All Forum Posts by: Bob Asad

I've been reading more about subject to and here's what I've learned:

-Good for sellers who are off market

-Have low to no equity

-Have a mortgage with a low interest rate (less than 5%)

-Be absentee or out of state (vacant property, or have a tenant)

The buyer would then take over the mortgage payments, and have the seller sign the deed over to the buyer. The mortgage would stay under the seller's name.

The buyer could then rent out the unit, renovate, etc. to increase cash flow or make more money.

But aside from a possible "due on clause" being called by the mortgage company, what's the benefit to the seller?

They are held hostage by the buyer until the buyer fully pays off the mortgage. So the seller cannot go get another loan for a car, house, apartment, etc. so it damages their credit by stretching them too thin.

Am I missing something? In other words, it doesn't make sense for the seller. And equally for the buyer, if you want to renovate and refinance or cash out, wouldn't you have to pay off the entire mortgage at that point and the bank would know it was always the buyer paying off and not the seller?

 I was thinking of combining all tenants security deposits into one Bank of America checking account, is this not the right way to go?

 That's a good point and along the lines of what I was thinking. If each tenant pays you a security deposit (ex. $2,200 and $1,800), couldn't you just put the $4k into a seperate bank of america checking account and not touch it?

Then when the tenants moves out, you can assess if there's any damages or cleaning. Normally, you would charge a cleaning fee (ex. $250), then refund them back the remaining.I don't understand why some people say you need a seperate account for every tenant, that's a bit ridiculous especially since banks normally require min balances, so you'll end up owing thousands to the bank everytime you pay back the tenant's security deposit.

So I read that you can keep the last month's rent in your own account because it doesn't need to be separated; however, security deposits cannot be mingled with the landlord's other accounts or business funds.

If that's the case (in Florida), does anyone know if you have 2 SFH, then do you need two separate savings accounts for each tenant's security deposit or can you combine them?

If I have 2 rental properties and charging 1st, last, and security; can I take the last and security for both places (combined) and put them into a Bank of America savings account?

In other words, I already have a checking and savings with BoA, but I would create a 2nd savings account (within my regular account) and put all the rental properties last months and security into that account (combined).

Is this the correct way to prevent co-mingling of funds, or what would you recommend?

I have capital and looking to fund quick fix & flips to receive 12-15% interest + 100% of the capital back when you re-sell. Collateral would be the property.

Scenario:

-Let's say you find a property that's as-is value for $250k

-You negotiate with the seller for $175k (70% of as-is)

-I would fund it at 80% (so you also have some skin in the game; ex. $140k) with the expectation of 12-15% interest + the full 100% of the money back within 2-3 months

If you re-sell it for $240k, you would pay me the 12-15% interest ($17k-$21k) + $140k, and would keep the rest (in this example $64k-$71k)

If you cannot re-sell the property in-time, I would own the property (collateral) since I've financed it.

Looking for only experienced people (must have sold 20+ in the past 1-2 years doing this) who buy properties at discounts and re-sell quickly (2-3 months) without doing major rehabs, etc.

If interested, let me know.

Thanks, it just seems like a miss on the forum. You can search for everything else at the top like agents, lenders, etc. but not developers. It would be great if it was its own category.

Looked around the site, I only see lenders, property managers, agents, brokers, etc. but not developers?

Is there a way to find local developers based on zip codes on this forum?

Looking to buy some vacant lot/land for SFH or duplex to build a house.

Then either will flip and sell the house or rent it out.

Are there any home builders in the West Palm Beach, Boca Raton, or Ft. Lauderdale area?

Is anyone familiar with zoning laws?

Looking to see how I can tell if a vacant lot/land is allowed for a single family home (SFH) or duplex to be built on it.

The area is West Palm Beach, Boca Raton, Ft. Lauderdale