All Forum Posts by: Jesse Rivera

Hi James - Welcome!

I am in Portland too. Bigger Pockets is an amazing resource, with many great members that are happy to help.

This is a fantastic Thread, Lots of great advice based on years of experience.

One avenue you might try is marketing to active listing agents. Tell them you will give them both sides of the deal if they give you first chance to buy a home before they put it on the mls (pocket listing). You need to be consistent and build a relationship with them, take them out to lunch and let them know your criteria and that you are a serious cash buyer (use hard money if you don't have the cash).

As a Realtor, if someone came to me with this proposition, they would be one of my first calls when I found a fixer.

I either listen while jogging, or in afternoon on my computer. I think the 1 hour is just right for length.

If you have sales and customer service experience, I would try and become a buyer's agent for a successful rainmaker, a big agent in town. I see ads for these in Craigslist all the time. Many would rather hire an newbie and train them right (if you impress them at the interview) than an experienced agent with bad habits.

Yes, IRS liens survive the auction, and have a 120 day right of redemption, but I have never heard of one being redeemed. Anybody hear of one? I hear they only have 10 million dollars in their budget for this, which is nothing considering how many IRS liens there are.

Listen to Wayne: Walk away.

1. Find out what liens survive the auction in your state, you are responsible for those
2. What is the ARV of the property
3. What is the min bid from the bank?
4. Drive the property, knock on the door if you can. If Vacant, peer through the windows. Estimate your repair price. Add 25% to that for surprises.
5. Run your numbers. Include holding costs (insurance, utilities, Money costs), repairs and closing costs.
6. If good deal, run a title report.
7. Make sure it is a 1st lien (unless you want to buy a 2nd).
8. Determine your max bid (set in stone)
9. get your cashiers checks from the bank.
10. bid

Here is how it works in Oregon:

You can indeed buy the right of redemption from the owner of the property after the auction, but if you redeem it, all of the subordinate liens reattach, as if the auction never took place. That is why nobody ever redeems a property (unless there were no subordinate liens and there was equity; I saw this happen a few months ago).

The 2nd lien (and all subordinate liens) has 60 days to redeem, but the owner still has the full 180 days to redeem it, even if the 2nd has already redeemed. Once the owner redeems, nobody else can redeem.

A strategy that we are using is to buy the right of redemption BEFORE the auction, then purchase the property at auction (if it is a good deal). Then the court will give us a deed after 90 days, and out title company will insure it. If it is a rehab, it takes 4-6 weeks anyway, then we can sell it and just stipulate the closing date has to be after we get the deed.

We live in interesting times!

Hi Eric,

If you are looking for cash flow properties, might want to look at buying at auction. We have a whole system in place, from doing the research, checking title, we do the bidding for you, and we even have property management. We have a hard money lender, and a mortgage company, so when you qualify, you can buy using the hard money and then roll it into the mortgage right away, and get a discount on the HM points. Only need 20% down, AND if it the ltv is below 75%, you can get your downpayment back. We have investors that have used the same downpayment to buy multiple rentals.

Welcome Jennifer!

I am a RE Broker in a company that specializes in working with investors. If you have any questions about getting your license, or about the RE market, don't hesitate to ask.

We also hold a new investors workshop every Tuesday evening, you are more than welcome to attend.