All Forum Posts by: Ben M.

Quote from @Erik Estrada:

Quote from @Ben M.:

Quote from @Erik Estrada:

Quote from @Ben M.:

Quote from @Erik Estrada:

Quote from @Ben M.:

Quote from @Erik Estrada:

Hey Ben,

Are you working with a lender or are you planning to buy all cash? 

 Hi Erik! I am using a hard money lender

 Also since you aren't using a realtor, did you draft a purchase contract yourself? Are you using a title and escrow company? 

I didn’t draft a purchase contract. I believe the lender will coordinate all of that and get a title and escrow company

 Got it. And your lender didn't provide you with a closing cost estimate? Are they using an appraisal? 

Nope I’m just wondering what the common items are for closing costs and which one’s for the buyer and which one’s for the seller 

 Seller wouldn't have fees to pay. You would be responsible for the cost which could include Title and Escrow Fees, Lender points, appraisal (if any). If I were in your shoes I would request a fee estimate from your lender  

 Awesome! Thank you Erik!

Quote from @Erik Estrada:

Quote from @Ben M.:

Quote from @Erik Estrada:

Quote from @Ben M.:

Quote from @Erik Estrada:

Hey Ben,

Are you working with a lender or are you planning to buy all cash? 

 Hi Erik! I am using a hard money lender

 Also since you aren't using a realtor, did you draft a purchase contract yourself? Are you using a title and escrow company? 

I didn’t draft a purchase contract. I believe the lender will coordinate all of that and get a title and escrow company

 Got it. And your lender didn't provide you with a closing cost estimate? Are they using an appraisal? 

Nope I’m just wondering what the common items are for closing costs and which one’s for the buyer and which one’s for the seller 

Quote from @Erik Estrada:

Quote from @Ben M.:

Quote from @Erik Estrada:

Hey Ben,

Are you working with a lender or are you planning to buy all cash? 

 Hi Erik! I am using a hard money lender

 Also since you aren't using a realtor, did you draft a purchase contract yourself? Are you using a title and escrow company? 

I didn’t draft a purchase contract. I believe the lender will coordinate all of that and get a title and escrow company

Quote from @Erik Estrada:

Hey Ben,

Are you working with a lender or are you planning to buy all cash? 

 Hi Erik! I am using a hard money lender

What all are common items included in closing costs on a wholesale transaction? Which items are usually the seller's closing costs and which items are the buyers even though in most cases the buyer pays both closing costs...?

There would usually be no realtor commissions to pay on both ends is that right?

My rental property is getting sold before end of this year. Would I still be able to do a tax deduction on the repair and operational expenses that I spent on the property  before it was sold?

Quote from @Sarah Davis:

@Matthew Rolf is asking the right questions though. Just because it hasn't flooded before doesn't mean it can't. A couple things though...

1) Houston is updating their floodmaps right now, with the revised rainfall risk (Atlas 14 that @Eliott Elias mentioned) it is expected to increase the number of homes in the FEMA mapped floodplain.

2) The 500-year is misleading, it means that in any given year there's a 0.2% chance that it will flood, but this is all based off of past data, it does not consider climate change. (For the 100-year floodplain it would be a 1% chance in any given year or 30% chance throughout the life of a 30-year mortgage.)

HOWEVER, if it hasn't flooded before, and it's in Houston I would say it would not be unreasonable to re-sell in the future. It is a risk, and every risk can be mitigated with $$$. 

One thing I would urge you to do is have flood insurance, even though it's not required.

Hi Sarah,

Is it possible that this property was not yet updated by the Atlas map? Could it change and turn into a high flood risk Zone and raise the premium? Or was the Atlas map already completed. I checked the risk rating at https://www.harriscountyfemt.o... is this a good resource 

Quote from @Matthew Rolf:

@Ben M. to me it sounds like it would be okay.  What part of Houston?  And what year was it built?  (curious how many flood events it has made it through)

Hi Matthew! EaDo and it was build in 1940

Wondering if I should pursue a a Triplex property in Houston that is in a 500 year floodplain? It was never flooded not even during hurricane Harvey….

500 year does not seem to sound too bad and it was never flooded. Is this a bit too risky and would it be harder to sell this later on?

I am selling my property which has a 73k loan left on it. The loan is in good standing and no late payments. Below is an offer on my property. Will subject to transactions affect my credit in any way or put a dent on my financial record in any way?

——————

OPTION 1: Subject to - Taking Over Owners Existing Loan

Purchase Price: 140,000
Down Payment: Loan amount - purchase price = down payment

Terms for the remaining Balance: Buyer to pay out at closing Seller’s equity and bring any late payments current (if any), in addition buyer takes over seller mortgage and monthly payments. Buyer Pays all closing costs; (Give me a call or text for further details)

Seller Walks away with: (Remaining Equity)

OPTION 2: Subject to - Taking Over Owners Existing Loan With Owner Finance of 3 years

Subject to - Taking Over Owners Existing Loan

Purchase Price: $150,000.00

Terms for the remaining Balance: Bring any late payments current (if any), in addition buyer takes over seller mortgage and monthly payments.

Seller Finance of 3 years (Financing Half of Sellers Equity)

Down Payment: Half of Seller’s equity

Terms for the Seller Finance remaining Balance: Seller to carry back balance of Remaining Half of Seller's equity @ 5% APR with Monthly Interest and Principal Payments with a 3-year balloon. Buyer Pays all closing costs; (Give me a call or text for further details)

Seller Walks away with: (down payment + equity that was financed)



NOTE: BUYER WILL ALSO ATTACH A PERFORMANCE DEED WHICH THE SELLER HAS THE RIGHT TO TAKE
BACK THE PROPERTY INCLUDING THE DOWNPAYMENT, OR EQUITY GIVEN AT CLOSING AS WELL ANY
IMPROVMENTS THAT HAVE BEEN MADE TO THE PROPERTY. IN ADDITION, IF BUYER IS UNABLE TO
PERFORM ON MONTHLY PAYMENTS AS AGREED, THIS IS ATTACHED TO GIVE SELLERS A SAFTEY NET
AND PROTECTION THROUGHT THE TRANSACTION!