All Forum Posts by: Kelly Beck

So, she just told me it was Chapter 13. How would that change things and the process we should go through? Her debt is $75K, she does not have a mortgage and has been making $500 payments each month. ARV for the property is about $250K. Should we start by getting an inspection to determine the repair costs needed, so we know what our offer is? Thanks again.

Again, thanks so much, Mike. I'll ask her what she filed. Sounds like it's a mess if it's 13. 

My phone must have cut off the bottom of your post...So you've had success with this? There is a lot of equity in it, possibly over $100K. If we would decide to pursue it, what should we do as investors to take precautions to protect ourselves? What can we do to make sure the seller would avoid fraud? Just be sure she's being open and honest with the attorney? 

Mike, thank you so much for your detailed response. I would never in any way want to be responsible for some one possibly being charged with fraud, so we'll avoid this one.

Does anyone have experience purchasing a property where the mortgage is paid off and the seller is going through bankruptcy, needing to sell the house to pay off the debt? This is in North Carolina.

The seller wants to sell now before the trustee sells so she can get something out of it herself. The debt is less than what we'd be paying for it. I talked with the bankruptcy attorney and the debt owed is $75K. Right now WA is $140K but we're hoping to get it down after the inspection. ARV is $287K.

I know our offer has to be approved by the court, but does the trustee still try to get as much as possible out of the house, even though the WA is almost 2x what the debt is? And if so, does the seller get that money above and beyond the debt? Or does someone else? 

Is it typical for this to be approved since we're offering more than what the debt owed is? We have no idea what might be involved in getting the sale approved so we're looking for anyone with any experience with this.

Thanks so much.

Gotcha, thanks for the explanation.

Thanks so much. I just don't want to get locked into something and then not be able to sell elsewhere.

Thanks, Peter. What does "UPB" stand for? Also, this is a 2nd position note we're trying to sell, so we'd be open to any suggestions for that type since it's our first one. Thanks again.

Quote from @Chris Seveney:

Quote from @Kelly Beck:

Has anyone had good/bad experience with selling notes on either of these platforms? We're looking to sell our first note (unseasoned, 2nd lien). Before we sign anything I'd like to get some feedback. Are there any other platforms we could be looking at?

Thanks!

 We have sold on paperstac, lots of brokers on there that never close. I ask everyone who is a broker for 3 references to who they sold to. That weeds out 95% of them.

Debexpert fees are too high to make the numbers work most of the time. 

Thanks. So, you're saying that a lot of notes don't get purchased through Paperstac?

We want to sell our note, so do you mean here "who they bought from"?

Also, DebExperts told us that it's the note buyers who pay the fees, so if we're selling we wouldn't have any. Are you saying that there aren't many note buyers on DebExpert due to the fees being too high? 

Thanks for the clarification.

Thanks, Peter. We had a call with DebExperts today but it was just introductory.