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All Forum Posts by: Denise Evans

Denise Evans has started 55 posts and replied 1444 times.

Post: Security deposit disposition sent. Due date needed???

Denise EvansPosted
  • JD, CCIM , Real Estate Broker
  • Tuscaloosa, AL
  • Posts 1,569
  • Votes 1,490

Hi Peter. I need more info before I can give you an answer. Please contact me. I can't just tell you what I need here, because some of what I need depends on your responses to my questions. Sorry for the bother.

Post: Jacksonville, Alabama Property Management

Denise EvansPosted
  • JD, CCIM , Real Estate Broker
  • Tuscaloosa, AL
  • Posts 1,569
  • Votes 1,490

Jacksonville is close to Anniston, not Mobile. Mobile is on the coast. Jacksonville is about 300 miles NE, in the foothills of the Appalachians.  If you can't find an Anniston property management firm, a large firm in Birmingham (80 miles away) or a mid-sized one in Gadsden (30 miles) might work.

Post: Should chase debtor?

Denise EvansPosted
  • JD, CCIM , Real Estate Broker
  • Tuscaloosa, AL
  • Posts 1,569
  • Votes 1,490

I'm in Alabama. 

I'd hire a collection agency associated with a law firm. That way, if needed, they can escalate to filing suit if just collection activities do not work. 

Most collection attorneys work on contingency. You might have to pay a court filing fee of around $250 and maybe a default judgment fee of $50, but I think it would be worth the money to try to recover some of what you are owed.

Does your  lease contain a waiver of exemptions clause? It makes a difference regarding being able to collect a judgment after you obtain one, because of a recent Alabama Supreme Court decision.

What do you know about the tenants? Employed in highly skilled jobs, making it easy to track them down?  With rental rates in Alabama, they had to be something like that if rent was $3,000 a month. Or is the $6,000 rent plus damages?

Post: Insurance companies for rentals

Denise EvansPosted
  • JD, CCIM , Real Estate Broker
  • Tuscaloosa, AL
  • Posts 1,569
  • Votes 1,490

The most likely hazard you face as a landlord is not damage to the premises, but an ungrounded Fair Housing complaint.  Legal fees can run tens of thousands of dollars. If you get an attorney who does not handle a lot of Fair Housing defenses, they will be very cautious and advise you not to do anything until the case is resolved. In other words, don't rent the property to somebody else, don't evict the current (complaining) tenant despite non-payment of rent in the meantime.   In the end, most landlords make a cash settlement to the complaining party, because it is cheaper than the mounting legal fees and the non-performing rental unit. 

Whatever insurance company you use, make sure you add coverage for Fair Housing. It is not standard, even in landlord policies. In the industry they call it Housing Discrimination insurance.  If your company does not offer it as a rider, it is available as stand-alone insurance in the market.  

Post: Alabama Tax Sale Redemption Rights

Denise EvansPosted
  • JD, CCIM , Real Estate Broker
  • Tuscaloosa, AL
  • Posts 1,569
  • Votes 1,490

Lienholders have one year after receipt of CMRRR notice, or the original three years, whichever is longer. So, it would never happen that the county would let the lienholder redeem incorrectly, because they always have redemption rights during the admin period.

Your only obligation is to notify the recorded lienholder at their last known address.  If they sold the mortgage but did not record the sale in the real estate records, then you do not need to send to the new lienholder. If they sold the mortgage and recorded an assignment of the mortgage in the real estate records, then you do need to notify the new owner.

Post: Alabama Tax Sale Investing

Denise EvansPosted
  • JD, CCIM , Real Estate Broker
  • Tuscaloosa, AL
  • Posts 1,569
  • Votes 1,490

We have live online and recorded video classes on Alabama tax deeds and on the newer tax lien system. Next on will be October 16, but other dates available. 

Strategies, opportunities and pitfalls to avoid. Some free downloadable materials also on the web page, or register for a course or purchase a video. Check out the variety of resources from THE acknowledged expert on Alabama tax sale investing, Denise Evans. 

https://www.butlerevanseducation.com/collections/distressed-...

Post: Alabama Tax Sale Surplus Funds Strategy Might Return

Denise EvansPosted
  • JD, CCIM , Real Estate Broker
  • Tuscaloosa, AL
  • Posts 1,569
  • Votes 1,490

Several years ago the Alabama legislature and the Alabama Supreme Court, acting separately, eliminated the surplus funds tax sale strategy in Alabama. The strategy related to partnering with former property owners to claim tax sale overbid money on deposit with the counties. The strategy became useless because the surplus funds could be claimed ONLY if the owner redeemed first. In order to GET the money, the property owner had to first PAY the money, plus the taxes and interest to date.

