All Forum Posts by: Daniel Mendez

1. no. While you can use a processing company it's pretty unnecessary.  Just pay seller directly.
2. yes still need title company to make sure title is conveyed completely clear. Title company handles escrow as well. Pretty much the same as any other closing really.
3. when property is not free and clear it gets complicated. You can do a mortgage wrap where mortgage stays, you pay it, and you also pay seller a payment for his equity. This is where a payment processor might be needed. This type of deal can be risky because bank can call loan due since property changes title. Buying subject to is a similar arrangement 
4. you would probably have the schedule to make it easier on seller.

@Daniel Mendez 

CPA’s

McIlvain & Associates – Beverly Galbraith or Tasha Whiddon (Partner) –  www.mcilvain.net

Don McCartney -  http://www.mccartneycpa.com/

I'll PM one in Dallas who is good.

@Daniel Mendez

Are you open to working with an accountant remotely?

I would prioritize finding an accountant who specializes in real estate taxation over one that is local.
There are 20+ accountants on this message board who specialize in real estate taxation. Feel free to reach out to a couple and use the one you connect with the most.

@Daniel Mendez The best way you can help people in foreclosure is to understand the foreclosure process from the first missed payment to the auction date. Most people going through foreclosure dont understand what is going on. They get overwhelmed and under informed. In order to gain trust you have to be a subject matter expert.

Once you are an expert, you have to understand that most people dont want to sell. Preforeclosures are always talked about by "gurus" as motivated sellers but if that was the case they would all have their properties listed on MLS. Most people in foreclosure want to keep their homes. Especially those with lots of equity. You have to be prepared to get a lot of pushback.

When I was wholesaling foreclosures I would always leave the homeowner with a written contract for them to keep as their plan B. I said listen, here are some options for you to keep your home (loan modification, bankruptcy/debt restructuring, forbearance, state/local programs for distressed homeowners) but if they dont work out here is a plan B in case you need it. If your plan A doesnt work then you wont lose the equity you have in your home, but if your plan A works then you can rip this contract up. This does a few things, it shows you are genuinely trying to help them which builds trust (there are a lot of foreclosure scams out there), it gives them a plan B which psychologically is going to make them less anxious about plan A not working and it keeps them from talking to other investors since they already have a contract with you.

There are a lot of people who chase foreclosure leads but very few who do it compassionately and in a selfless manner.