All Forum Posts by: Kevin Zimmer

If using landlord locks, just buy an extra cylinder.  As long as you have one cylinder more than units, when someone moves you put the spare in, and the unit that was vacated becomes the spare.  On the lease make sure you say lost keys cost $150 for lock replacement.   

Looking for a new company and experiences people have had. Properties are in NJ tia

Thanks, thats what I was hoping to do.  Do you have an example of what you have used?  I will probably have an attorney use requisite phrasing for NJ but I am always inyterested in examples.

Has anyone sold vacant land with a note carryback and been concerned that the person buying the land does something to create an environmental health hazard?  I know when I sell the land it is my protection (collateral) to protect me from financial loss on the note, but if they stop paying and I foreclose how do I guarantee that they have not reduced the value to zero, or worse make me liable for any cleanup?

I agree with @Derek Carroll on the distinction between properties that are outright mine vs those I manage or am in another type of partnership with.  But my feeling is if the person was of an exemplary credit/criminal background, they would not be renting from me in the first place.  So I would have a candid conversation with them about the offense, the circumstances associated with it, what was going on in their life at that time, and how are things different now.  My personal experience is that many people with these  black marks are so appreciative of the break you are giving them that they wind up being  great tenants.

I'm not an attorney so no legal advice being offered.  And I'm not an expert in mortgages.   I'm not sure how you will cash out/ refinance.  Normally when you purchase the property, the money to buy the property is a purchase money mortgage, and it is taken at the time of sale/property title transfer.  If you plan on doing that, why aren't you doing it right now?

If you do the subject to you will own the property, so the mortgage would be a refinance.  If you already have a lender in mind it wouldn't hurt for you to contact them and ask them how they would handle this.   

bimo this would absolutely work.  It would be quick, you just need to do the deed from seller to you, writing the consideration as you taking over payments on his loan, any back payments you might be making for seller etc. 

Is this a home you plan to live in, rent or flip? 

@Keith W.Why try to assume the mortgage when you could purchase the property subject to?  In your original post you mentioned the seller plans to agree, as they are in distress, property is in disrepair or they need to relocate.  The concern most buyers/investors express when they are considering subject to is the "due on sale" clause of the mortgage.  I'm not saying that is not a concern, but my experience is that was more common when interest rates were high, i.e. the bank could call a lower interest loan because they could get a better return on their money.  Interest rates are ridiculously low now so not so much an issue.  Also, I have done subject to and know lots of others that have, and as long as the mortgage payments get made the lenders are happy.  

What are you trying to do with the property? We all know there are 4 ways to make money on your real estate…appreciation, depreciation, amortization and cash flow. Everyone knows cash flow, and I would normally not recommend purchasing a property if it does not currently cf. But you said it’s a duplex. Are you planning to live on one side? If so the rental from the other side contributes to your mortgage, thus paying down your loan. Are you looking to create appreciation by subdividing? You said you are going to check with the city…make sure you do, confirming zoning and minimum lot size and setbacks. Don’t take the listing realtors word for it. Would you be the developer or would you be selling it to someone else for development. If selling to someone else, what do those type of parcels sell for? All things being equal (and they never really are) the price per sf is an indicator. But you also need to make sure the sf being considered in the comparison is consistent.

Anthony, I'm not sure what you are posting here.  Are you promoting a specific property and are offering   funding based on 25% down?

Feel free to reach out to me directly at any time.  I have had my RE license since 2004. I have paid for my education with time and money. I have done lots of fix and flips, am a landlord, have bought properties subject to, sold properties with seller financing, and I currently work the paper end (tax liens and distressed mortgage notes).  Good luck