All Forum Posts by: LeJon Ratchford

Bill,

So because there is not a established interest in the property such as a credit check, lease options would not be included under this new law if passed?

Thats confusing If I may say, because even when you rent there is a credit check and a down payment but when you originate an agreement under Lease with the option to buy,it would need to be done by a originator ( I believe that is the title) if the seller performed a credit check? Now with a lease option, if you were to collect a down payment would that effect if it need to be constructed by a professional or not? Thanks for the responds in advance Bill!

Scott I agree, previously I was not a big fan of texting but I have found it to be very useful.

LeJon

Bill and Jon thanks for correcting me, also thanks for your detailed explanations.
LeJon

They are similar except a Land contract is a seller financed note that is not free and clear. Basically it is a wrap around mortgage.

Say you have a house you want to sale. You are willing to seller finance it but the buyers down payment is not enough to pay the lender off. You can create the note but it would need to be more then your mortgage payment so you can make a profit or enough to pay the monthly mortgage. I would check with the lender because if you do this and they find out on there own, they may exercise the Due on Sales Clause and require the entire balance at once. I hope I answered your question.

Well I finally had a buyer text me today about a house. We are meeting Monday, the buyer is highly motivated and says he has tried to contact me via email several times (Not sure when, lol). This evening I communicated with another investor motivated to motivated buy another property I have. So I guess I can say that my texting plan is turning out to pay off after all.
LeJonR

Happy Birthday Man!!!!!

John,

I would speak with a a note buyer. Ask them what suggestions would they give to someone structuring a note and possible interested in flipping it in a year or two. Even if you are not interested in flipping the house the RE Buyer would go into detail what they consider a good note. Marc Falkner is one. I would recommend performing a Google search. You may want to contact several investors to get several different perspectives. Some wont buy below two or three months of seasoning. Some will buy after 30 days of seasoning. Not many will do simo in the note industry at this time (I MAY BE WRONG). Now 30/70 LTV and creating a 3year interest only mortgage and a balloon after 3yrs would be away to do it. Once again i would suggest speaking with a RE Note Buyer.As Jon said I would get a lawyer to help you construct the contract once you decide the right direction you want to go in. Keep us updated I am interested in how this turns out.
LeJonR

Congratulations! I will be closing my first deal soon its much smaller then that. I have two others in the pipe line. I am not mad at the small payout because the education behind my first deal was PRICE LESS! I really learned quite a bit. I wish you best of luck.
LeJonR

Nick my friend I would like to chat. I would like to know more about you also. My number is below if you are interest.
LeJonR

LMAO that is hilarious !!!!!