All Forum Posts by: Dustin Mathenia

I just closed on a flip here in the the DFW. I did it all wrong out of my own checking account. Personal credit card, no LLC. All wrong I know! But I did at least profit a little. I am currently looking to move about 100k or so into a separate bank one that is a little more investor friendly than wells fargo. If anyone in the DFW has a good recommendation I'd love to know it and why.

@Sachin Bhat

You bring him a deal. Explain what kind of returns there will be ask him if he would want to partner. He will want 50% for doing nothing. They always do. That's when you tell him you can get hard money for 12% and 3 points. Ask him of he can think of a way to structure the deal where you can both win. It is different when it's an investor with 200k to lend compared to 2 million too. It might be worth doing a 50/50 split if you can go from 2 deals a year to 10 it would be well worth it.

@Wayne Brooks

I know I don't understand. That is why I'm asking the question.

So if the first lien forecloses on the property the second lien is wiped out ?

And if I foreclosed in second position I own the property and assume the debt of the first lien?

@Bob Malecki

So if I FC on the second and bring the first current is it my responsibility to sell the house or are you saying the owner will sell or refinance to save the equity or the person in first position will sell or refinance? And if it does refinance will I get the money back I spent bringing the 1st current back somewhere?

@Kathy Henley

Thanks that's what I was thinking too. But I knew I might as well see the house first get face to face with the seller and go from there. From the little info I have I think the house was the Fathers and willed to the 2 sisters. So maybe they are in probate ?

@Erica Letchworth

Sell it to them on a standard note at terms you both agree to.

Then have them hire you to be a property manager and just take a big cut for managing the property.

@Andre Bias

Fast people search is easy and free

I also use an app called been verified it cost like 15 a month I think it gives a lot of numbers and email and 8 out of 10 are wrong but I use both and cold call it has worked.

Also there are a few driving for dollars apps I use one called drive by rei it works ok and you can pay extra to skip trace

So I sent a few dozen emails saying something like I'm looking for the owner of 123 main st is this you? I'm interested in buying your house ...or something similar.

Actually got a reply today this is copied pasted

Yes, and my sister. If you are interested in buying without title insurance we can make a quick deal. I currently have an offer of $75,000. 

Now I asked to see the inside of the house and if there was an issue with the title. The house would be worth the 75k if that offer is legit because it is not on the market . Found it driving for dollars.

Question would be could I do a title search to make sure their are no liens. How do I proceed if I see the house and want to make an offer. I plan on closing it myself ..not wholeselling

Let's start by saying I am a newbie when it comes to not buying or selling. I am trying to get a feeling for what makes a good deal or a bad deal and the different strategies when buying a non preforming note.

I'm looking at non preforming note in Hawaii. (Second lien UPB 105k) 1st is 425k) both non preformingm The asking price for second is 30k . If I bought the second and started to foreclose what exactly happens? does the 1st non preforming have to pay me off or give me the house ? Or what would be the strategy here? Or is this not a deal ?

@Andre Bias

Private money is borrowing from an individual they can set the rate where they like and don't have to have fees or follow guidelines because it's just a private loan.

Hard money is a company who has guidelines, sometimes upfront fees and usually short terms.

There are a lot of hard money lenders out there . Remember to treat them like car salesmen not like you're asking for a favor.