All Forum Posts by: Nick Stille

First off, love the biggerpockets community, its a great resource for real estate information and tools.

Short brief on my situation: Im talking to a seller about an off market 4 plex here in Omaha, NE. As Im getting closer to purchasing it I'm trying to get things set up right. I want to use an LLC for asset protection and anonymity. Pace Morby and others recommend a holding company in an anonymous LLC state, with a subsidiary LLC in the state that the property is in. But when I search some LLCs on Nebraska's LLC sesrch, (for example, 4505 Lafayette Ave Realty) all Im seeing is the registered agent information. It doesn't appear to be any way see the owners. Of course this is just an example, I'm just wondering if something like this is good enough for me to stay anonymous, without the need for a holding company in an anonymous state. Im guessing Im missing something but I've asked multiple registered agent companies, as well as Prime Corporate Services who Pace refers people to, and I just cant seem to get a good answer. Can someone help? Id rather just save the time and money with a Nebraska LLC, if listing it with a registered agent is good enough to keep me anonymous? If not, how can someone find the owner if someone were to ser it up like the example I mentioned? Thanks in advance, community!

So down the street from my house there is this house that has this notice on the door:

I'm not sure what it means. Can someone explain it to me? I looked up the property on the local county accessor's page and it seems to still by owned by an individual, not a bank. Does anyone have any ideas what might have happened? Also does anyone have any outside the box ideas for acquiring this property? I can't really mail a letter because this house is vacant, and it's the only house listed for the owner. Any ideas or thoughts would be greatly appreciated. This BP community is awesome!

So I'm just starting out, about to make my first offer on a house. It's a foreclosure, I'm going to offer 140k. The house should sell for 260k after it's fixed up. The kicker is that it's going to need about 90k in repairs because it needs 40k of foundation repair work.

My first question is: if I'm going to buy in with a conventional mortage, I can put 20% down because I have a home equity line of credit on my current house. I'm wondering if I can get a loan for more than the 140k I'm offering, say 160 or 180k to cover some of the repairs? I don't know that I can come up with 90k for repairs on my own. Is this an option?

Second question is: What kind of profit should I be looking to make? If I have to invest 30k cash for a 20% downpayment, then another 90k for repairs, that's 120k total cash injection. If it takes me 6-10 months since it's my first flip, how much should I realistically be looking to get back on the 120k invested? Maybe conventional wisdom and seasoned deal finders would get 30k-40k back on 120k invested, I was hoping for 20k (18%). As everyone knows it's hard to find deals and I'm mainly looking on MLS so the margin isn't going to be huge.

Third question is: I was hoping someone could help me out on some repairs estimates for the midwest. I live in Omaha specifically, but any midwest estimates should do. Keep in mind this is a 260k house which in Omaha is pretty nice, so no low grade materials.

Hardwood floors: $10/square foot

Tile: $10/square foot

Carpet: $5 square foot

I'm sure these are higher than most people estimate, but keep in mind I'm a first time flipping with no prior relationships with these contracts, so no return customer deals. Any help would greatly be appreciated! I love BP and look forward to gaining more knowledge and being able to contribute more.

So Im looking at a forclosure property, but the listing says DOJ ROR on it. Because of this, the listing was cash only as the financing from a previous offer had fallen through. Appearly banks do not want to mortage on a property with the DOJ ROR tag, and my agent called around to titpe companies ans they domt want to issie titoe insurance on it either. Maybe a laywer could help my figure some stuff out.

(FYI: The property is 1121 S 113 Plaza, 68144)

      A. Looking up ROR laws, Nebraska has no ROR after the foreclosure date for nonjudicial foreclosures, which the listing says it is. Yet the listing has this DOJ ROR on it. How can that be?

B: Why are banks and title companies so afriad of this? If house was redeemed, wouldnt the new homer buyer (me and a bank, for example) have to be paid back what they paid for the house, plus purchasing fees, rent, etc?  Seems like we would get our money back out of it.

If anyone could help me out here I'd much appreciate it. Ive been digging for answers but am having trouble understanding why noone wants to touch it. 

I believe this ROR expires August 2016, which my agent says was probably a year from the foreclosure. I'm still trying to wrap my head around why the DOJ having a ROR makes banks not want to give a loan against it. If the DOJ did use their ROR, they would have to pay the purchaser the purchase price plus fees, correct? So wouldn't the bank get their money back? 

So I want to make an offer on a property, it's a foreclosure that is now owned by US Bank. The problem is, my agent noticed there was a DOJ ROR on the property. He had never seen it before, but looked it up and it means Department of Justice Right of Redemption. I had no idea what this means, but after doing some digging I thought I'd ask on here. Now I now know that a standard ROR is the right you have if your house is foreclosed upon, and sold, you have a right to reclaim that property if you can come up with the amount you owed. Now that makes sense to me. But I don't really understand how the DOJ has a ROR. And why does that mean that banks will not loan to this property? The listing says they want cash only, because the financing on the last offer fell through. This is really confusing, if anyone can help clarify this a little that would help alot. I love the forums here, I hope to contribute more and more. Thanks in advance.

Good advice Dishant. I will contact the buyers agent a friend of mine recommended. Thanks for the reply!

This house needs renovations, and that's my issue. I'm not very good at calculated rehab costs. I've read the book on flipping houses but I know books only go so far. The other question I had, was that I don't have a buyers agent yet. I know the guy I'm going to contact, but I was wondering if there is any merit to just contacting the sellers agent directly and potentially getting my offer getting pushed a little harder by the agent they would basically be my agent as well? Thanks again.

Hello BP, I've been lurking around the forums and the podcasts for awhile, while checking MLS and foreclosure websites. Well I think I've found one that just got listed in the MLS that I'm sure I want to make an offer on. This is probably going to seem really insecure, but if anyone experienced is willing to message me, I can give you the address and make you can take 5 minutes of your time to look at the listing/pictures and give me your idea of what an offer would be. I don't have a mentor at the moment, so I guess I'm just looking for a more experienced opinion to give me a little confidence. Any help would be greatly appreciated, thanks.

Nick S.