All Forum Posts by: Bernard Chouinard

So while all eyes are on Comey's testimony, GOP controlled house just killed Dodd-Frank. Not that one has anything to do with the other but timing is what it is. Any who, I'd love to hear your opinion on how that would effect REI's with these restrictions being removed. I only have a high level general understanding of this act and why it exists so bare with me.

I'm guessing this would have a bigger impact on those who carry and originate notes?  Whats your thoughts/opinions? 

@Andrew Postell

Thank you – the bank we used to go through the entire process is DCU (Digital Federal Credit Union). A local bank here in the US that uses Urban Lending (or something like that) out of NY for their mortgages.

In an effort to find portfolio lenders and see if they would work with me, I also put a call into 2 other smaller banks who I was told are portfolio lenders. Webster First is one of them, and from what I’m told make all lending decision in house but in the short conversations I’ve had with them. They told me the same.

I get there are tons of banks out there but I’m not willing to damage my credit any further with hard inquires just to see if they will work with me so I’m trying to have these conversations with them up front.

Honestly I was hoping someone on this site might know of a portfolio lender that might work with us. 

Could really use some advise on trying to obtain a 2nd mortgage for home repairs and maybe even down payment of a multi.

Here’s the background.

2007 – Friend of mine and I bought a duplex for us to both leave in (one on each side) but due to it having 1 inlet for water/sewer the town/mortgage/deed set it as 1 building rather than 2 individual units with separate mortgage.

2010 – Friend (now ex) couldn’t make any further payment, refused to do much of anything forcing me to foreclose and certainly not from a lack of trying to work within them or get them out and take over the note.

2012 – bought a new house, 100% under my wife’s name.

Sept 2014 – Citibank, owner of the original note, sold the note.

June 2016 – official transfer of deed and foreclosure is officially final.

The house we bought in 2012 and live in today was a short sale that needed some rehab. Last 3 years of done of a ton of it now I want to pull equity to finish it off. ARV $269K total owed on loan $134K so tons of equity there.

My wife: since we were using her credit and she doesn’t make that much her debt:income ratio is too high to qualify for a loan. Today my credit is great at low 700’s, and I’m the breadwinner of the family with lower debt:income ratio but my foreclosure is stopping us form getting a 2nd mortgage. Bank tells me I will be eligible as of Sept 2017 based off of transfer of loan from Citibank but I think she is wrong as everything I read says 3 years from date of foreclosure making me eligible June 2019.

Is there ANY suggestions on going around this? I’ve though portfolio lenders that might make a decision based on my situation but I can’t seem to find one that will ignore that foreclosure. Any and all help would be really appreciated! 

@Jim Sestito I debated on reaching out to the owners too but I'm not going after multis right now. I think someone should certainly give it a shot. Also, would be worth seeing if that list of properties with those violations would be public.  If so then you have another list to go after. 

https://worcestermag.com/2017/06/01/cover-story-go...

Worcester (Massachusetts) Magazine wrote up several articles on bad properties in the city and interviewed several landlords about their troubles.  Great read and certainly great source to learn what NOT to do. 

Hoping I can post this here and see if anyone has any advice for me. 

2007 bought a duplex with a "Friend".  Building had 1 Sewer/Water all other are 2 whole units but because of the water/sewer the mortgage/deed were under both of our names. 

2010 This "Friend" stopped payment - I exhausted all avenues on trying to get them out and allow me to take over with no luck.  My hands were tied and forced a foreclosure on me.  They filed bankruptcy which delayed the process and the actual discharge wast' until June of 2016.  Yeah 6 years.. 

2012 My wife and I bought a house under her name.  My life in flip, we owe $134K, value at $269K looking to pull $50K equity out via 2nd mortgage. 

My wife: High credit score, but low income and is disqualified via the debt to income ratio. 

Me: six figure income, decent credit 680ish but due to this foreclosure I'm disqualified. 

I thought maybe going through a portfolio lender hoping if decision is in house I can maybe explain the situation.  I have a few calls out there but I'm doubting this will happen. 

Do you have any other suggestions on how I can go about this? 

*Leicester, Massachusetts (Central Worcester Massachusetts) area if it really mattered.  

@Steve Bracero Send me that link I'll check it out. 

Do you outsourced your wholesale inbound calls?  If so, what do you have that person get for information from the seller?  What kind of structure (payment) did you set up?  Hourly/commissions based?  Did you use a freelancer (offshore/onshore) or a company?  If so who? 

@Mitchell Benson  Yes I think you're right about the 5 loans a year or less.  But I would certainly go with a services company.  

You're going to want to use a loan servicing company to manage collections, tracking payment etc.  It may cost a little upfront but would save you a ton of money and aggravation down the road.  

Are you using an RMLO to write up the note?