All Forum Posts by: Brian Jobson

@Jason Farmer If not the email lists then what do you suggest? Maybe just he bandit signs up around town and online marketing on sites as craigslist, zillow, etc?

Can someone explain to me exactly how multiple wholesalers will have the same property in their inventory? Are they actually getting them under contract with the seller or is the seller just giving them verbal commitments and who ever sells first gets the business?

For example. I've seen a property on two different wholesalers lists and both were at different prices obviously, but it was also listed for sale on Zillow as a FSBO. How does this happen?

@Jon Holdman Wow, those were some great examples. I appreciate your help. At first, after reading the first example I thought to myself "OK $2,200 is not bad. I can do that." Then as I read on to the examples that out of pocket number grew quickly.

So basically, what I have determined here is that rehabbing is not for me at this moment in time (unless I find a private lender with better terms compared to hard money.) Looks like I'll be wholesaling to build up capital.

Thanks guys

@Nick Wing @Jon Holdman @Wayne Brooks

So on a loan of about $100k what would be the amount of money I would have to come up with out of pocket before I aquire the property? (ball park figures)

@Jon Holdman So since these fees are due at closing that would mean that I have to come up with thousands of dollars before I even take ownership of the property? Let's say that amount is $5k. I don't see why a lender won't allow a borrower to postpone those fees until the subject property's repairs are completed and said property is sold to an end buyer. I have to pay the lender other fees and interest on the back end anyway so why not just add it up and collect at one time?

Not to mention the down payment that some lenders require you to have and now you're putting up that down payment plus all those junk fees before you even take posession of the property!

So I emailed about 7 lenders yesterday and got replies back from all of them. After reading 2 of the emails I began wondering about these fees and when they are due. This is an excerpt of 1 of the emails I received:

-Interest Rate 11.00-12.00%
-Min and Max loan amount Min. - $80,000 Max. - $2,000,000
-LTV on the After Repair Value Up to 65% of the ARV
-Funding timeline Less than 30 days
-Interest only payments or principal & int or balloon Interest Only
-Loan term 6 Month Balloon
-Fees

• Processing $575
• Underwriting $995
• Doc Prep $750

The above fees are in addition to other normal and customary fees such as appraisal, tax, title, recordation, etc....

So my question here is 1) Are those Processing, Underwriting, and Doc Prep fees normal? 2) What is the Tax, Title, and Recordation fees all about? That's not part of the "Processing"? 3) Normally when are all these fees, origination fees, and points due?

@Denise Morales Hey Denise, welcome to the club!

@Sam Leon What company was that so I know not to give them a call. You can message it to me if you don't want to put them on blast in the forum.

@Michael Lemieux Can I find his contact info on their website?

@Wayne Brooks Hey Wayne, can you share Bob's contact info? I'll definitely need one of those policies when the time comes.