All Forum Posts by: Mark Case

Hi.  We currently use Cozy to run background and credit checks. I’ve run into a situation that I have not seen before, and hoping somebody can shed some light on my next move. 

A graduate student, on a student visa, is hoping to rent a two bedroom apartment in our triplex. He went through the application process with Cozy.  As he does not have a Social Security number they are not able to verify identity and or background.

Does anyone use any different tools that may be able to help verify identity? I feel a little uneasy not verifying identity of people as they want to rent our units.   

This is a brand new situation for us, as we just started land lording in the summer of 2018. We’ve grown to 11 doors in nine properties since then.  

Any advice from the group will be much appreciated.  

Thanks,

Mark

please disregard the spelling in the title.  I couldn't figure to how to edit it after I posted this. :-/

Quick Background: 

My wife and I are very new investors, but growing quickly. (perhaps too quickly?) We started spring of 2018 investing out of state in SFH's and now have 4 officially ours and are hoping to acquire 1 more SFH for holding as a rental and another SFH for a flip in the next month. We are using the BRRRR method, that we didn't know was a thing until I stumbled across BP last year. Things are going well and we are learning lots, not only from BP, but from just doing the deals.

The SFH's are either rented, or will be rented to graduate studies students or medical school students. Thankfully we have had good luck with finding "quality tenants"...so far.

Main point of post:  

I'm hoping to learn a few pointers or things to look out for when investing in a multifamily that has gone through foreclosure and now up at auction. The other things to consider is that this property is out of state for me, as are the 5 SFH's that we currently rent. They are all in the same city though.

What I know.  5/3 about 3500 sqft according to the county. 3 units.  I don't know specifically how those numbers are broken down.  I'm not sure of occupancy status yet, I've got boots on the ground that are gonna poke around (legally of course :) )  I would say that the neighborhood is a "B" neighborhood, though I'm not entirely sure how to rate neighborhoods.  It's not terrible, but it's not the best.  Based on the other rentals in the neighborhood, I would expect that each unit would rent for a minimum $650-$700 

We don't know anything about the rent rolls, expenses, or anything that I've read to investigate.  It looks like the roof may need repair.  (from google maps) According to a particular website, it appears that electric panels in each unit have been updated.  My point is sounds like it could be in "good" shape on the inside, but who really knows until you open the door.  We would rehab if needed, and either potentially flip the building, or hold it.  We aren't quite sure yet as we don't know what the inside looks like. 

Could you all share some pointers or major concerns/thoughts on this type of a scenario?  

Thank you,

Mark

Hi.  First time poster, long time learner.  

My wife and I are very new to the investing business, but we love it and are continuing to grow our business.  We've completed a few profitable flips in the Denver area but have since moved our focus to out of state rentals (as I'm learning many folks do).  We currently have two rentals in our portfolio and are very happy with them and the profit they are returning to us.  

My question is this:  We are looking at many avenues to acquire two-four rentals per year, including foreclosures and have a few questions.  Let me start off with, we are working with a real estate attorney in PA for all of the title search/background etc...on the properties at foreclosure, but today he said something that did not make sense to me and I'm hoping for a little clarification.  

The property we have our eye on has a deficiency around $35,000.  Our attorney told me today that there are other judgments/liens/encumbrances that are being discharged by this foreclosure action.  He recommended that we wait until after the foreclosure auction and to buy it from the bank, once the J/L/E have been wiped.  A couple of the judgements are credit card judgements against the house.  My question; In PA, when a property is won at the foreclosure Auction through the sheriff, is the "winner" still responsible for the judgments/liens/encumbrances against the house?  I thought that they were all wiped out when the sheriff sale was complete, regardless of who won the house...the Bank or an Investor.  Apparently I'm wrong?  

Thanks in advance,

Mark