All Forum Posts by: Marcus Mccray

It doesn't have to be converted but there are city violations that must be addressed. It appraised @ $350k if converted to a 5bed home.

@Jon Thanks I was already thinking along those lines.
@Will Thanks its in Pomona so I'll have the Realtor check into that.
@Steve Duh

I would like some opinions on whether or not I should go through with the following deal or if I have this figured out right...

The property: A 2 story, 11 bed 2 bath sober living/mini church type building. (REO)

Pros: may get offer accepted at $180K, appraised for $350k as a single family home.

Cons: needs to be converted into a single family home (including code violations needing to be corrected), bank wants to sell property as-is tenant occupied

My plan is to package the info including construction costs with plans on converting property into a single family dwelling and wholesaling the property for $220K.

I have yet to get a contractor to look at the place but the Realtor has had a city inspector walk through and knows what code violations need to be addressed.

Any thoughts would be appreciated...

Congrats Steve!
Question: Did you include the assignment fee in the sales price?
I'm asking for info on a similar deal that I have coming together out here in CA.

I really think Anthony's problems lie in the contingencies. I print POFs all day like candy and have made offers on all types of sales REOs, Short Sales, and Regular. I send my offers with the POFs and write the offers ALL CASH.
90% of my initial offers come back either rejected for being too low, countered, or accepted.
I have never had an issue with POF letters although they are easy to come by nowadays.

Start some guerrilla marketing on and offline..."I/We Buy Houses", "Cash for Houses", etc

In my experience (limited as it may be) I have found that helping distressed sellers as an investor where the situation is a win-win for everybody involved is a little easier than going after REOs.

A la short sales and situations where folks have inherited property that they cannot afford to repair or keep up payment on.

Anthony as far as your POF and the contingency problem go Curt is right on the money. You ARE A CASH BUYER.
1.Review the guidelines of your HML.
2.make your offers accordingly (no contingencies)
3.get your exit strategy together (this should actually be #1)
4.Close the deal and execute your exit strategy

There's some things in between and I'm sure some folks here may suggest a different order but generally that's the basics.

Hope that helped.

I am looking to borrow between $50k-$300k. No minimum investment.

I am dealing in just about the same scenario as Owen ( some income producing, some wholesale deals).

I am looking for almost the same terms as Owen but may need to go 90 days no payments but will have end buyers in place as exit strategy.

Deals are in Southern California in and around LA County.