All Forum Posts by: Darrin Wesenberg

This one is a bit complicated, and I'm wondering if anyone can provide any advice...  I located a triplex recently that not only appeared to be lived in by a hoarder, but also seemed long-abandoned.  After doing some digging through online records I discovered that the owner passed away in January 2014, but left no will, and had no spouse or living relatives.  The bank holding the mortgage began the foreclosure process against him in July 2014, not knowing of his passing.  The local probate court assigned a fiduciary attorney to handle the estate who finally declared his death in November 2014.  I immediately reached out to the fiduciary and inquired about the possibility of acquiring the property.  I figured it could be easier on all parties to avoid prolonging the process any further (foreclosure auction is scheduled for July 2015).  The outstanding mortgage debt is ~$60,000, and the fiduciary is assessed the property at $137,000 based on the county auditor's tax value.  This place will undoubtedly need some work as it's been clearly neglected, but I know it could be a heck of a deal.  When all is said and done, based on its location and potential rents this one could be a steal.

So help me out Bigger Pockets!  Has anyone been involved in a similar situation?  Probate court, foreclosures, estates, no will, no relatives, etc?  Anybody have any advice??  I am going to acquire this place one way or another!!!!!

Thanks,
Darrin 419-902-2819

@Tyler Nash welcome, I'm in Columbus too.  let's connect and stay in touch! -Darrin

@Troy Fisher thanks for the quick response.  yeah I mean we have sat down and talked already about our strategies, goals, ideas, etc.  i.e. we know what we want to do with the property.  it's just that neither of us have business backgrounds so we are just wondering how to even BEGIN to "structure" this like from a business standpoint and financially, if he buys the property with cash, and yet we still do this 50/50.  like, how do I pay him back?  just looking for tips from people who have done this before!

@Ryan Harthan thank you, that's very helpful.  I had no idea about having an equity partner and managing partner.  that seems like a good idea.  so that would be simply for making big decisions, with the profits still being split equally?

I realize I asked a lot of questions, so if anyone has any advice for even one of my inquiries that would be so helpful!  this forum is filled with such knowledgeable people!

Gosh I have so many questions, I don't even know where to begin!  First off I apologize if I posted this in the wrong forum--I wasn't sure which area this should be posted.

I have a friend with a lot of cash that he wants to use to start buying properties, and he wants my help because I have some experience with managing rental properties.  Plus I would like to start acquiring more properties as well.  I have nothing saved up, and a lot of debt, but still an excellent credit score.  Anyways I found a property that he could buy straight up with cash, but I am trying to figure out how to set the whole thing up.  And I know there's obviously no "one right way" to do this--just some guidance would help!

Say we want to go 50/50 on the deal... how would we structure this to make a 50/50 partnership, if he pays the $50,000 to buy the property? Would it make sense to create a $25,000 loan that I just pay back to him? Is that how partnerships usually work, when one person provides all the capital/down payment? What would be a good interest rate and length for this loan to pay him back? Should we set up an LLC in both of our names, and buy the property with the name of the LLC? This property would also require about $50,000 in rehab. Can we still get an FHA 203k rehab loan, if the property is purchased with cash? Or would it make more sense to get a construction or other loan to rehab the property? In this case if he bought the property with cash for $50k, and I got the rehab loan for $50k, would that make sense to call it a 50/50 partnership?? Obviously we would get this all in writing.

I hear and read so much about buying properties using money from partners/investors/friends/family, but it seems like nobody explains details as to how they actually set these things up.  Just looking for any advice!  Thanks!

Hello everyone, I live in Columbus, OH and am looking for a good local "outside the box" thinking mortgage broker--someone who knows a thing or 2 about creative ways to finance properties.  I have a couple rental properties that generate steady income, but seems like it's darn near impossible getting approved for a mortgage while trying to include and/or prove that rental income.  

Also it seems like they all instantly want/need/have to run a credit report, which I'm not ready to do yet, since it'll be a negative tick on my credit.  I understand that's ultimately required to be approved, but I can provide ALL that information to any lender for now--credit report, FICO scores, etc--at least to get an idea of how much we can be approved for.   Any recommendations??  Thanks! Darrin