyer and wrap the note and sell it to them with seller financing for 10-20% down at a higher interest rate and cash flow until they refinance which the backend payoff wouldn't be much.

Preforeclosure worth around 230k. owner owes 245k left on the mortgage. The house could rent for 1400-1500. Assuming she can’t sell it on the market, what are the possible exit strategies for this house? I am thinking currently the best option (assuming her financing allows for nice cash flow) is a purchase subject to then sell with owner financing. What would you guys do?