All Forum Posts by: Dave Kush

It might be hard to get a definitive answer but these are some things you can try.

1. Just ask. Whether it's the agent or the seller directly, you'd be surprised how candid they are.  This could especially be the case if the seller is in trouble and you've showing yourself to be someone that can help solve their problem.

2. You can usually find a record of the original mortgage balance in the deed recorded against the property. You can make some guesses for 15 and 30 year mortgages and look at where it would be at on the amortization schedule. This is still guess work, but it should get you in the ballpark.

Regardless, if the property is in foreclosure, the seller may have other debts that are extraordinarily relevant to them in this situation, so the mortgage may not be the whole story for them, even if it is the principal factor for the investor.

Think about how much you'd have to invest and compare it to your other options. Should you invest 500k to earn 4k per year, probably not. But if you only had to invest 50k to get that same return, that's a much different decision. So consider your rate of return, considering as many factors as possible (taxes, appreciation) then compare it to other alternatives. 

I am in Illinois so I cannot recommend somebody in your area, but I would recommend you go right to the village inspector and get out in front of it. Definitely still pursue a lawyer as quickly as possible, but it probably won't be the first go around with a situation similar to this for the village inspector. If you can show clear concrete proof of what's going on, you might even be able to prevent this from blowing up any further.

There are a ton of good replies and good advice here. I echo everybody else in saying to be patient, both with yourself and with the time it takes to land that first property.

My all-time favorite book on real estate investing is the weekend millionaires guide to real estate investing by Mike Summey and Roger Dawson. The BRRRR book is very good as well, but I prefer Summey and Dawson as a beginner read.

Times change. Markets change. The deals are always out there to be found with enough time and patience.

I think it could make sense, especially at these interest rates, and if you are having a difficult time finding a return higher than the prevailing interest rate elsewhere. For example, if the cash flow still covers all expenses as well as what you could have alternatively earned on the extra down payment in some other investment, then why not?

Hi Everybody!

I am looking at a property that has two houses on the same parcel, one in front of the other.  I am trying to find out if it would be possible to subdivide it.  Aside from verifying there is enough room to make two lots that conform to local zoning, there is the driveway to deal with.  The village didn't seem opposed to the lots being divided, but didn't know what to do about driveway access to the rear property.  

Has anybody resolved a situation like this in the past, and if so, what did it entail?  If you have any recommendations for a lawyer or other professional that could assist with this, I would welcome them. The property is in Illinois.

Thank you for reading!

Dave

Thank you. This is super helpful.

The answer is literally in the title of the post. They are disaster areas.

Quote from @Brett Deas:

ALOT of assumptions there lol. 

People were saying this before we were all alive. They have turned out fine, as long as you stay in the market. 

Agree. Strategies have to change with the times, but there's always a profit to be made. In fact, times of great upheaval and change often present the greatest opportunities if we are clever and think about ways to create value for all the parties involved.

You didn't keep the bright orange walls?! 😂

Looks great. Rental? Would love to hear how the numbers worked.