All Forum Posts by: Keith Agnello

Are there any wholesalers experienced with probable that can provide some insight on if or how I can tie up the property while protecting the money we spend paying the taxes?

I am in contact with the son who responded to a direct mail piece we sent regarding the taxes.

Hello,

I am currently working on a lead that is in probate and still in the deceased owners name. The son who the property was left to has done nothing to claim the property so after speaking with him, he spoke to a lawyer who said it would be a month to get it transferred into his name.

The problem is the property is tax delinquent and is scheduled to be auctioned off next week. The balance needs to be paid in order to prevent the auction.

My question is, is there a way to pay the balance and have a purchase agreement holding the seller liable to sell the property once they claim ownership in their name? Or is it just a roll of the dice, good faith if I pay this you better sell to me and do the right thing?

I have never dealt with probate so Im unclear on how viable the contract is with a seller who actually doesnt own the property and is he even guaranteed the property? 

Any suggestions, questions, or information I should be seeking will be of great help.

Thanks BP

I am interested in attending in Orange County. This sounds right up my alley for my goals in 2016.

Thank you @justinfernandez for your response.

I have an agreement with a seller who just paid her taxes for the first part of the year yesterday. Now she is disputing that the end buyer owes her for the amount paid and wants that added to the agreed price we already have on the contract. She obviously is misunderstanding that clause, correct?

Hello BP,

I just want to make sure I understand this clearly and any input would be great. In a wholesale contract it says:

PRORATIONS:Real property taxes will be prorated based on the current year’s tax without allowance for discounts, including homestead or other exemptions.Rents will be current and be prorated as of the date title transfers.

Does this mean the seller is responsible for any outstanding balance on the property before the closing date? And if there is a balance on the property then the funds from the buyer will clear any debt.

Thank you

Thank you everyone for the feedback. I understand the attorney is just doing her job and Im not at all upset with the seller with obtaining the service of an attorney but Im sure like plenty of people on BP have experienced, it is frustrating when someone holds up a good deal because of their lack of understanding of investing and more specifically wholesaling.

I will be on the phone tomorrow contacting attorneys in order to get the correct paperwork needed and get this deal done.

Thank you all for your guidance

Hello BP,

I recently started looking for new ways to grow my wholesaling business and started placing ads on Craigslist in different markets I had a knowledge of, one being in Upstate New York.

I had a seller contact me with a property she needed to get rid of because it was becoming a burden. It's a multi-family unit built in the 1800's but has not been worked on since the 80's. I estimated it needs about $70k in repairs and the offer we verbally agreed upon was $60k. Looking at comps in the area the property can bring in $2k/month in income being close to a college town and to Poughkeepsie. ARV is $225k.

I overnighted a contract to her and she then told me she would take it to an attorney. The attorney called me and said she would never let someone sign a contract like this. This is a contract I got off of BP's File place and used before in California but the attorney said it is not valid in New York state and the contingency's are ridiculous (assignment, taxes, inspection periods, etc.) and she won't let her client sign it.

I need some input from other wholesalers, and/or buyers on how to salvage this deal and at least walk away with something from a very motivated seller.

Thanks

Hello everyone,

I received a call tonight from a seller who is in a financial hard place but does not want to move from his home. He is need of cash and he figures this is the only asset he has to leverage.

The property has appraised for $270k (comps support that even though its in a rural part of Southern California) and he owes $170k on the property that he pays $1,500/month on. He would like to have the option to purchase the property back at a later date and would be willing to make a monthly payment but he understands he might have to move if not now but down the road.

I need advice on what I should be asking him to move forward or if I even should move forward. On financing deals I am still not well versed so any feedback would be great on how I can get creative on this deal.

My exit strategy has been wholesaling but I am open to suggestions.

Thanks