All Forum Posts by: Melanie M.

@Tim Wong--welcome fellow Californian! A good place to find further education is with the BP book Real Estate Rewind--available on this site for free. I wish I had read it before I started investing :) I would have avoided quite a few mistakes. Hindsight really is 20-20. 

I'd say you've found a wonderful tenant! Even so, I would create an addendum to the lease that indicates that the tenant is responsible for maintaining the equipment, paying the monitoring fee and uninstalling it when they vacate. This way there is no confusion when/if they move out. I'm surprised they are going with ADT, as I think they have a 3-year contract requirement. Which could be good news for you :) if your tenant doesn't think they will move for 3 years. I personally use FrontPoint in my rentals, some of which I pay for, some of which the tenant pays for. Another tip: you could ask the tenant to put you (or the property manager) on the contact list in the event of a break-in. I am the second call on most of my properties (the ones in C neighborhoods)--this way I can call the police as well (which has only happened once, when the property was vacant).  

HI Cameron,

I use a company called Citracado for lates. Email [email protected] -- the minimum order is 1000 names, if I recall. I think Michael Quarles also sources lates. His site is yellowletters.com. Hope this helps, let me know what turns out!

 @David C. and @Rick Harmon

Thank you for all the great information…I had no idea about any of the subtleties you mention. I will definitely look for the NODPA form and/or the similar ones you mention.  

@Rick Harmon Can you tell me what ROR stands for? Would you elaborate on how to use Ocwen's ineptitude to my advantage? Their trustee is equally inept and crooked--Les Ziev. They don't even answer the phone half the time. For this reason, I am leaning toward wholesaling this deal. 

Thank you again for your input and insights. I very much appreciate it!

Property Radar is awesome. I wasn't aware of the 30-day trial, but that is definitely the way to go. If not, it's month-to-month so you can always cancel. 

 Have you had direct experience with RPM KC? I have heard horror stories about them. 

David, Thanks for your reply. I actually did not realize that I needed special purchase forms. Can you provide further information? I would greatly appreciate it.

 Wayne, 

Thanks for the excellent insights. Seller is getting very close to auction date, and Ocwen won't extend. Seller doesn't have the money to reinstate. So yes, reinstate, pay seller, rehab and resell seems like the best approach. ARV at $450K is a no-brainer in this market. We are in another bubble over here in SoCal. It's crazy.

As for a "loan modification" loan getting more scrutiny than most loans, that is a great question. Maybe someone on BP will know the answer….

Hello BP Nation, I am a rehabber/buy-and-hold investor. A possible wholesale deal has fallen into my lap, and I would really like some help from the talented and insightful BP populace. I am a fish out of water in this arena.

Property is a condo in a hot area of Los Angeles with a loan balance of $230K. ARV is $450K. Market rent is $3200-$3600. HOA/taxes/insurance are $1000/month.

The condo is in foreclosure with Ocwen. Reinstatement is ~$25K. Seller wants/needs $30K walking-away money.

Rehab is minimal--paint and cleaning--$5K max.

Finally, seller's loan is 2%--payment is $750/month. Goes up to 3% in 3 years, and 4% in 7 years.

Do I dare take this property on as a rental by reinstating the loan and doing a subject-to? (One fear is Ocwen. They have treated this seller very very badly. I'm very afraid of them.)

Is there enough spread to wholesale it? 

I'd appreciate any insights BP Nation has. 

Kathy and Sekelle,

Thanks for your excellent feedback and suggestions. Stay tuned for updates, I am playing phone tag with the seller!