All Forum Posts by: Mike Chandler

Hello BP,

I am an aspiring landlord looking for some advice. I am a licensed contractor (although I work a full time job in another field) and I am currently building my own home which should be completed within the next few months. Upon completion, I should have in the neighborhood of 100k to 130K in equity in my home which I would like to put to work immediately investing in rental properties. I would like to quit my job asap and replace my income with rental property cash flow (about 40K/yr.). I would love to hear from anyone who may be able to advise me as to the shortest path to what I would like to do. I would like to avoid as many pitfalls as possible along the way, and I know there are many out there who have the benefit of hindsight and what they would do differently if they knew then what they know now. I thank you for reading and look forward to your comments.

Let me clarify...I assume the home is still in the foreclosure process since the bank has not taken possession of it yet or listed it with a realtor.  I think my friend owes about 70k and the tax value is about 66k, although he told me before he walked away from it, it was valued near 100k.  I thought it might be a rare opportunity since I seemed to be the only one he had told about it.  I've never done a SS before and I'm kinda in the dark about how to proceed from here, but if it's difficult to get a great deal doing a SS, it may be better just to leave it alone.

I work with a guy who walked away from his home about three years ago and his bank foreclosed on him.  The bank (Wachovia) is constantly sending him letters wanting him to resume his mortgage with them but he is firmly opposed to going back to his old house.  He is still listed as the owner according to the tax office.  I was wondering if this home would be a possible short sale candidate and if not, what might be a creative solution for acquiring it a deep discount?  Any help is greatly appreciated.