All Forum Posts by: Bill Tyler

Thanks Joshua. It is a mortgage free property. I will just need to find out if there is an outstanding water bill that might have cause a lien. Last time I dealt with the Water Dept it was a huge hassle.

Thanks Kyle. I guess I was wondering whether to try to do the deal as a "subject to" with the back taxes or if there might be a different way that BP users might recommend?

While wrapping up some business on a house in Detroit last week, I came across a SFH in a B neighborhood that interests me. It has fallen victim to a few of the typical things in the area (windows broken, damaged door, etc.) The back taxes are about $4k and are showing as delinquent but not yet subject to foreclosures. I found the owner information on Property Shark and want to see about picking it up as cheaply as possible ( hopefully just the back taxes). What would be the best way to structure the deal? The property owner is in Houston, TX and I am in Dallas/Fort Worth, TX. Would Texas law be used in the offer/contract or Michigan law? Thanks for the help! As for the numbers, the owner paid just over $12k in 2012. Rehab costs would be about $40k and ARV would $90k-$120k based on comps.

Think he would go for you assuming back taxes for the deed? You could even throw in some discounted or free rent at your triplex to sweeten the chances for low out of pocket cash.

I have never purchased a fire damaged property, but saw them all them time in Detroit during the year I lived there. Depending on the damages, there could be extensive work involved replacing all the damaged framework, electrical, plumbing, etc. as well as getting the smell out. Bid low, make sure you secure the property from trespassers and get any inspections needed along the way. Take pictures along the way, not necessarily for the new buyers but for your own satisfaction and maybe for insurance purposes.

Yes...what area? A contractor in the Detroit suburbs will not want to drive to Port Huron or the Upper Peninsula and vice versa.

No - that is called fraud. Work your butt off and stay as far away from student loan debt as you can.

I read a post recently from someone on BP that created a real estate trust . He pays investors a 15% annual return, in turn he uses the money to find, fix, and flip about 3 properties each year.  Example: A $100,000 trust pays out $15,000/year. If he profits $100,000 from flips, he pays out $15,000 and has $85,000 remaining in addition to the original $100,000 from investors. If the investors want their money back, he still has the $85,000 from profits to fund more purchases.  I hope I explained that in a way that makes sense.

Where are the smells coming from and what type of smells (animal feces, mold, spoiled food)?  Rip out carpeting & padding, If the odors have been absorbed into the walls, you should probably use Kilz Max. 

The house looks awesome and in one deal you've made what many people make in a year working their "J-O-B".  Congratulations!