All Forum Posts by: Miles Presha

what do you recommend as a strategy for Johnny then in terms of taking title?

@Tom Gimer,  what do you recommend as a strategy for Johnny then in terms of taking title? 

Thanks for writing back.  It's an IRS lien.  Johnny is working on getting the lien temporarily on hold, and hopefully being able to buy the property then.

Is it a good strategy for him take the equity once he closes and use it to purchase investment properties?

Another option presented was to have an investor buy and rehab the property, with Johnny as a partner, then allow Johnny to rent the property back.  Is that possible or even legal?

Let me apologize in advance for this soon to be complex issue. or those of you who love crunches like this, this is for you:  I need some advice for a friend... 

Johnny currently lives in a house with a lease option in place.  The lot is around 7000 SF, which might allow for construction of a smaller unit to rent out. Johnny has a tax lien that is holding  him up from getting a loan.  The purchase price on the lease option is super cheap because the house needs work,, but  Johnny will be walking into a ton of equity when he becomes the official owner. 

Johnny has put some money into the house already to make it liveable.  The house still needs paint and yard work. Johnny pays cheap rent to the owner, which is contributing to the  down payment of the purchase price.

The house Johnny lives in  also has a lien on it, because the seller's mother left behind a sizeable nursing home debt.  Once the house is sold, the lien will be taken care of and the seller will walk away with a profit. 

Johnny made a promise to the seller that he and his family would take good care of the home, and plan to live there indefinitely.

Johnny wants to eventually use the equity in the house to invest in real estate whenever he closes. 

THE QUESTIONS:

• Should Johnny get a hard money loan to purchase the home and make repairs, then re-fi 6months later to access the equity and invest?

• Should Jonhny get a conventional loan and wait 6 months to refi and do repairs?

• Is there a way Johnny can acquire seller financing and get equitable title to the property eventho it has a lien on it?
• What would you do if you were Johnny?

@Marco Santarelli --

You're quite welcome.  I've been binging on your podcast as well as a few of the other cashflow guys out there.  Have been thoroughly enjoying them in my car rides around town.  I'm in L.A. so my car is my 2nd home.  I'll be closing on my house soon and will be walking into a ton of equity which I plan to use for investments.

One of my initial plans will be to reach out to you and your team to discuss some options in turnkey.   Keep me on your radar......

Miles

For what it's worth, Norada Investments boasts Huntsville as one of their hottest markets.  They have some SFRs for sale on their site that are turnkey - newly renovated with tenants and management in place.  You might wanna check them out.  Let me know if you get anything out there because that's a market I'm considering investing in within the next year.

Good luck,

Miles

I'll hit you up as soon as I know which direction I'm heading.  Talking to an investor next week, so I'll see if they're open to midwest deals.  Thx for keepijg in touch!   Would it be possible for me to look at any pro formas or marketing pkgs you might have?  I need practice running numbers!

I'm just now getting back onto this Ohio thread - I was wholesaling back then but now I'm now focusing on how to possibly syndicate deals, and I've been given advice L.A. is probably not a great market to start with.  I'd love to see what previous investment packages you have, or maybe even new ones coming up.  I've been reaching out to new investors locally and some are looking to branch out from Cali.  I'm still in the learning/numbers cruching phaze but hope to pull up these boot straps soon.  All my Ohio replies have been really supportive and helpful.  Let's connect!