All Forum Posts by: Nathan Turner

It depends a little bit on what kind of note you are buying too. @Adam Adams referred to it briefly but if you are buying a contract for deed the rules are a bit different. For example in OH they are treated separately from a mortgage and are much easier to deal with unless the borrower has 20% or more equity or has lived in the house for 5 years or more. In those cases they are treated the same as a mortgage and you need to do a full foreclosure. I'll echo what @Chris Seveney said about pick a few states and then expand from there.

I look at the right of redemption as a "Hail Mary". In my 10+ years of experience I've never seen anyone come back and actually redeem the property. It certainly can happen but for me, and I'm probably more comfortable with risk than others, it's there and I think about what might be needed to actually redeem. If it's going to take a lottery win to be able to happen then a) how likely is that and b) are they going to want this house again or buy their new mansion?

@Murali Venkatraman in reference to your your PA note, if this is a land contract hopefully it was set up at the beginning that the borrower would be paying into an escrow account a monthly amount meant for the property taxes. This should be their responsibility as a "homeowner in training". 

For your question about IL notes, that's a state that #1 I only buy land contracts and #2 is notorious for doing whatever they can to make your life miserable (I'm looking at you Cook County!). Not to say I don't have loans there and I will continue to buy land contracts there but you just need to be aware of the nuances.

@Gina Worsham Yup, I'll have a performing note in Little Rock for you in a couple of months if you are interested.

@Account Closed won't let you get away with sitting on your laurels so he's a good start. 

Back to your original question, I've been going to Papersource for the last 5 or 6 years and it has always been a source of great content and networking. I'll be speaking at this year's conference so I hope to see you there!

@Jack Thanadabouth here's the link to the event http://www.noteinvestorsummit.com/. I just spoke with Aaron and confirmed that I'll be one of the speakers there. Hope to see you all there!

@Jeff Rabinowitz Just FYI, in Ohio with a land contract if the borrower has more that 20% equity or has lived in the house 5 years or more then you have to foreclose. Otherwise it is a cancellation of the land contract and an eviction.

@Jason Sellers I think you're right to walk, this just seems messy...

@Tim S. Thanks for the shout out Tim! 

@Anish Patel the houses are most likely underwater and the UPB is probably much higher than the property value. I've seen too many investors get stung because they bid that way.

How soon is the foreclosure? Have many of the attorney fees been paid? This will also have an impact on what the bank is willing to sell for.

Good luck!

@Don Beard no problem, I'm happy to share what I have learned.