All Forum Posts by: Nathan Habben

What's the best way to market yourself as a wholesaler to RE agents, and have them send you leads on properties they don't want to list or can't sell?
Email them at their work email? Direct mail to them at their office? Phone call? Other ideas?
Just wondering what methods some of the successful people on here have used.
Thanks!

I recently saw on a real estate investor's website the following claim:
"The low equity situation is the most common we run across.
You don't have to give away your equity
to a real estate agent, no matter how small it is!
We purchase homes with little equity and in many cases are able to return much of that hard earned equity to the homeowner who deserves it the most. "

This is from a lead generation site that is looking for motivated sellers. I assumed they would have to be talking about doing a short sale given that they are targeting those with little or no equity. But then how are they sometimes able to "return much of that hard earned equity to the homeowner who deserves it the most."

If it is a short sale, I haven't seen the claim made that equity would be returned to you, since I didn't think the seller was allowed to get any money out of a short sale.

Any ideas?

The conventional wisdom would be that most distressed homeowners you find today would be upside-down on their loans, which obviously wouldn't make the property a good wholesale candidate.
To all you wholesalers out there - are you finding many straight-up wholesale deals these days, or are people mostly upside-down and better candidates for a short sale?

Does anyone know if you can quit claim the property into your LLC if it was originally bought in your name, and not have this loan count toward the 4 mortgage rule? Or does it have to originally be bought by the LLC?

In Iowa, the landlord can go to the water utility's office and fill out a form stating the property is being rented out and any delinquent water bill is the responsibility of the tenant. The form must be filled out again each time there is a new tenant.

This will prevent the landlord from having liens put on the property for nonpayment of the water bill. Therefore my tenants are responsible for paying water and I don't have to worry about it.

Do any other states have this option?

I have used my credit card to get cash for a down payment on investment properties. I got 4.99% rate for the life of the balance.

I used that cash for my 10% down and closing costs, then got conventional financing for the other 90%.

The one problem you run into is that the lender will want to know the source of your down payment. If they find out its from a credit card cash advance they most likely won't like that. Luckily a friend of mine did my loan and was able to get it through underwriting.

He says normally the money needs to be in your savings account for a few months, but if you get the cash advance and sock it away for a few months it will show up on your credit report when they check it.

Bottom line is it can be a decent strategy but you probably can't keep doing it over and over without having big credit card bills to pay every month.

I looked at a house today I was thinking may be a good "subject to" candidate. Then I found out the owner had died and it was his mother that was showing me the house. She told me the mortgage is still in his name and she is paying it and would really like to get rid of the house. I knew I had a motivated seller so I got more info. Before I make an offer I'd like to know if anyone forsees any problems having a deceased on the mortgage? Shouldn't it have gone to his estate, then have been given to a relative, or at least a trust when he died? In other words, is this an unusual situation?

I got my first answer to my ad seeking houses on craigslist. My ad explains that I am looking for people behind on payments, facing foreclosure, fixer uppers they can't afford to maintain, etc...
However these sellers did not seem real motivated at all. When I asked what price they were trying to get, they said 129K. The house is assessed by the county at 117K and I think ARV is probably right around 130 to 135K. Also it probably didn't need more than 5K in work max, mainly for outside landscaping, the inside was about perfect.
My question is, how many wholesalers out there get calls only to meet with the seller and find out they are looking for full retail price for their home? Should I do some type of prescreening on the phone to weed out people who are not real motivated and willing to sell under market value? Should I say something different in my ads? Any other ideas?
Thanks.
Nathan

In other words, I might as well buy it subject 2. Then I would be on the deed right away, correct?