All Forum Posts by: Michael Madill

Jake is absalutely correct. Go out and find a local realtor that you feel comfortable with and one that is hungry to make a commission. They should be giving you daily updates on local REO listings. You will need a realtor anyway, when purchasing an REO home. Good luck.

Ok not sure if this thread is still being looked at. If so, I have a few points to add. I have done a lot of research on the tax deed sales over the past month and I have learned a great deal. I almost purchased a couple of properties but did not get all my due dilligance in time. We all know due dilligance is important but when dealing with tax deed sales, it's extremely important. Trust me!! Conducting the due dilligance may cost money when researching tax property, so be aware of that. I do believe that there are good deals in tax sales but it sure is a daunting task.

Tiffany, you could just look up the owners name and attempt to contact them about there distressed property. Not sure what county your looking in, but all county web sites should have the information you need. Just look up the ALT # and cross reference that with your county property appraiser office or website. That will give you the owners name and should get you the owners address. May not be a current address but chances are that it is. Hope this helps!

Thanks guys!

Thanks for responding Wheatie!

Here is the link, they want $200 for the package.

http://requiredfldocs.com/

I have been sitting here all day searching for deals but now I am to scaired to make a phone call.

I was looking at the FLREIA website and saw this article about the new florida law which pretty much points to all of us REI. The article was linked to another site which is selling some sort of package that has all the information on doing deals legally without paying this possible 15k fine. The Statute is aparently called "Forclosure Rescue Transactions", signed by Governor Crist. I have not heard of this until now. The package also comes with the disclosure form that is required to be signed prior to any deal.

Can anyone give me more information on this? Where would I find this special disclosure. I seriously doubt people are paying for the disclosure

Thanks for listening!

Oh and at what point does the disclosure have to be signed?

Thanks Wheatie

Hey Wheatie, one last question: When doing a sub2, does the buyer typically give the seller a predetermined amount or % of profit from the sales price?

If that is the case, when doing a sub2 with a preforclosure, wouldn't getting the house off of there hands be incentive enough?

Thanks for your help guys, I have seen the light!!!

I'm walking away as we speak.

Oh one other question: I search the BP site for more information on sub2 deals and a couple of people have sugested a book on lease options and sub2 by Wendy Patton. Have you guys read this or do you have any suggestions.

Thanks and have a good day.

LoL

Thanks Jonathan,

I no this does sound like a dead end deal. I was just thinking that I could continue the lease option which would paydown the principal to market value in the next year and possibly have some equity. The original option to purchase price is over 230k not sure how much over that, yet. So I was seeing at least a 30k profit when the house is sold. Worst case scenerio would be the tenants do not excersize the option and I get the house with none of my money, which the principal should be at the current market value or even under, depending on what the market does in the next year or two. Plus the deposit of 5K and reap the benefits of the extra income from the increased rent they were paying.

Maybe i am trying to make something out of nothing.

Thanks for your input, much appreciated.

I am looking at a posible "subject to" deal. This investor is in preforclosure on a house that also as tentants in it with a lease option. The house was just listed on the MLS as preforclosure short sale.

I contacted the investor about possibly doing a subject to deal and she said that she wanted to ask her husband about it before going over the numbers (balance on mortgage, type of financing they have, PITI etc.)

I have a couple of questions about this. My understanding on subject to deals is that when the property is sold the seller gets a pre set dollar amount on the equity, does that sound about right?

Well this house is listed for about what current market value is, maybe even a little higher but not much. So I was thinking of just asking to take over the mortgage payments, put title in escrow and thats it. No money to them since there is no equity at this time. Does that sound fare to them or am off the charts here? Just figured by possibly getting them out of forclosure, that should be a good enough incentive.

This house is only a year old and was purchased at 230,000, listed for 149,900 as a short sale. I think the mortgage balance is around 160,000 not sure though, will have to confirm that first i know.

I don't want a loan on my credit hence the reason for attempting a subject to. Plus I shouldn't have to look for a lease option since that is established, or is it? If this were to go through, is the lease option voided or can i have that put in my name?

Did any of this make sence?

Thanks for listening!