All Forum Posts by: Mikey Cas

Hi guys, I have two questions that I have been wondering about. First is about financing a property, second is about building up properties.
1. I have read that it is possible to pool together investors to come up with a down payment, and then get a mortgage for the remaining balance. Basically making it no money out of pocket for the downpayment. So for example, If I wanted to buy a duplex, live in one side rent out the other, apply for FHA loan with 3.5% down, and I could get investors to come up with the 3.5% or use seller financing to hold the first mortgage. I think FHA allows that. OR is this just a method for commercial real estate deals?
2. Second question, for investors who build substantial portfolios of property, hundreds of rentals, etc. How do the banks keep lending money? I know they look at your income, cash in bank to cover 6 months payments etc. I know in commercial they look at the buildings potential income for loans, but for people who own multiple residential units, how are they able to show the bank they have income to cover millions in mortgages? Myabe I have it all wrong lol.Im just trying to understand how it works

Hi guys, I have heard that sending out postcards is an effective way to reach out to potential investors that may want to unload some properties that are headaches for them. What is the best way to do this? I am sure there are many different ways, But, as a starting point....is there a way I can get a directory of landlords and thier addresses?? Or do most people just sned out hundreds of post cards to everyone in their area?? Thanks in advance for any insight.

Hi guys, I have received some interest in a property I have found, and I am trying to bird dog it for a finders fee. Several people have emailed me asking for more information etc. I want to protect myself and the property, and not just give the address, because obviously they can just forget about me and do the deal on their own. Should I ask to meet up with them and sign a contract detailing that if they close on the property I am due x amount of dollars? What is the traditional way a bird dog would approach this?

Thanks guys for the help. And from the sellers point of view, you are probably right Brian, I really can't blame him because he did tell me over the phone that he is tired of being screwed etc. ....Question though, Proof of funds...should I request them from the investors on my buyers list ?

Hi everyone, I am working on a wholesale deal in my area in NY. It is in a great location and has tons of potential, I did the comps and everything. I want to go take a look at the property but the seller will not allow me unless I have proof of funds?? He is being very difficult and says he has dealt with a lot of people coming to see it that end up not closing. I tried explaining to him what I do(wholesaling), and that I have a list of buyers and investors with cash that can close immediately, and he just responded by saying "show me proof of funds". I want this to work and I dont want to annoy this guy where he ends up not answering my calls lol. What should I do? I don't think he has any patience from phone convos and I dont think he grasps the concept of wholesaling so this is a tough one. Thanks guys.

Thanks guys for all the great information and help! So am I responsible for any of the legwork for the investor that I assign the contract to? Or does the assignment contract technically make the person I am assigning the new owner? I forgot to mention, When presenting the property to Investors...Do I tell them flat out what I am doing? Like say, I have a property available for wholesale asking price is x amount of dollars with a 5k assignment fee?

Hi everyone. I have a few questions about wholesaling. I found a property could potentially be an excellent deal.

1. When marketing property to potential investors after i tie it up in contract, do I include the assignment fee in the selling price, OR for example I have the property tied up for $300k and list it at $350k as a starting point and lets say we negotiate down to $310k...The extra 10k is my profit? Or is it a separate fee?
2. When listing the ARV, I have done some comps on my own looking up recently sold homes. Should I pay for an appraisal to get a rock solid number?
3.In the beginning Do I tell the seller my intentions of flipping it to another buyer? Will this make buyer suspicious or less willing to work with me as a newbie? I have spoke to some people already and they have no idea about wholesaling etc. So I don't want the seller to brush me off. And to keep costs down can I not involve an attorney? I would like to use as little money as possible for my first deal.

Thanks for your help guys!!!

True, all good points, well its not that I'm looking for the easy street, just being a recent college grad with some debt , I felt this could be an alternate route in real estate to get involved and make some cash as little as it may be. Eventually when I am more experienced, build up credit and have reserves of cash saved, then it would be a more reasonable time to invest in properties. It would be nice to go to an auction and get a feel for how it works, and if a few bucks can be made from surplus foreclosure funds...why not?

Hi everyone, I recently heard about a method some investors are using. It involves attending foreclosure auctions and identifying any properties that sell for a surplus over the mortgage, lien and junior liens. This amount is due back to the original homeowner, but many times they never know this money is theres and never receive it. The idea is to find these people and charge them a percentage of the surplus or an agreed amount. This sounds pretty interesting to me and was wondering if anyone has any experience in this.

Also, I went to the local county court house, to find out when the next auction was. I asked somebody and they told me to look at a sign and there were a couple of notices, but Is there a better way to find how much is owed on the mortgage and dates of auctions in a more organized fashion? Thanks for any help!!

Hi everyone, I have a foreclosure question. Is there any way I can get a list of how much is owed on the properties and how many liens there are. I also find it hard to get auction information. I read on the forums You have to go to the county courts and get the info that way. Is there a more efficient easier way to get this info?