All Forum Posts by: Bryan R.

Edit: Working now I hope.

It depends on whether you're buying in a park, or with land. Whether title has been eliminated. Whether it will be relocated. 

If you are buying a mobile with land it generally operates fairly similar to a real property transfer. You will need to execute a mobile home excise tax affidavit and pay property taxes. If it is not title eliminated you will also need to transfer title. 

If you are just buying the mobile home and relocating it you may need to pay sales tax. Check out DOL's website.

@Jay Hinrichs 

Well it is significantly less volume than they were doing. They buy at auction and off the MLS.

Edit: Here's an interesting little note I just ran across:

Invitation has appealed valuation on 560 of their homes in Pierce County. 

@Jay Hinrichs 

We had 4-5 large fund types around here buying hard and fast for awhile. Invitation, AH4R, and FREO were the biggest players. They really shifted the market for everyone else. But they've all mostly exited. The only one I think is still around is Invitation and they are buying far far less, maybe 40-50/month. Though I think because their competition has left they are getting better deals now. I have noticed a handful of properties come on the market for sale that were early fund acquisitions and clearly mistakes that they are just looking to unload.

@Dev Horn  @Fred Heller 

You can use street addressing for PO boxes. 

The house is actually in pretty good condition, dated but functional. The buyer's plan is to go in and fix the items we can identify as needing to be repaired, get the appraisal, and then fix any additional items that get called out. 

I'm not sure what you mean by joint venture? I'm trying to sell them the property. Rehab loan wouldn't make sense for buyer in this scenario. And I'm not interested in financing it - I want my cash out. We talked about quick close with hard money, but buyer doesn't want to eat all those fees - they'd rather put that money towards buying a new furnace. Which makes sense.

I see that around here sometimes too. Though I never hear the terms used outside BP. I think it is basically as you describe with variance for everyone's personal criteria and perception.  Also I suspect you may have just described my house as a "War Zone."

I've got an interesting situation, looking for some creative contract terms and/or solutions. I purchased a house at auction. Subsequently I've received an offer from a buyer who wants to buy it as-is. The house is currently not financeable. It needs a little work to pass appraisal and underwriting - furnace repaired/replaced, few pieces of rotten trim, maybe a roof patch, septic pump per county requirements. 

The basics of the offer: VA loan, buyer to do all necessary repairs themselves at no cost to me.

Issues I see and would like to address:

1. Earnest money. I would like to get some form of non-refundable earnest money in case this deal goes sideways. VA amendatory clause makes that difficult. Anyone know a way around that in this situation?

2. Anti-Flipping regs. Normally not an issue but in this case proposed closing date would be less than 90 days and I will be unable to document repairs.

Other pitfalls I'm missing?

The owner doesn't want to sell to you so you report him to the authorities?

I'm with Bill, among those options a note against the property is the easiest. No SEC. Just a few documents to execute. Travelling is fine, these days everything can be done digitally. 

Once you've done a handful of deals that way and like working with the person and want to keep working together you can discuss setting up an LLC. Forming an LLC is easy. Properly managing and maintaining it is a little more work.

I disagree with that. I manage a bunch of different LLCs that I flip houses with various partners taking equity positions. But they're all experienced real estate investors who I know personally. When I'm lending money to someone else I'm not giving money to their little LLC. I'm getting a note, deed, and personal guaranty and a bunch of other documents too.