All Forum Posts by: Mike Nelson

 If i close on a Hud property using my company, and then the company sells to a cash buyer from a buyers list for example,  I would see how the broker fee is due on the first transaction, but what about the second?  What the company i own is a partnership and my partner wants to sell it?  Why would a  flat broker fee be required on the end buyer transaction?

This may be a good Wayne Brooks quesiton, but for whoelsalers who have a license, are you required to pay your broker for all the deals you transact? I can understand buying something off the MLS where your Broker is going to get their fee, but If I buy it with an LLC and then wholesale that to a cash buyer? am I required to pay my broker, as I technically transacted on behalf of my LLC? Any thoughts?

Florida wholesalers.  Do you typically make your end buyer pay all closing costs on his end?  Transfer taxes, title service, lien search, etc.  Things that would normally be covered by a seller...

The HUD contract has a 45 day closing box you can check. I understand how a wholesale deals works. Im curious when to start the title work.... when you have a buyer or immediatiely

I understand, but you can certainly double close. I see people do it here in Florida ll the time. I have personally never wholesaled a HUD home

I have bought a couple HUD homes as my last flips, and thought about wholesaling some if the opportunity presents itself. I was planning on checking the box for a 45 day close period on the contract, and in the event I find a buyer start the title and lien search at that point. If I cant find a buyer in the first week or two, then its probably not a deal, and I will be forced to lose my deposit. Does this process sync with other HUD wholesalers?

Hi Manny, Thanks for the reply.  Actually the other guy is Flipping these houses,  not holding them.  Thats what I was going to do, because I hold rentals.  I just noticed every house he does, there has never been a record of a permit in polk, orange, or seminole county.  He flips a lot of houses.  But I agree in the MUST for safety sake when doing this, if I was to flip a house I would definitely permit the roof.  Just thought this other Rehabber might know something I didnt about not having to pull permits on flips.

I will be needing to replace a roof on a rental I have in Lakeland FL polk county.  From everything I have researched a permit is required to tear off and recover the roof.  However, I have noticed a fellow investor in the area who flips houses and holds rentals NEVER pulls a permit for his homes (I check the county and city permit records)  I can see it on the rentals to find a budget contractor and save some cash,  BUT on FLIPS??!  How is he getting away with this?  Every inpsector has to note that the roof is brand new and no permit was pulled......  is he just gambling?  Is it even worth not spending the extra few hundred just to be on the safe side?  I would like the Central Florida guys to weigh in if possible.  Thanks so much!

Promissory note vs security instrument?  Cant they use those funds in the form of a balloon mortgage or something of that nature for a flip?     

Has anyone here ever had a rental property financed by private funds through a retired persons IRA, 401k, etc? I have a neighbor who is recently retired and was complaining to me about how his returns this year were next to nothing. He knows im into real estate and was asking if I could present him with alternatives. Well I have been wanting to start building a rental portfolio, and so far no bank will lend to me. I would be interested in having him possibly fund my properties, but I would want to finance with 30 year terms. Being that he is retired at 67 is this just not an option with someone like him? When interest rates do rise the note will be worth less, so I was wondering if anyone has pulled this off before?