All Forum Posts by: Mitch Messer

Thanks Mitch, this is great information! 

RE: Post Closing. How will the deed of reconveyance/cancellation of mortgage work? I figured that would need to be a part of the closing to remove that deed of trust prior to new ownership. Thanks again!

I've read a few old posts regarding this topic and have those documents in order, but I still have the following questions regarding a private loan (from family) --

Loan Documents for Purchase -

1. We have the promissory note, personal guaranty, and deed of trust(title/escrow to handle) ready to go. Does the promissory note and personal guaranty go to title or should I execute these outside of escrow?

2.  Does my lender need to provide escrow instructions or anything along those lines? Can he just wire the funds to escrow, I sign the deed of trust, and that's that? Or, do he need to send some type of escrow instructions that outline 1st position, will fund after all docs signed, etc?

Loan Documents for Selling

1. What will this same lender need to provide title and escrow when I sell the property? Is it just a payoff demand and wiring instructions?

Thanks! This forum has been extremely helpful.

I'm looking for lenders who financing tiny homes for investment purposes. These will be multiple units at a time and built together on the same parcel of land. Land is already purchased. Just need a lender to finance the homes. DSCR or conventional loan is preferred unless you have other options.

 I wasn't aware of an AoA - would love to check one out for the future. As @Arn Cenedella stated above - what concerns me most is that enforcing anything legal (in my experience) has not been worth the effort. If someone goes around my back and steals a deal, they still have the deal and now I have to go through the headache of enforcing the piece of paper I have. It feels like a false sense of security. Interested in your thoughts.  

@Mitch Messer

Would you please send me the info too? I would like to do this next year.

Thank you sir

I recently bought my first BRRRR and am trying to figure out what I should do next as I feel like I am a bit in a bind. Part of it is a learning process and I have learned a lot for future deals. Another part may be me getting a little nervous. I was thinking the house would rent for 1200-1350 but it seems now the range is 1000-1200 with 1200 being the highest for the area so may be hard to get. I was estimating the ARV at 160-165k which I don't know what it will be for sure but I'm a little worried it might be less which throws a wrench in things as well.

I bought a two bedroom one bath house in Indy for 70k which was 10k under asking. Renovation is 46k and is being done now and roughly 4 weeks from being done. I purchased it with a HELOC so higher interest debt until I can cash out refi. Plus any miscellaneous payments such as interest, inspections, etc.

At this point I think I need to finish the renovations regardless. It’s looking like this will cash flow neg just with est mortgage payments plus insurance and taxes of $1100ish (after renovation), property management of $120.

The house is a simple two bed one bath with a garage and a fenced in backyard. The renovations are going to be higher end and the house is pretty simple with a detached garage but no closets in the house.

I feel like I wanted to really start growing my portfolio but feel like I may have jumped the gun. What recommendations might I consider? Let me know if you have any questions

I have an opportunity to raise capital with a private individual at a flat interest-only rate as a way to reduce interest charges and eliminate origination and service fees. I'm looking for ways I can "protect" this private lender. 

In theory, this is what I'm proposing -- I'll fund 20% and cover closing and rehab costs. Private lender will wire ~80% to my business bank account shortly before close. In essence, it is a cash offer. I am assuming I can write the offer as cash, so long as the private funding is guaranteed otherwise I may put my EMD at risk. For non-auction properties, I'm assuming the title company can draft the deed of trust and promissory note and record at close? After all, most lenders just use the standard Fannie Mae template... For auction properties, I'm assuming once I purchase a property I can draft and record the deed of trust following recordation of the conveyance?

Then, upon resale, does this private lender simply inform the title company of the payoff?

Is there anything I'm missing?

Thanks!

Glad to see lot of inputs on Tulsa Area. I was driving by last month and noticed lot of construction happening in Bixby area. I even saw new single family Rental community near bixby downtown. I guess that means, there is healthy demand for rents in the metroplex.
I am curious if there is a city or few Zip codes within Tulsa, Broken arrow, Bixby, Jenks and Owasso, that is preferred by prospective tenants ?  Also, it will be great to get feedback on relative risk from tornados and floods, for the above cities. Any thoughts are welcome.  

Okay, so I have a property that I want to renovate.  I'm going to need about 60k-70k.  I have two other properties with no mortgage that are cash flowing nicely.   At this time, what is my best option for getting the cash I need?  

I found a quadplex for $390k. It has so much traffic and popularity just 2 hours of being placed on Zillow. This is my first investment property. I will be doing a conventional 20% down. I am willing to go as high as $480k for this place. How should I make this offer? Should I offer starting at asking price with an escalation clause of $3000 higher than the highest bidder until $480k? And I would require that they show the price of the 2nd highest bidder. 

Another offer would be that I start at $420k with the same escalation. 

Or should I just start at $430-450k to begin with. 

I am willing to go as high as $480k but obviously would like to avoid it if I could do it for much lower. 

Thank you all for your expertise.