All Forum Posts by: Matt Y.

What a great topic.  I wish I was closer.  This sounds almost worth flying in for :)

The people claiming this probably know their market well and can analyze deals very quickly.  It's business for them and they've probably ran numbers on several hundred or thousands of properties.  After they do that, it's easy for them to be confident in their numbers.

I personally do not like purchasing using a lease.  I would purchase the house subject to the existing mortgage, providing it's a good deal and you have a profitable exit strategy.

Is the seller willing to walk away from the property?
What's the value of the property?
What's the current loan payoff?
How much to bring the mortgage current?
What's the mortgage payment currently?
What could the property rent for or if you resell the property on contract or lease/option, how much per month can you get?

In all of these types of deals, regardless of how you structure it, there are basically 4 profit centers:

1.  The equity in the property when you buy.  Buy below market value but you don't necessarily need to buy it really cheap.
2.  The down payment you collect when you sell on contract (if you do this).
3.  The arbitrage between what you can receive in rent vs what your payments are.  Consider property taxes and insurance.
4.  If you sell the property to someone one contract or with a lease/option you are probably selling slightly above market value...the high end of the market.

You're going to run into the issue that you MUST catch the payments up with the bank or work out a loan modification.  I'm not sure it's really probable for a no money down deal here but maybe a LOW money down.  It really just depends on what it will take to bring the loan current.

Hopefully your neighbor isn't too far behind.  Maybe just a few months.  You can clean the house up and then sell it on contract or do a lease/option.  Collect enough money down to catch up the payments.  Make a few hundred per month while working with your buyer to get their credit repaired.  In a couple years they can officially buy the property and you can collect $15-30k (the difference between buying slightly below market and selling slightly above).

Keep up the good work @Royce Billiot

@Ryan Billingsley  Excellent post...that's just the sort of info that needed posted in this thread.

I would recommend a several month marketing campaign (maybe a year or 18 months).  The key is to be consistent.  I've tried several things with just one or two mailings and I always wondered why nothing worked (in this business and others).  I finally talked to someone that told me to come up with something and stick with it.  Finally after many months of being consistent, I started to get some responses.

How many postcards did you send out?  I think you're going about it the right way but I would make sure your expectation is that you won't hear from anyone until you've marked to them several times.

Absolutely you can find someone to work with.  Basically you need to help someone else make money.  Find them a deal and learn how to compellingly present the deal on paper.  Go to a local Real Estate Investors Association meeting and network with everyone.  Build the relationships.  You'll be able to present your deals to people that you meet.

All of this is easier said than done but if you really want to do this, it's possible.

It depends on each state.  Some states you flat out must be a licensed real estate agent.  Some states there are exceptions.  I believe some states license commercial vs residential real estate agents differently.  And I believe that some states you may not have to be licensed to sell commercial real estate.

Sorry I couldn't be more help.  Are you asking about Florida?  If so, maybe someone from Florida can help.

I've had an Amica policy for something like 4-7 years.  I don't really remember how long.  I've never had a claim but I'm happy with the price and service.  I wouldn't hesitate be a customer.

@Account Closed What was the limit on your HELOC? I'm guessing large which supports the idea that large revolving tradelines are skipped for FICO utilization calculation.