All Forum Posts by: Account Closed

This can be done.  I always recommend people call up the smaller, local banks in your area.  I am doing a blanket line of credit right now on some rentals.  It's all about a relationship with the community banks. 

I only go to small local banks. They keep a lot of loans in their own portfolio so they don't have to always conform to Fannie/Freddie regulations. At some small banks, they'll give you as many loans as you can qualify for. There are other benefits to these smaller banks as well. I discuss it in my blog linked through my profile. You can also target owner financing and other creative ways to purchase to avoid the regs.

That shower board is great for low to mid rentals. I used to put it in my apartments. I found tenants actually preferred it because it is so easy to clean. Just make sure to silicone all seems very well.

I can ask.  He's not on Bigger Pockets.  Have you contacted a creative real estate attorney in your area?  They should be able to help.  @Chad Carson , have you gone through quiet title actions?

I have stayed away from tax foreclosures due to what you've stated.  That being said, I've had a friend successfully go through the hassles of applying for quiet title action a couple of times.  I just do not know enough about it. 

As a buyer, I wouldn't purchase on a quitclaim deed, and I don't know if many others would either.  I think that could almost appear predatory if you're selling lots of land in this fashion without an attorney.  Not saying this is your intention, but could give this impression. 

If you can sell on a land contract, this would almost be like a Lonnie deal.  You get in the deal with the 500 bucks to pay off back taxes, and then sell for 500 bucks down, 200 bucks/month (or whatever number works for ya'll) for the next few years.  A little cashflow....

A better financial move would be to purchase the lots for a few bucks subject to the back taxes.  Don't pay off the back taxes until you have a buyer, and then pay them off at the closing when they pay a down payment.  This limits your out of pocket expense...

I have always stuck to 2%.  In fact, back in 2009-11, I was buying lower income multifamiles at 3% and 4%.  Lately with values increasing, I have moved to a 1% goal.  My thinking is I'll sacrifice a bit of cashflow on a few blue chip rentals in better areas, and hopefully will experience more of an upswing in values over the next 24 months.  These are my "midterm" holds-- not short-term or long-term.   :)

Do you have an idea who your target buyer is?  If you do, and are confident in the exit numbers, you can put the properties under contract and assign them to your buyer.  This would eliminate your closing costs. 

I don't think there's anything wrong with attending open houses as much as possible and just being honest.  Tell realtors that you are interested in investing in the area, and you wanted to see what finishes of other homes in the area and their kitchens, baths, etc.  I do this frequently, and always tell the realtor that I'm just looking at new trends in the area for finishes, and that I didn't want to inconvenience the homeowner and make a separate appointment so I decided to pop in for the open house.  They seem to appreciate that I didn't displace the homeowners for an hour.  It usually ends up leading to a good conversation, perhaps a new contact and an exchanging of cards.  Try it out :)

Hey Kenneth, keep it up.. I'll have to swing by and check them out sometime.. I'm building right now in NoDa, Midwood, Myers Park, and Cotswold. Drove through Smallwood a few weeks back-- it's cranking over there too! Look forward to watching progress :)