All Forum Posts by: Matt Chandler

Can anyone provide me with the detailed California foreclosure process? Do they usually file a court case? Is it viewable as a public record online? How long do they usually take? What are all the public notices given to the homeowner that we can be looked up?

Also does anyone know of a good service who provides access to foreclosure court records in the San Diego area? Not sure if they are viewable online as public records but we are looking for a company who takes the records as they come available and puts them in an excel list. Most of the big national companies are outdated and their lists aren't very current. We are looking for someone who updates daily or close to that.

I have about 7-8 files in negotiating right now with about 4 different banks that have all been assigned negotiators and have had BPOs performed on them. Most of them even with 2 BPOs or appraisals. All 7-8 file bank negotiators are not really negotiating my offer at all. They all will tell me we need to NET this number and if we dont the file is dead. I have showed up to all of the BPOs with repair lists and comps and all of the BPOs/Appraisers have thanked me and have indicated that they will come in around the same value that I have. I do pull the lowest NON-REO comps and usually dont adjust much for repairs if at all. Usually the banks NET number that they come back to me with is higher than what me and the BPO/Appraiser have thought the property is worth.

I thought at first that the BPO/Appraiser was just lying to me when I met them there and then was going back to the bank and giving them a higher number. I have a hard time beleiving this now that it has happened on all of the files.

Are more banks starting to cut out the negotiating part of the process and going with this is our NET number you either hit it or it goes to foreclosure. Also note these are not FHA deals either. Are they bluffing on this number to see if they can get more than the BPO came in at? When the bank tells me this net number I usually try a verbal counter and tell them that I can supply a modified purchase agreement, HUD1, and POF as well. Everytime I have told them this they have told me not to waste my time that if this number is not hit the case is closed. I have went ahead and sent some of these things in and the negotiator seems to get mad and not respond for another 10-15 days only to tell me that they are not accepting below this amount.

I am wondering if it is the fact that the property is listed and they want to hold out for a better offer? Should I disclose to them I am an investor and this is my offer and there will be NO other offers on the property to them other than mine? Should I hold out longer and see if they will just come down off of that number at all? Does the fact that my state has a stable market with a very short foreclosure process hurt me on getting these properties reduced in value?

Thanks everyone for the responses.

Thanks very much for all the support and feedback.

I have done a lot more research on this topic since I wrote this post and here is what I have came up with.

Every deal is different. One lender might not accept a B-C in one case but will in another case. The one thing that is certain is no FHA/VA. Only conventional and it depends on the bank/investor and the deal.

Im sure there are some companies that are more lenient than others but the fact of the matter is it has to be a legitimate GOOD deal that truly is worth what you are selling it for to the end buyer. Also I have seen that you always want FULL disclosure and get everyone on the same page.

About the option contracts:
I do plan on recording them at the court house which I heard gives you equitable interest. Where I think some people say it does and some say it doesnt might depend on the law for that state.

One thing I have heard is that most end buyer lenders will NOT fund an option contract so it is better to just end up doing a double closing. Any thoughts or advice on this?

Great idea though on asking the flash funding companies about end buyer lenders.

I have a question on the reply from Justin:
You said most lenders wont accept option contracts for a short sale. What is the best way to structure a deal so that you can wrap a deal into contract and then market it to an end buyer? What is a typical time frame and length a bank will accept a contract for? Is there any risk involved in doing this? Could you lose your ernest money?

I appreciate all the feedback and hope that some of these answers might help other investors.

I am working a few short sale deals that already have been approved and negotiated down to a good price. I planned on putting an option contract on them and then perform a double closing. Short Sale laws seem to be changing everyday now. I live in Oklahoma and have talked to many local lenders and national lenders and NONE of them will accept a B-C transaction due to title seasoning. I know FHA/VA has title seasoning issues for 90 days but these buyers are trying to buy with a conventional loan and still no luck.

Has anyone had better luck? or maybe Im doing something wrong? Maybe the laws have changed again and some of the posts on here for flipping are older.

Also is using an option to assign contract the right contract to use in this situation? If so how long should I write my contracts for to give me adequate time to find an end buyer?

Thanks for the help.

Getting tired of dealing with tenants? Hard to find financing? Want to get started investing in real estate? We have the solution!

I am working on 5 investment packages made up of SFRs, Duplexes, Mobile Home Parks, Storage Units, Boat Storage, and a Small Apartment Complex. Each package has 30+ units and is producing GREAT cash flow! Each package has property management, maintenance, T&I, and all other expenses already figured in the numbers. We are buying these properties around a 60 LTV and all have CAP Rates 15+. We are looking for investors that have cash but are having trouble finding good deals or financing.

Benefits:
1) Risk is lower because the investment is spread out over a lot of units.
2) Annual Returns are 20%+! (not including the capital gain when we sale the property)
3) NO management, maintenance, or worrying about renters anymore all that is taken care of and worked into the deals. Just straight cash flow without the headaches of being a landlord.
4) No financing worries. All of the packages are owner financed on very good terms. The way we are structuring these deals these will not show up on your credit and you are not held liable for the financing!

If your interested please email me or call me and we can set a time to meet and go over more details on the projects.

HURRY THESE WONT LAST LONG!

Here is a creative financing tip for you. Down Payment Assistance for the 20% down. There are many ways to get into commercial properties with no money down.

Sounds great. I have actually only been investing in real estate for a couple of years too. I would be glad to share what I have learned so far. I have had a great mentor help me a long the way.

I am looking to network with other investors in these areas. I am from OKC and do most of my investing in the OKC metro. I am looking to expand my options and invest more in the Dallas and Tulsa area.