All Forum Posts by: Bob Couture

Thanks!!

So we hear and read all the time about creative financing and I get the concept/s, but what I lack are the mechanics. Can anyone recommend the best resource on how to structure creative financing deals such as subject to's, owner financing, etc? I almost envision this as a textbook or case studies that contains examples of different deals and how they are structured. Thank you!

Situation: Condo is paid off, but there is $7K in condo association fees outstanding. Condo association is trying to foreclose. Condo needs about $10K of refreshing/updates. ARV estimated at $105K. Monthly condo fees are $320. Area rents are b/w $900-1200. This is a Western Massachusetts condo.

- What would you do/offer?

- Can they not sell the condo on MLS or FSBO if the condo association is filing for foreclosure?

What would you do with this? Subject-To? Different Strategy?

Situation: Death in the family and he must sell home to take care over family business and care for surviving parent. Just bought home in April 2014 for $170K, put $35K in renovations. Mortgage is for $166K and the renovation funds came from family. Monthly mortgage is $1421. I assess the FMV to be $208K.

Any suggestions?

Any Subject-To Experts in Western Massachusetts? Or maybe there is a better solution for this homeowner.

Situation: Death in the family and he must sell home to take care over family business and care for surviving parent. Just bought home in April 2014 for $170K, put $35K in renovations. Mortgage is for $166K and the renovation funds came from family. Monthly mortgage is $1421. I assess the FMV to be $208K.

Any suggestions?

I have a property lead, but it is not a good rehab fit, but rather a better fit for a builder to do a tear down and new construction. The owner and I have come to an agreement on price, but I don't want to tie up my money. He will give me 60 days to find a buyer. 1) What type of contract would you use? 2) Anyone have a good example one I can draft from? I check the BP FilePlace and none struck me as a perfect fit. Thanks!

Thank you all for your responses and solutions. I concur. It is a dog of a deal and not one to pursue. Remarkably the rents in the area are about $1200-1400, but still not enough margin to make anything work. Ultimately they need to sit down with a bank and get a loan modification and rent this place out.

Dear BP readers, Could use your creative minds to see what the best course of action is for this prospective client. Here is the situation... Motivated seller came to me through my website. They are moving. They asked for $208K for a 3 bd/1ba home in the Springfield, MA metro area. ARV for a house like theirs in their area is $125K. Some details... - they bought home for $169K - mortgage is now at $199K - conventional loan: 30yr fixed at 5% What would you do? Almost seems like a bridge to far for a short sale. Is foreclosure their only option? Could this be a good candidate for a 'subject to' deal? Any other thoughts/strategies? Thanks, Bob

I suspect three reasons for the house not selling 1) Springfield (although it is in one of the top neighborhoods). People don't move into Springfield. 2) Non-aggressive realtor. 3) Busy street.

Price is going to be everyone's first response. The realtor's CMA when we went to market and her new one is a $25K difference. I take responsibility for that though and have just lowered the price to my match my own CMA.

Thank you Bill and Albert!