All Forum Posts by: David S.

@Gerardo Dominguez

 Total mailing was around 850 postcards, 80 handwritten yellow letters. Got I think 12+ calls from the letters. Two from the postcards. 

@Dawn Anastasi

 I'll have to ask. He said he's gotten a number of letters from them, but it wasn't clear when or what they were. I suspect they were offers to re-fi when he defaulted, before the actual foreclosure. 

I'm looking at a property in foreclosure. ARV of $165k. Seller wants $5k. The issue is it went to a sheriff sale, and the bank picked it up for $123k. Can't get inside, but based on the exterior, I could see $10-20k in repairs. So overall doesn't work, even if I want to hold as a rental. The seller tells me he got letters from the bank offering to settle for only $90-100k.

Is there anything I can do here? Property is in the redemption period, so buyer has the right to buy it back. 

My thoughts are that if he had called before the sheriff sale, we could work something out, maybe a short sale, or assume the mortgage. Now, I'd need a new mortgage, and I don't think the bank would work with me for a short sale. Without the price drop to $90-100k, I'll have to walk. 

Can I talk to a bank rep and see what they're willing to do? Would there be any point in calling the law firm that handled the bank's interests at the short sale?

I'll echo what Marc is saying. You can't get 2% anywhere in Minneapolis except North, and that is not a place I'd recommend for new investors. I know a guy that just got a place at almost 3% in North, but he's been doing this a long time, and found a motivated seller.   

In south Minneapolis, you could find a 1% deal on a duplex off the MLS pretty easily. SW not so much. Uptown - cripes, don't know how any of those places cash flow unless they've been owned for decades.

@Matthew Berry

Thanks! This particular property is actually in Anoka County. Got a pretty good handle on the ARV. Now trying to determine whether it's worth pursuing. Based on the # from the foreclosure, plus seller's desired cash, plus estimated repairs, I'd be too close to ARV to be worth it. Since the bank has it, I don't think I can buy it without getting a mortgage either. I could look at doing a short sale. Only thing is I don't think the seller can take any cash away from a short sale, and this guy wants $5k.

@Sawyer Lubke

 Thank you! I'll give try calling the county and see what I can find.

Just got a call from a motivated seller. Seems like a good deal, but one thing is making me wary. Both Zillow and the county website show the house as being sold at foreclosure 3 weeks ago. 

So where can I find out more information about this foreclosure? Would calling the county be worth anything? The records available on their website are minimal, so guessing they'd tell me I could only pull records in person. Could I get any information from the law firm listed in the foreclosure?  

Also, I'm in Minnesota which has a 6 month right of redemption. Since it's still within that period, is there anything else I would need to do, other than paying off the loan amount(plus penalties?).

Thanks.

I'm on my first round of mailers. did postcards to SFRs, and handwritten to small multis. The handwritten has about a 10% response rate so far. Postcards, only 1 response. 

@Ben Leybovich

 I know this is a few months old, but great advice Ben! Thank you. I've got two multi-family properties I'm evaluating, and just can't find comps. Just not much inventory moving in either area for MF. 

There's likely nothing you can do to change that before closing. Many jurisdictions assess the taxes a year in advance, and your appeal must be before that. For example, in my county they send out the assessments in about February, and you have to have them re-assess before the end of April. So at this point your 2016 taxes are set. You could ask for an assessment now, but that wouldn't go into effect until 2017.