All Forum Posts by: Brandon Jackson

I have been working on acquiring properties in my area to fix and flip. I came across a really sweet deal. 3 Bed 2 bath, 2014 sq feet, fenced yard, 2 car garage, etc. It was a foreclosure going for about 24,900 in almost move in ready condition. I thought I had hit the jackpot since I have a friend who was looking for a home for him and his family. It seemed to good to be true. Then tonight I was checking the sex offender registry for the area (i have two small children, I like to know if a registered offender lives near me and where). Just for kicks, I put in the address of the property I was working on. Imagine my shock when I learned that a registered sex offender lived right next door to the property. I immediately contacted the agent and withdrew my offer, explaining my reasoning.

What are everyones thoughts on a situation like this? Has anyone ever run into this? What would you have done?

I agree with James. This one sends off all kinds of red flags. They either arent serious or have something serious to hide. Im confident you have other applicants who provide the required information.

If they are legal, dont they generally get a ITIN in order to be employed?

Unless they are in the witness protection program and dont know their new information, I dont see how that would be "Not applicable". I would disregard the application. If they don't take it seriously enough to fill it out completely, then I wouldn't consider them a serious applicant.

@Wayne Brooks The timeframe is really what caught me off guard. Had they said it was just contingent on finding a new home, I would have been fine with it. I probably would have lowballed the crap out of the offer, but I wouldnt have even batted an eyelash. But the 72 hr timeframe seems kinda suspect.

My wife and I are looking at purchasing this house for ourselves. I was a little perplexed as to why such a wonderful house has stayed on the market for so long (almost 298 days). When we went and saw the house, we loved it. When I was speaking to the Realtor, he informed me that "all offers will be contingent on the owner buying a new house within 72 hours". I kinda had to pause for a minute.

Now as some of you know, Im fairly new to this. I have never run across something like this. I guess my questions are as follows:

1. Can someone explain this contingency to me? The Realtor wasnt much help. From what I can tell it means they will accept my offer if they can find a house for that price in 72 hours.

2. Is this normal?

3. Is it legal? Im assuming they would be using the funds from my purchase to fund the offer they make on another home, but Illinois is one of those states where almost everything can be illegal :)

I appreciate the help in advance

Can you clarify what your plans are?

Are you planning on taking out a mortgage/using hard/private money? Or are you planning to use cash? If there is no mortgage and you are planning on renting it out then the extra income is always a plus.

(finishing my thought) it doesnt mean they wont just do the same thing over and over.

Be cautious.

Brandon

You are a better man than me. Once I catch someone up in a lie, they are done. Period.

Never mix business with personal. I understand you are wanting to do this because of your relationship with your resident manager, I also understand everyone goes through different things in life, but business is business. My first response would be to decline due to the dishonesty. Once someone lies to you, you will have to question everything each and every time. Analyze this situation from a business standpoint. What was the situation that caused the evictions? Was it not paying or was it for violating the lease terms? Did he destroy the last place he was at? For some reason I doubt the resident manager would want to bring in someone who would tear the place up or cause a situation that would strain the relationship he has with you.....but then again people tend to not be the brightest at times.

First call him out on lying. Let him know you know the truth and find out why they felt it was necessary. Make your decision based on business sense afterwards. If you do decide to rent to him, get a security deposit for two months worth and do the lease for 3 or 4 months (kind of like a starter lease) paid up front. See how he behaves and conducts himself. If previous evictions were for non payment, have a provision in the lease stating it will not be renewed unless he brings cash to the table (subsequent month or two).

Yes, people can change. But that doesnt mean

Utility Reimbursement Payment. Its nothing for you to be concerned about, they are just helping with utilities now in this case