All Forum Posts by: Greg Scharlemann

@Darryl Dahlen Thanks for the feedback and offer. I had a good conversation with WF today. Everything is generally inline with what I expected, with the exception of the banks underwriting being based on the property, my financials and financials of any investors in the LLC. I didn't know that investors that contribute to the LLC would also be vetted by the bank and required to guarantee the loan. Looks like this is where the sponsor comes into play? That's what I'm researching now to understand how others have done this.

Apurv J. Thank you. I'll go talk with WF Monday.

Nathan Click thanks for the offer. Will do.

Hi I've been looking at a number of 10+ MF deals in Charlotte, NC - which is out of state for me. In the few conversations I've had with lenders in the market they're looking for a local presence and not willing to lend to an LLC that's formed in state but with principals out of state. I have experience financing out of state deals on the smaller residential side but not when they get above 5+ units. How have others handled this? Is it just a matter of talking to more lenders? Thanks!

Brevard County in FL has a good overview of the process of tax lien certificates. http://www.brevardtaxcollector.com/taxcol2.htm According to the information on their website, if you apply for a tax deed to bring the property to sale at auction, you are required to "redeem" all other tax certificates and fees.

So, I think this means two things:
1. If I own a TLC for 2008 and apply for a tax deed sale (this would occur in 2011 - according to the required waiting period), then I would have to "redeem" (e.g. pay off) the TLC for 2009 and 2010 before doing so.
2. If I own a TLC for 2008, but another investor owns a TLC on the same parcel for 2007 and that investor applies for a tax deed sale, then my TLC would be redeemed and I would get my money back, plus interest.

This makes sense to me, but am I missing anything?

I've recently been researching tax lien certificates in Florida and have a few questions regarding the post-purchase timeframe. What happens with the future taxes owed on the parcel for which I own a TLC? Do I need to pay those taxes in order to maintain the first position in a tax deed sale? or do I wait for future TLCs to be issued on the parcel and buy those?

Rephrased as an example: Suppose I own a TLC for the 2008 tax year. Florida requires 2 years before redemption. What happens if someone buys the TLC for 2009 on the parcel that I own the 2008 TLCs? Could I still initiate a foreclosure on the property after the 2 year waiting period?

Thanks in advance for any insight on this.