All Forum Posts by: Mike Flora

With the information you provided I would walk away from that.

Don’t know your full situation or how much is owed in back taxes but if your looking to sell fast you can always wait to pay the taxes through the sale of the property so you don’t need money out of your pocket to pay before you sell. Again I have no idea how much is owed and how much penalty and interest on these taxes the longer you wait to pay but just an idea for you if you do not want to use your own cash up front. Title will tell you exactly how much owed to lift the lien and sell the property clearing that lien. If there is more owed later that’s not on the lien then you will have the rest of your proceeds to pay. Hopefully your situation is only the tax lien on the property as well. Again I don’t know your full situation but sounds like it will all work out for your permit and getting taxes taken care of whichever way you want to.

Ahhhhh, yes it would have to do with the property taxes and the five year mark. still I don’t think you are gonna have any issues pulling permits with this lien either. When you open Escrow to sell, title will send a demand to pay off the tax lien and it will be paid off with the sale of the property. Unless you are underwater on the property. You will just need paperwork showing your the owner or have power in the estate/trust with the property. When I pull permits I have to show the deed to the city/county when I go in. They don’t pull a title report that shows liens, they just care about getting there money from you on the permits.

Jay Hinrichs sounds like you kinda miss being out there talking to motivated sellers lol. I like the $100 bill move. I think I’ll start doing that. And yes, always POF attached to my purchase agreement with brochure and business card. So many little things that help build that trust and show you know what’s going on in the real estate game. Mine is just the SFR game right now but hope to grow that in the future.

If the taxes go unpaid for more than 5 years it will go up for auction so make sure your not getting close to that number and if you have some time the taxes can be paid off when you sell the property, if you have enough equity obviously. If you need money for repairs or to increase the value of he Home I would spend it on that first before the taxes which can be paid off when you sell. You should not have an issue pulling permits on the property with a tax lien. You will need the paperwork showing you have control of the property though. I think, not positive, but the only time that tax lien will come into play is when you sell the property or go over the five year mark and they put it up for auction. And this is not legal advice either just my own basic knowledge of what I believe your asking.

Cody Evans I think Jay Hinrichs covered numbers pretty well with you, and that’s the easy part. Talking with these sellers and figuring out what they really want out of the deal and try to provide that for them. We provide a service for the motivated seller. They don’t want to deal with the headaches of repairs, agents, time, tenants etc etc. they know they can make more money by putting some of there time and maybe some of there money into the property and list with an agent. Very easy for sellers to find out what there property is or could be worth now days. I went on an appointment today and it went very well, they knew, and I even told them they could make more money with an agent, but still considering selling to me. I showed them a major roof issue that might cause them problems when selling when the home inspector sees it which helps my cause in them selling to me. I gave them a copy of proof of funds, purchase agreement, business card etc etc. we talked about our lives and jobs and we had a lot in common. Maybe I get the deal after all the other investors go through and I guarantee it will be because I built trust with the seller. Of course it might be because I got outbid but pretty sure my price is competitive because most investors numbers are usually pretty close to each other. Numbers are easy, learning to read and deal with sellers is the hard part. Schedule as many face to face appointments as you can to learn this.

Fastest way to do this in my opinion, and this is how we are doing it, is fix and flip, take the money from the flip and buy a rental then at six months do a cash out refinance to get that money back. Extra costs come with marketing to find these deals, internet/mail. If your looking to grow fast then this is the best way if you don’t have a lot of money already.

Property Radar is an excellent source of information. You might have to do one more additional search for age of the owners but all other info pertaining to the property is all there.

Welcome Daniel, add me to your buyers list and keep learning and networking and take action. It can be done out here in so cal. We started with almost nothing and have been slowly growing and learning over the last 3 years.

Around my area it’s about $22.00 a SQFT for your basic SFR to rehab all the basics. Windows, flooring, paint exterior and interior, kitchen, bathrooms, cabinets, switches and plugs, appliances etc etc on the common things. Then I will add the big stuff on top of that $22.00 a square foot that’s out of the normal. Such as AC/HVAC units, roof, garage door, yard work, septic, foundation issues, new panel etc etc. each market is different but if you don’t have anyone locked in you have used and trust on price in your area then get a really safe margin of profit and use this scale to help your offer. This is just a suggestion for you, every market is different for repair costs but I would imagine this would be somewhat close to your market since I’m in Southern California where things just tend to be more expensive than other parts of the country.