Now, I think the strategy will return. That is because of the newer tax lien sale process that almost all Alabama counties follow.  In a tax lien sale, the county auctions only a lien on the property. Investors now bid down the interest rate. Under the old system, they bid up the purchase price, which caused the surplus funds. Today, after buying three consecutive years of liens, the investor can judicially foreclose. If nobody redeems during that foreclosure lawsuit, the court awards the property to the investor.

I've heard rumors the law will change next year, and there will be a public auction if nobody redeems in the judicial foreclosure lawsuit. That's good for interest-only investors, because it makes it more likely they will be paid.  It's bad for want-the-real-estate investors, because they will have competition at the auction. (I do have some strategies to solve that problem if it happens.)  It's great for surplus funds investors because what happens to the winning auction bid money after the taxes and interest are paid?  That's right--it will need to be held until someone claims it.  The surplus funds treasure hunt will return. 

Stay tuned for announcements by me in early Spring 2024, when the pre-filed legislative bills will be available for me to read. Something will almost definitely change in 2024, we just don't know exactly what. I'm betting on public auctions.

Post: For Sale: Furnished 6BR or 8BR Student Housing in Tuscaloosa, Alabama $1,100,000

Denise EvansPosted
  • JD, CCIM , Real Estate Broker
  • Tuscaloosa, AL
  • Posts 1,569
  • Votes 1,490

2 story house with 4,630 sf. Built in 1886 but completely updated and modernized and NO historic district restrictions. Metal roof still under warranty. 6 BR or 8BR, 4BA, can easily add two more BA if want, with minimal plumbing.  To convert to 8BR, the 17x17 LR and 17x17 DR can be used as BRs, with huge entry foyer used as a LR and rear foyer and dine-in kitchen used for dining.

Brand-new furnishings, fixtures, finishes and accessories. Two kitchens. W/D in laundry closet. All new windows. Two new a/c units. The third is relatively new. New gas line for tankless water heater. Turnkey. Off-street parking. Concrete handicap ramp.  Minimal yard for upkeep. 

Seller credit to add sprinklers OR vinyl siding if you want to do that. Highest and best use is furnished student housing rented by the bedroom. One mile to campus, 3 blocks to dining and entertainment district. Next door to high-end whiskey and cigar bar in another historic home. Quiet street. Current student housing cap rates at 6.5% (9/21/23) This property caps at 6.98% with 6BR and 9.57% with 8BR. NOI assumes 10% management fee, 5% vacancy and credit loss allowance, and 5% repair and maintenance allowance, plus normal actual expenses. Large first year tax deductions with cost-segregation. Seller will hold up to 15% on a second mortgage.

Contact me for a flyer, photos, and spreadsheet.

Denise Evans, Qualifying Broker for 
    Butler Evans Real Estate, Inc.
205-310-3799
[email protected]

Post: Clarification on Right of Redemption in Alabama

Denise EvansPosted
  • JD, CCIM , Real Estate Broker
  • Tuscaloosa, AL
  • Posts 1,569
  • Votes 1,490

It's a lengthy conversation. Call me. You can fight it, but it is fact specific and I need a LOT more facts.  Denise

Post: AL quiet Title time frame?

Denise EvansPosted
  • JD, CCIM , Real Estate Broker
  • Tuscaloosa, AL
  • Posts 1,569
  • Votes 1,490

The attorney quoted random decisions that are irrelevant. To add to my earlier comment about Buzelli, here's one for Austill v Prescott. It was decided on a procedural technicality NOT on the law about how long before you can quiet title. The procedural technicality had nothing to do with tax sales. I was present for oral arguments. The court was going in favor of 3 years of possession, WHENEVER possession first occurs. But, the procedural technicality could not be ignored, so the investor lost.  After Austill v Prescott, the statute was amended to comply with the original intent of the judicial redemption law, and say three years of possession from the date the investor is entitled to possession burns off the short statute of limitations. Not, three years from the tax deed. 

AND saying the short statute of limitations might not be good law is wrong on two grounds. First, it has been around for 100 years. There is no controversy surrounding it. Second, the relevant statute is not the short statute of limitations, but the judicial redemption statute. In short, fake legal advice supported by impressive sounding case cites that don't even apply to your situation. If you want real advice, like everybody says, contact ME.