All Forum Posts by: Marc Faulkner

You can always try a different buyer but, I would state your case with as much supporting evidence as possible, to your current note buyer before going elsewhere.

In todays real estate market it is not safe to assume that the property is worth what it sold for in the past as values have dropped all over. With this in mind, properties that were bought in the hieght of the market, 4-6 yrs ago are going to take the biggest bath when it comes to value. It's a big problem all over. If the sellers can provide an appraisal it always helps as well as any recent comps in the area. It pays to get friendly with Realtors that can also give you a good idea of values. Find out if there are any documented / recent improvements.

Most folks that seller finance transactions, do not escrow for taxes and insurance. As long as you are listed as loss payee and additional insured on the insurance and record your contract listing the new buyer as the owner with the county, both the insurance company and the county will keep you posted as to what is going on. Your note should also require that they show you proof that both taxes and insurance are paid as due. On top of the legal reasons mentioned above escrow accounts are also just extra work to maintain.

Welcome to BP! I am sure you are going to have a great time networking, asking questions and learning from the resource here.
Live!
Marc Faulkner

Jason,
These are all great ideas. Are you located in Michigan? I am in Kalamaoo and work with land contracts often. Yes the tax credit can be used for first time home buyers who buy on a seller financed note/land contract. My understanding is that the credit is 10% of the purchase price.
The key to making your notes valuable when using seller financing is to make sure you get enough down so the the LTV on your note is no more than 80% of the purchase price. You are also going to want to make sure you check credit and don't work with anyone with less than a 600 credit score. You can use a second mortgage (create 2 notes instead of one) to get the LTV in line if necessary and keep the second for long term cashflow after you sell off the first!

The key to getting the most out of these deals is to have the ability to stay in the deal for a while and collect some payments which are basically all gravy. The longer you can season this type of note the better the pricing will be. If you think you are going to do these as simos-I wouldn't plan on it. There are few buyers out there for these and they have the world as thier oyster right now. Season for 6 months and you will be way better off as far as pricing goes.

Yes I work with several park owners assisting them in filling parks. I am not sure the FEMA stuff would qualify.

Thanks for the link. I just looked and couldn't find any bulk lots for sale. They were selling them one at a time and looked pricey!

Hi Justin. I am in Kalamazoo and always looking to network with like minded investors. Welcome to BP!

Looking for 3 br single wide mobiles 1990 or newer. Prefer to buy more than one home at a time. Will look at single deals if the price is right. Must be able to be moved.