All Forum Posts by: Dustin Mathenia

@Pete Storseth

If you do all those things you will find a house. If you want to drive for dollars theres an app I was using called profit drive when it works it's pretty nice.

@Pete Storseth

I guess you could get a personal loan or a line of credit. What you really need to make it work is a good deal nothing happens without it.

@Pete Storseth

You can't use hard money on a sub2 no because they wont loan if they cant be first position.

@Randy Rodenhouse

You can do a lease with a purchase option in texas the contracts just have to be separate. But I do agree that owner financing is a better strategy for cash flow.

@Pete Storseth

Please do more studying before trying a complex deal like a sub2. There are a lot of things involved with that kind of deal. If you find one contact a local investor who has done them and partner and learn. The house wont go to foreclosure because YOU will be bringing the mortgage current. Sub2 is not a get in for free deal idc what anyone says they're not easy or cheap you usually have to pay the owner something to walk away and pay months of missed payments. The last one I saw was 18k behind in payments with no equity .. I passed.

@Logan Hassinger

Hey Logan, I'm also in the DFW and plan on creating some notes myself. I'm also starting a meetup in Bedford this month if you're interested?

@Pete Storseth

You don't need to refinance. Why would you if you already have it on a low interest loan? Now most lenders won't really "allow" you to wrap their loans and they have the right to call the note due with a due on sale clause. Now most people wrap them anyway kind of a don't ask don't tell thing ..(I am not a lawyer and am not giving legal advice)... I've heard a small percent get called due but there are a lot of rules to follow when selling ..all on the DOD frank act and the safe act. But that's what the RmLO is for. Sounds to me like you need to do some more studying before jumping in. Read that book listen to his podcast lots of good info out there

@Pete Storseth

Seriously get Mitch Stephen's 3rd book ..it cost 55$ but worth every penny !

@Pete Storseth

This post is very confusing lol.

You keep saying lease option but what you're talking about is seller financing. What it sounds like you're wanting to do is create a second position loan to an end buyer but for only 20k more than you're buying it..I would say that's not a good deal because after you get your downpayment you have almost 0 spread from what you owe and what they owe you. You would also need an attorney an RMLO and a third party servicer for the escrow of taxes and insurance. Not a bad strategy but need a better deal. In this one you really would just be collecting 3% between the 7 your paying and the 10 your charging. It's also nice to have the option of selling your note and cashing out..I'd recommend you look up Mitch Stephen if this is a route you would like to continue.

I came across a wholeseller assigning a sub2 deal on fb. Post basically said UPB 105k 4.5% loan house built in 2006 4/2/2 1800 sq ft ARV 190k. Cost to close the deal 25k. This house was 2 hours away from where I live but the pictures showed the house has already been remodeled. So it was an interesting looking deal. I went to see it, the house was in fact recently remodeled in the last 2 years and in great shape just a little dirty. But when I talk to the wholeseller I find out that he in fact wants 35k to close the deal 15k to bring mortgage current 10k to the seller and he wants 10k assignment free. Now this house was hard to comp to see if it would be worth the 190 no houses sold near it but when I run the numbers I should still be ok selling at 170.

I did make 2 offers first was 25k to the table the way it was originally presented.

2. I offered to partner with the wholeseller I'd put up the 15k to bring mortgage current he paid the seller then we just list the house 50/50 split. It really doesn't need any work but I still put 5k in my numbers for cleaning, pictures, and inspection list repairs etc.