All Forum Posts by: Jim Gordon

Invstr lets look at the breakdown on the repairs and your commission.

100.000 purchase price=3000.00 paid to the buyers broker in my area normally.

3000.00 to the broker= 1500.00 paid to the agent normally in my area.

1500.00 to the agent less self employed taxes (40%)= 900.00

I don't know how many repairs you could do for that but I don't think you could fund most of a rehab.

You could loan them the differance between what they are approved for and the purchase price to get the deal done. You need to make sure that your second mortgage is disclosed to the first mortgage holder before closing.

That said the lender is in the bussiness of loaning money that they think will get paid back. Be careful if you are making a loan that a company that makes their money by getting paid back will not touch.

Also be aware the sell will have to pay taxes if your offer is accepted on 34,500 of ordinary income.

It sounds like your plan is to offer 50% of the loan amount on the home. Be aware the lender will have a BPO done to establish FMV and has to justify why they are will to accept less than loan value. At this point on the offer I would just approach the first you don't need to waste any more time on this than you have.

You take care of those the same way. If the property does not have a lot of equity the subordinate lien holders will normally settle for a small amount. If there is equity or a large lien in a second ot third possition they maynot be willing to deal and take control of the property at the auction.

Check with a good attorney but an umbrella policy may be a better option.

Just use a normal contract and eliminate any contingencies you don't want. Remember the contigencies are there for the buyers protection.

I would never encourge anyone to violate a legally binding contract.

When the appraiser comes out they will count 6 doors. Go with a commercial loan and save yourself a lot of problems.

Scott it is a legal requirement in Ohio and you have to use the court approved form for your area. In Butler county I know of 3 forms that are used for 3 day notice. If you use the wrong one for the court they may make you start over. By the way it is not a bad thing to take a picture of the notice posted on the door as the tenant may say you never gave it to them or posted it.

Bigjoe-- DO NOT TURN OFF THE UTILITIES. This is considered a selfhelp meathod of eviction and there can be all kinds of penalties. Get in touch with an attorney who works in evictions just to keep yourself clean. After this study what needs to be done regarding the laws in your state so you know the legal way to proceed.