All Forum Posts by: DeAdria Wright-Davis

Thanks @Darrell Shepherd I will see if the attorney will issue a title policy.  Right now the attorney is advising to delay the closing and have the seller work out the title issue.  As far as my attorney is concerned the title is clean.  Honestly I think my attorney's office screwed up and missed thethe pending foreclosure. They say the work off legal descriptions and not the property address. 

I have a house under contract for 44k cash. ARV is 82k. Repairs estimate 10k. Rent estimate is $850 per month. This would be a buy and hold. The house was listed in the mls and seller was selling because this house and a smaller house next door was wrapped in the same mortgage that was being foreclosed on. We did our title work and found there was no mortgage on our deal, only the house next door. We then spent money on a survey and inspections only for the seller to say she did not want to sell because if the house had no mortgage she no longer wanted to sell. So fast forward a few days, now the seller does want to seller but her agent says the house was indeed foreclosed last week. Turns out the mortgage and foreclosure has the address of the house I have under contract but the legal description is for the house next door. My attorney is advising the seller's agent to get her own attorney to challenge the foreclosure but this seller is elderly and disabled with little means so I doubt she would fight it. I'm concerned about long term title issues. Should I just walk away and cut my losses? Or fight for the deal?

Thanks All.  And I got my list from melissadata.com. listsource I found to be very costly.  Not sure if I was to detailed but it was over $1k for 500 names.  melissadata came out to about $0.14 per name. 

Thanks everyone.  Everyone on this forum has helped soo much!  Having a support system helps a lot!!! 

I work full time so I have some funds to work with.  Here were the costs to get started. 

List- $135

     -950 names in one county, last sale date 10 years ago, value 56k or less. (Rookie mistake- I did not select personal owners and remove the duplicate addresses so once I scribed the list I only had 558 usable names).

$190 for 14 months for a mailbox at The UPS Store

$304 for 558 color post cards mailed from Vista print.

$0 for a free Google voice number. 

Thanks Steve.  3% is a pretty good rate.  I hope it all goes well for you.  This first one was 558.  I learned a lot about mailing lists with this one.  I bought 950 names but only 558 were usable.  We plan to mail to this list each month for 6 months. 

Whoooo Whoooo!!! My first direct mail campaign to absentee owners hit mailboxes today and we got 3 calls today.  Small number but it is three more than I had yesterday :D. 1 appointment for tomorrow.  Super excited!!!!!  Happy to "Get Started"!!!

Thanks Nereo. We paid cash for the purchase so closing costs were approx 1300. We are paying 3k or the buyers closing costs, 5% realtor fees so my estimate is a little over 20k to split 50/50 with my partner. From all my research on bigger pockets I have learned to always build in about 15k for buying and selling costs.

Thanks everyone. So, the property is in Columbia, SC near FT Jackson. 3bd/ 1.5ba approx 1300sqft. The rehab was minor. Carpet, laminate floors, painted the cabinets, new stainless steel appiances, laminate countertops, and some minor repiars. We listed with a Realtor to get it sold.

What are your thoughts on having multiple partnerships?

We have a 50/50 partnership with a family member out of state, focusing on Rehabs. We are more like silent partners that supply funds. Kind of feels like I am not REALLY investing.

Then we are forming a partnership with another group of two in our local market focusing on rehabs and wholesales. My thought is, some money is better than no money. By teaming up we can be involved in more deals. This has actually made us hold each other accountable to DO SOMETHING!!! Take action!!!

After planning, planning, and more planning we finally DID something. We partnered with another investor in a different market (family member). We went 50/50 on a Fannie Mae foreclosure.

The numbers:

46k cash purchase price

ARV was 94k

10k rehab cost

1 month rehab timeline

Under contract for 90k / 3k buyer closing cost after 10days on market

Cash came from IRA and old 401k. Not a bad start.