All Forum Posts by: Austin S.

@Joshua Tikal If you ever need information or even boots on the ground for initial due diligence in Sterling just let me know. Good luck!

I live in the area and currently have 2 SFH rentals in Sterling. I've never had one stay open for long at all. Demand doesn't seem to be an issue.

Hi! I’m Austin Samber with the American Note Warehouse family of businesses. This week we have about 50 micro mortgage notes for sale that all pay 15% interest. They range in price from $10,000 to $25,000 with two to four year terms and are all performing notes with first lien positions. 

We are also offering financing for low-end fix and flippers. No credit checks or social security numbers are required. And, no experience is needed! We will help you find the houses and we have contractors in place to do repairs.

Finally, this week we have a turnkey income property in Detroit for sale. The cost of the house is $35,000 and the monthly payment is $800. We have note servicing and property management companies in place, too! If you are interested in details about any of these investments please contact me at [email protected] or text/call me at (970) 580-2223. Thank you!

Here is a copy of the email from the servicer:

Mr. Samber

During a recent internal audit of loans associated with Oregon properties, the Land Contract for the property referenced above was identified as a potential compliance risk. In section 4.E. “Recordation of Quitclaim Deed and Mortgage; Conditions”, the following statement appears:

“Upon: (i) Buyer’s payment of the Down Payment and the Delinquent Assessment in full, (ii) Buyer’s execution and delivery of the Note and the Mortgage to Seller, and (iii) Buyer’s timely payment of all Probationary Payments, Seller shall record in the County in which the Property is located a Quitclaim Deed to the Property, transferring to Buyer record title to the Property, and shall simultaneously record the Mortgage.”

The first payment for this land contract was due September 1, 2011, and the borrower has made timely payments exceeding the 24-month probationary period. As a licensed sub-servicer in Oregon, we are obligated to service according the loan documents. Therefore, we’re inquiring about the status of transferring record title to the borrower. If this has already been done, please send us copies of these documents so we can attach them to the servicing file.

We appreciate the opportunity to service your loan, and thank you in advance for your timely response.

My father purchased a note about a year ago. We just got notice from our servicer that we are out of compliance. I will try and explain the situation.

1) It was a land contract that was originated in 2011
2) There is language in the contract that states after 24 probationary payments, the seller would quit claim the property to the buyer and then record a mortgage and note.
3) This apparently never got done.

So my questions are many at this point. I talked with the servicer and they of course couldn't give me any advice as they are not legal experts. He thought though that we may have to find an originator in Oregon to draw up new loan documents and all, which then makes me think we will have to comply with Dodd-Frank and all the ability-to-repay requirements. I have so many questions I am not even sure where to start or how to ask. Can anybody point me in the right direction?

 Do you have some addresses? I could give you a quick estimate to see if it jives with Zillow. I personally don't use Zillow.

@Anson Young I currently have one that is vacant that I should be able to bump the rent price to 2% monthly of my all-in investment. I purchased it a few years ago and to make rent-ready I am invested at $44k ... I should be able to get $900 per month in a new lease ... I was only getting $750 and was probably quite a bit under market. The other property I own I am all in at $40k but it is only getting $675 per month, it is very small so it is only at the 1.6% mark. The prices have steadily increased in the past few years so I haven't been looking to purchase unless a smoking deal comes up but you could still probably find some 1.5% deals out there.

@Mindy Jensen I can't tell if that is a dig about Sterling and Pueblo or not, haha! I live in Sterling and quite like the area. Rental market is very strong out here, especially with a lower entry point into properties. Wouldn't mind speaking with anybody about partnering, if anybody is interested in the area.

Welcome @Jeff Ast! It was almost as if I was reading my own biography with some minor differences. I am the accountant and my wife is (was) a teacher. I am 33 but will be 34 in about a month. I currently have 2 rental properties. I also lived in southwest Kansas for 16 years as a kid. We loved it there.

Your investing market sounds pretty similar to my town and where I have my current rentals. I tend to purchase the cheaper homes though that need a little more work. Buy all cash and repair, get tenants in them and then do a cash-out refinance with a conventional lender to get my cash back.

My market has been consistent with values of housing and rental market but has recently gotten much hotter as we are seeing some effects of an oil boom that is happening about 45 miles west of us. It is really hard to find a good priced home now that will cash flow. I have recently turned my research into real estate secured note investing and want to go that direction in the future.

Happy investing and welcome. You will find tons of information if you read posts, listen to the podcasts and attend their free webinars.

I currently own 2 rental properties in a very good rental market and market with a very limited supply of homes on the market (seller's market). I have been wanting to get into the note investing space for about a year now. I am finding that with a turn-key company the bare minimum to invest is usually $25,000. My wife and I have been on a debt reduction crusade the last few years so every extra dollar we have goes to paying down debt, therefore I haven't been able to save up to invest. My thought was to sell my current rentals (while market is hot) to be able to pull the needed money to invest in real estate secured notes. I am looking for some analysis tips to be able to study if I should stay with the rentals or sell them and invest in what I want. Specifically, I am having trouble putting a number on my return from the rentals because I have $0 into either of them, so therefore my cash-on-cash return is infinite. Any suggestions on how to compare the two investments side-by-side? I am an accounting geek so hard numbers seem to sway my decisions (probably sometimes more than it should!) Thanks in advance!