All Forum Posts by: John Alosio

Hello BP family,

I own a MF rental property in Northampton County PA that I am looking to disposition as a Wrap-around land contract. (subject to current financing)

Please, if anyone can recommend a local Title company or RE Attorney that is able to handle creative financing deals, I would greatly appreciate it.

Thank You!

@Jansem Carranza

What are your goals?

Are you looking to start up a property management business to manage other people's rentals? 

Or are you looking to acquire a real estate portfolio that you intend to self-manage?

 I'm sorry, I couldn't help but notice that you held $1,500 from your tenant's security deposit to repaint your rental. Was there drywall damage? I always thought paint was part of normal wear and tear. You should budget to repaint every 5-7 years on your own dime.

Greetings BP

I have a question regarding sourcing leads for off-market deals.

I'm gearing up for a marketing campaign. I've been looking at my county Legal reporter, scouting for 'notice of default' in hopes to find someone in pre-foreclosure that may be open to talking about their situation.
My question to  you all would be... is there an advantage of going straight to the county for up-to-date information? I understand that getting a list from one of the popular list sources like 'prop stream' would be an easier (and more expensive) way to approach it.

My thinking is that there are probably  tons of investors in the area that are pulling lists through these popular sites. My advantage may be to hit the owners first before the notice becomes available to the masses.

Is this a realistic thought process? what kind of lag time would a company like prop stream have between a notice becoming published, to actually making it to a list for investors to jump all over?

Any thought are welcome.

Thanks in advance!

@Ahmer Khan

This should not be an issue. 

If your renter pool is big enough, there should be no need for a rent discount. 

If you happen to come across someone who doesn't like it, there should be someone right behind them that will take it.

When I was renting, I lived in places with this setup. Never even thought twice about it.

Good luck with your first purchase. Don't let little things like this cloud your mind while searching. Keep an eye out for major things like Foundation, HVAC, Roof Etc. Even major issues have a cure, everything has a cost to remedy.  Just make sure to work those numbers into your offer.

Cheers

@Jared Hottle

Great advice!

Thank you for the tip!

@Jared HottleThanks for taking the time to reply.

I googled the current owner "Federal Home Loan Mortgage Corporation" 

Turns out that's a synonym for Freddie Mac. Brick wall there, I doubt Freddie would accept my phone call.

I recently discovered a vacant off-market house. I searched the property tax records, found out that the owner is "Federal Home Loan Mortgage Corporation"

They were deeded the property back in 2019. I assume its been vacant since then. The outside appears to be in good shape.

#1: Why would they sit on a house throughout a fire market?

#2: How would one go about contacting a mortgage company to ask about their abandoned property?

Thank you all in advance!

@Christian Estrella

Hey Christian,

Congrats on making your first move! You're already on your path to generational wealth through real estate. 

I would highly recommend trying to go with another muti-family house-hack. Use the owner-occupied loan products as many times as they will allow. This will boost your ability to scale much more efficiently in the beginning. Why not leverage your comfortability for a few short years in order to increase your portfolio with least amount of capital invested?
One issue that you need to keep in mind when going this route is "intent to occupy". Lenders will want you to justify how the new purchase will be a "lifestyle improvement" I.E. closer to work, more space (Growing family), + garage etc. 
If you buy a SFH next, you will most likely lose the ability to go back to low down payment options for any future investment properties.

For me personally, I made it through (2) duplexes before settling into our "starter home"(SFH) .

Purchasing a property every (2) years allowed me time to stabilize the property, add value, then refi out of the FHA loan. rinse and repeat.

Here's how it went down:

2018 #1 duplex FHA 3.5% down. My unit was 2/1 (1200sqft) Refied into conventional after 1.5 years
2020 #2 duplex FHA 3.5% down. My unit was 3/1 (1500sqft)
2022 #3 Single family home 3/2 (1400 sqft) with 5% conventional primary residence loan

hope this helps.

cheers!