All Forum Posts by: Francis Dai

Why not just get the insurance in my own name only? Wouldn't that make everything easier to deal with?

Does the fact that there's a mortgage with someone else's name on the house raise issues?

Thank you guys for bringing up the issue of insurance. I hadn't thought of that at all.

My takeaway is that I should get a separate insurance policy with the lender named as the payee, even if the previous mortgage had insurance. Is that correct?

Financeexaminer, could you help me understand the following statement? Is the insurance in question the new insurance I get after I buy the property? And you're saying that I should put the seller's and my own name(the buyer) on there as co-insured, with the lender as the payee?

Who signs the letter of agreement? Me and the seller?

The guarantee completely lost me :)
Who signs the guarantee, and what does it say?
I'm assuming that the loan is in the seller's name, and I'm paying it. So if I stop paying and it defaults, I get to foreclose?

Some questions for people who've done deals subject to existing financing.

1. Is there any paperwork involved in taking over the owner's payments? Do you just send in payments with their account # ?

2. I heard that the owner needs to sign a form for you just to be able to get information from the lender about their loan. Do you have the owner sign this or any other forms?

3. Do you inform the lender? What do you say, and what is the usual response?

4. For loans originated in the 90s(these are the only ones that have equity) in California, are most loans assumable?

Thank you for your advice.

If it's in a Western state and the foreclosure sale happened within the past 5 month, I can help you look up how much the bank tried to sell it at foreclosure for on Foreclosure Radar.

My parents and I put in ceramic tile in our latest rental. Not just kitchen and bathrooms, but everywhere.

Tile was .80 for each 1 square foot square. Paid about $1 per square foot for labor.

Bought grout and a saw for the edges.

Looks great!

Hi Peter! I live in Santa Clara and am looking into the same thing. Email me at foreclosurevision at gmail dot com if you'd like to chat.

The SAFE Act requires a licensed mortgage originator to issue a mortgage. The language applies to any seller financing deals that are not owner occupied. The law is new, and it's unclear how much enforcement there will be.

Also, you'll probably need to get a mobile home broker's license. See
http://www.hcd.ca.gov/codes/ol/ApprovedUpdatedOLINFOBOOKLETRev05-31-07.pdf
Got a spare $1500 lying around?

Rich, knowing how experienced you are, I have a prediction: after 30 minutes at the REDC auction you will walk out in disgust.

I went to a bunch of these when I was starting out. This is in California.

They are targeted at non-investors, they have lenders there to provide funding. This is key. Once someone wins they go to the lender to get financing. If they can't they auction it again.
The atmosphere is hyped up. You're in an auditorium with several thousand people.
If your bid is too low the banks will reject it. The reserve price is not stated.
You have to pay 5% right then and there. If you back out of the deal they'll keep your money.
I've heard rumors of REDC planting people in the audience to drive up bids. If one of them buys it they just say "oops, that buyer couldn't get financing, we'll auction it again".

I can see why she enjoys going!

Who handles the eviction process? Your daughter, right? I'm assuming everything is similar to the foreclosure process for SFR.

The SAFE Act states that a homeowner selling his primary residence does NOT need to employ a licensed mortgage originator.

What is the definition of primary residence?

If I buy a mobile home, move in, change the utilities into my name, and get one utilities bill, does that make the mobile home my primary?

Thank you both for your advice!

John, how do you find homes with back property taxes? Do you search public records or look for notices of default?