All Forum Posts by: Jonathan Newman

I would send a letter to the 2nd lienholder explaining that you are pursuing a short sale on a property that would otherwise face forclosure. Remind them that in a foreclosure by the 1st lienholder, they would get nothing and their lien would be wiped out. Make them an offer that works for you, but tell them you can only make the deal work if the junior lienholders accept a lesser payment. If you can only pay $338 for the $1000 lien, then say so. And, then remind them that if the bank forecloses, they get nothing on top of 3 month of no payments. They can say no, but it may not be in their best interest. If you are getting close to your deadline, send another letter and try calling the department responsible.

Amerikote,
Thank you for being so open about your situation. The topic was about good contractors being hard to find. You sound like you understand the business side of things as well as the customer service and quality sides. I can feel that you have the burning desire to be the best tradesman you can be in the REI business. I know you'll do well, and I wish you luck!

I have been looking at HUD foreclosures in Ohio. Many of the homes were built before 1978 and have lead paint. HUD provides the full lead paint assessment report that details the location and condition of the lead paint, and also gives an estimated price for abatement.

What do you all do when you rehab a house with lead paint? In some cases, the estimate is more than the asking price of the house.

Does each rehab require a follow-up inspection?

I think you SHOULD contact them and relay your experience with their chosen PM. You can earn 10% and give them more than their 10% back. Win-win as I see it. You better move before it rents!

Shakazulu and Mercury,
You both seem very knowlegeable in the field of short sales. Can you recommend any books or courses for a newbie to read?

Minna,
Am I correct to assume the house was built in 1840? It's hard for me to tell from the context.

I heard this today from a chaplain. It seems appropriate. Above all, be honest. It sounds like you are getting a lot of advice from people who have different sorts of reputations. I would aim to build the reputation of 100% honesty. If that means losing a deal or two to someone who gets paid with birthday cards, so be it.

Kiyosaki puts it well, too: There are too many ways to make money legally.

Jonathan

Good insight, Heathen. I was thinking residential loan, and this is definately not a residential deal.

I've noticed that there are some people who talk to hear themselves speak. These same people are very focused on themselves.

I almost partnered with a successful landlord on a plantation in Africa, but his self-centeredness drove me away. Had he shown concern for anything beyond what he had and I didn't, it might have worked out. Two years later I can still spout how many units he has and his net worth as well as his age because said those things so often.

Anyway, I sincerely appreciate guys like you who ARE willing to share their years of experience.

Jonathan

It's tough to answer any questions as I haven't seen the place since I'm not living in Ohio yet. Also tough since the "listing agent" hasn't responded to email.

I searched public records and found this guy's name on mortgages and deeds back in 2005/6. His "brokerage" doesn't have a listed number, nor can I find it on google. He does have a valid RE license. The property sold a month ago for $10,500, so someone is looking to turn a quick profit.

I searched civil court and found him as a 3rd listed defendant on a foreclosure, but I also found him as a 1st defendant on a tort claim from what sounds like a real estate biz. Sounds like he might be tied up at the moment...

Thanks for the advice on DIY improvement. Any savings at all would really sweeten the deal and improve cashflow. It may need new doors and windows, and plumbing because it was an abandoned property. It had sale prices as high as $56k and as low as $10k. My guess is abandoned. We'll see if he responds. The longer it sits, the better the deal, right?

Be careful of the ad hominem attack. I think everyone here genuinely wants to help. Questions and words of caution are discourse, not criticism.

There are a million ways to make money legally. Good luck with yours.

Do you think that an 11% commission is sustainable when "the market" offers 6%?