All Forum Posts by: Luis Chavez

Based on my research. You may want to present the following idea to your real estate attorney:

1) Place the property into a trust. According to the Garn St. Germain Act of 1982, no bank can force the due on sale clause if you place it in a trust.

2) Have your multi-member LLC be one of the members.

Let us know what your real estate attorney suggests. 

How can I find who filed the lis pendens on a property? Should I only pursue lis pendens that were filed by the lender for good deals? What if it was filed by a contractor or some other random person? If it wasn't filed by the lender, then should I stay away from those type of properties?

Does anybody know what some of the state required disclosures are for California when selling a property? For example, I know that if the house was built before 1978, then the seller has to have a lead based paint disclosure. What other type of disclosures are necessary?

Hello Randall,

You have several options:

1) Learn how to do an assignment of. This is where you get distressed property or distressed seller under contract and assign the contract to a cash buyer for an assignment fee. Typical assignment fees will vary from $2000 to $15,000+. However most assignment fees are $5,000. This will allow you to make money with no money out of your pocket.

2) Purchase a home with owner financing. If you go on craigslist.org and type in "owner financing", then you can normally find properties that you can purchase without the bank's approval. After owning the property for 6+ months, then you can normally refinance the property at a better interest rate. 

3) If you are a first time home buyer, then you should qualify for an FHA loan that only requires a 3.5% down payment. If you are having trouble coming up with the down payment, then you can look for down payment assistance programs. Not sure if they have that in West Virginia, but where I live they have http://www.calhfa.ca.gov/ where they can help you with up to 3% of your down payment. This means you would only have to come up with 0.5% down payment. Let's say the property is worth $200,000, then you would only have to come up with $1000 to get into the house assuming the seller paid the closing costs. 

Hope this helps. Good luck!

What is the best approach in finding an escrow officer that will help me do an assignment of contract or double close? What are the best questions to ask them to see if they will be able to do the transactions?

How do I prevent cash buyers from taking away my wholesale deal? Can't they just by pass me when they are getting ready to see the property and talk straight with the owner?