All Forum Posts by: Paul Beauchemin

I've had a similar tenant - the last time I ever let a Section 8 tenant rent! I think tenants are getting smarter and with the Internet can take advantage of States where laws favor tenants.

In NY where I've bought some foreclosures I've been very reluctant to buy houses where the properties are not vacant because of concern about these type of people

Interesting - I have Allstate and had both good and bad experiences with them. They do tend to come up with new policy limits after I've filed a claim.

The comment about them being the BOA of insurance made me laugh- BOA is the worst bank on planet earth in my opinion.

Programs like Turbotax take you through this if you follow their "step by step" prompting. It will properly allocate taxes, utilities, etc. to rental portion and the remaining taxes will go to schedule A

As a resident of the greater Buffalo area I won't tell you whether or not to invest here. But here are two thoughts:
1- we never had a real estate bubble, so prices are very low relative to other areas. Property values have been increasing 2-6% for the last decade and this trend did not stop during the great real estate collapse in the rest of the country
2-prices are low enough that its very easy to buy a property that cash flows well

Originally posted by Dee Xixi:

Thanks for the quick reply but my other question, can that private noteholders either stop the short sale, claim the property at the sheriff sale or be an issue for me as the new owner

Yes, I've had private investors that had a second note buy the property at the auction. They can stop a short sale on the first if they demand too much - the first lien holder will not want anything with a junior lien to make out too well.

Originally posted by Bill Gulley:

Hi, has anyone had a private second holder move in on the short sale to protect their interest?

Sure have...had a private investment company that owned the second. I originally tried to get them to take 10% of their lien, but they wanted 50% and ended up buying the property at the Courthouse auction

It might be possible for you to buy a house "subject to" existing financing as well

you should check to make sure that any information older than 3 years that is unfavorable is deleted from your credit report (except certain items like bankruptcies)

Applying too frequently for credit can also hurt your score

Gold broke the $1000 an ounce barrier last week and is zooming up over $1100 as I write this. It seems to me that the money that the Fed's loose monetary policy is going to come home to roost. If I recall the 1970's accurately we got high inflation in commodities first followed by real estate.

Anybody have any better recollections? Looks like another bubble and crash to come shortly after.

Third quarter results were driven by Gov't money (cash for clunkers). I don't see companies hiring. Too much uncertainty with health care and cap and trade legislation working through Congress, plus, expiration of Bush tax cuts next year could hurt growth.

This all seems too 1970's to me.