All Forum Posts by: Lee Bailey

Good evening. We have new build construction SFH's In Birmingham Al. We've currently just completed 3 all sitting together in a good school zone. First of the year we will be breaking ground on a 41 SFH community. We are looking for investors that are seeking to buy new construction to invest in. How should we go about locating these type of investors?

0 Votes

Birmingham, Alabama

I don't think it's a red flag - we know the seller. Also, I wasn't implying it did not make sense - I was just asking about other avenues. Wondering if establishing heirship would/could potentially work...

0 Votes

Richmond, Virginia

Talked to a seller today, and her exact words were:

"I have been advised by the title insurance company that because the deed for the property from my grandparents to my uncle was recorded after their death, I need to have a quiet title process initiated."

The property is in Virginia.

Was she given sound advice, or is there another avenue around this? Would be great to hear from any title experts...

1 Vote

Richmond, Virginia

Ok thank you

0 Votes

Birmingham, Alabama

Good evening. I have a situation in Birmingham Al. I'm purchasing a house from a seller that has owned the house for 20 years. Title work came back and there is a break in the chain of title from 1978 to 2003 which is when the seller bought the property. But when the seller bought thee property back in 2003, seller was able to get a FHA loan on the house and still has a current mortgage on the FHA loan. Title company suggested that we install and Indemnity agreement so that we can get this deal close. That's covers transaction now. But I'm concerned about the future. My concern is this, if I buy this property, rehab it and put it on the market, am I going to have a problem when its time for me sell to a future homeowner? Is there anything that I can install now in the closing process to make sure I don't have a problem when it hits the market? Thanks

0 Votes

Birmingham, Alabama

Yes thats what I mean by equitable interest. There was some sort of agreement 11 years ago scribbled on a piece of paper but nothing was recorded and they broke the agreement buy not buying the house and stopped paying monthly payments.

Quote from @Tom Gimer:

@Chris Seveney I thought the same thing but if you read the fact pattern again, it sounds like they do have a written agreement of some sort. So that option would still need to be addressed even if they were evicted.

Ignoring that title issue would not be smart.

0 Votes

So after obtaining owner finance from the owner all I have to do is close and get the deed recorded in my name and then I can begin the eviction process?

Quote from @Hunter Reed:

Lee, file eviction get the tenants removed and then go back to the drawing board with the seller. The seller will be pleased that you evicted the tenants and he/she will be more than likely to give you a sweet deal. Go to a hard money lender to get the rehab done in 3-4 months. The hard money lender will probably charge you 12-14% on the loan. Once the rehab is completed go to a bank with proof of title and structure a new loan. Once the new loan is obtained pay off the hard money lender and the seller. I would even explain to the seller this plan assuming that he may not charge you any interest on financing. Good Luck!

0 Votes

Quote from @Chris Seveney:

@Lee Bailey

From my understanding they have equitable interest in the house and because they have equitable interest, this could drag out in court for whoes knows how long.

Why pay $20k to get them out, file eviction and get them removed…

0 Votes

All Forum Posts by: Lee Bailey

Lee Bailey has started 9 posts and replied 21 times.

Post: Seeking New Construction Investors

Post: Seeking New Construction Investors

Post: Seeking New Construction Investors

Post: Deed/Title Recorded after Death...?

Post: Deed/Title Recorded after Death...?

Post: Can I Sell House To End Buyer If I Have A Indemnity Agreement?

Post: Can I Sell House To End Buyer If I Have A Indemnity Agreement?

Post: Looking For Creative Financing Strategy For Deal That Have.

Post: Looking For Creative Financing Strategy For Deal That Have.

Post: Looking For Creative Financing Strategy For Deal That Have.