All Forum Posts by: Kristopher Ames

Currently building a lease for a single family long term rental I own. I see some leases use mediation and arbitration to avoid going to courts to settle lease disputes. Can anyone share their experience with this process and the pros and cons?

Thank you @Wayne Brooks. I know sheriffs auctions can provide a source for some lucrative deals, especially in my area where they are very poorly advertised and missed by many. At the same time I believe when they come up for auction there was already a missed opportunity. I am going to finish my due diligence on this one and if I can buy it at a price where the numbers work as a long term buy and hold rental I will buy it. Going forward I am going to try to identify properties that may be in financial distress or pre-foreclosure and present the owners with an easy option for a way out of their situation. This property is a bit different being part of an estate of someone that is deceased, but that may have been advantageous due to the fact that the people now responsible for the debt may not have had an emotional connection to the property. 

Thank you Tim, I have done a little more digging and the attorney states the hold the first lien position representing one client, but also emphasized that the property is sold as is and is the buyers responsibility to do their own due diligence. Obviously for their own liability. Seems logical the next step would be to do a title search through a title company to verify this. I'm not positive on the right of redemption in Wisconsin but, the lien is against the estate of the owner who is now deceased. Would it be safe to assume that it is less likely for his estate to repay the debt to claim the property?  Could I possibly go straight to the attorney to settle the debt and take ownership prior to the auction?

Also you are correct on being a cash purchase, I would be require to pay 10% of the winning bid the day of auction cash or certified check, then have 10 day to pay remaining balance with cash, cashiers check or certified funds. I have the 10% cash and would get the remainder of the purchase price from 401k loan. This could also be a good opportunity find a private or hard money lender to help cover some of the purchase and/or remodel with a plan to repay them when I refinance into a conventional mortgage.

Hello BP Nation, I am currently looking to bid on a foreclosure property that is coming up for auction at a sheriffs sale. My question is what steps should I take to mitigate risk. The sheriffs sale states the judgement against the property is for $87k. Is this the minimum amount I can expect to pay? Could their be other liens against the property not included in the 87k that I would be responsible for? Where is the most reliable source to get this information? The property is a 2 bed cabin with detached garage on 2 acres with a river view in a vacation area with higher property values for the area. My plan would be to BRRRR the property using a 401k loan to purchase, cash to rehab, and market it as a short term rental but the numbers would have to work as a long term rental as well.

We have talked about it for years, but my parents recently have decided to hand down the family farm to us three kids. My question for the brilliant minds of bigger pockets is... What is the best way to go about this? We have a plan to meet with a real estate attorney but is there anything we should look out for or expect in the process. Would the best option be to put the property into an LLC to protect it from any legal/financial or divorce involving myself, my brother, or my sister individually? This is a working crop and livestock farm located in Wisconsin. Thanks in advanced

We have talked about it for years, but my parents recently have decided to hand down the family farm to us three kids. My question for the brilliant minds of bigger pockets is... What is the best way to go about this? We have a plan to meet with a real estate attorney but is there anything we should look out for or expect in the process. Would the best option be to put the property into an LLC to protect it from any legal/financial or divorce involving myself, my brother, or my sister individually? This is a working crop in livestock farm located in Wisconsin. Thanks in advanced