All Forum Posts by: Rahul Gupta

Hello,

I wanted to find out details about steps needed to get the Tax deeds after winning tax Lien certificates at an IL County Auction.

From what I understand so far is the steps below:

1) The rules and procedures are exactly the same for all counties in IL as it is a state law and does not change from county to county.  I am in Madison county IL.

2) After winning the tax certificate for a property, I have 4 months 15 days to send the Take Notice for "Notice of sale and redemption rights" to the county, so they can send the notices to the property owners.

If during the next 2.5 years, the owner redeems the property i get the money + interest back, but lets say they do not redeem the property.

3)  Within the last 6 -3 months of the expiration of the redemption period, I will file a petition at the circuit court for the tax deed

4)  At the same time, after filing the petition for deed, I will need to send "Notice of Expiration of period of Redemption" Take Notice to the county so they can mail it to the home owners and any interested parties informing them to redeem asap. 

5) I will subtax early the following taxes as soon as they are generated by the county. 

6) Inform the property owner in three ways, certified mail from the Circuit Court Clerk, being personally served by, the Sheriff’s office; and notice being published in a local newspaper.

7)If the taxes are not paid and the last date to redeem passes, the tax buyer can apply to the Circuit Court for an Order directing the County
Clerk’s office to issue a tax deed to the tax buyer. The tax buyer then records that deed in the Recorder of Deeds’ office, and becomes the new
owner of the property.

Is there any step I am missing or wrong about? I understand there are steps like subbing the taxes every time new tax bills are generated and sending the notices in a specific format as well but the county can help with.

I appreciate the help. 

Hello,

How does a delayed financing work and how is it different than using a hard money lender from the start of the deal?

I have done just about 4 flips so far and the idea is to be able to leverage the cash at hand. The deals I usually go after are the ones where the property value is between 50-70k and rehab of 20-30 k, so def under the 100k mark.

I have tried different avenues as well, but is it true that most of the times lenders don't do it for fix and flips, but rather in a long term rental loan situations.

Thank you 

Quote from @Andrew Postell:

@Rahul Gupta the absolute best way to use just about ANY vendor is to get a recommendation from another investor in your market that has already used that person/company.  Usually, the best "whatever" comes from local people in our market.  It's not foolproof...and nothing is...but having another real estate investor recommend someone that they have already used usually puts us in a good starting place. This is for plumbers, electricians, title companies, anybody.  Go local.  I can't tell what market you are in but try some local real estate meetup groups. Meetup.com is a good resource for those but some of the groups will also post here on Bigger Pockets Marketplace too. Even facebook might have some good local groups for you. But post locally for this. That’s the best bet.

Thank you for the insight.I appreciate it

It was in the list of documents needed on their online application. Hoping to find a lender who does not take 3 days to analyze a single property and not even issue a pre approval letter at the end of it. A letter of intent for a specific property is no good really. I have the property under contract now but I will pay cash to get the deal I want.

So In essence, It will take them three days to talk about one property which someone may not even end up getting through them and then the process will start again. For someone like me, I would prefer to have a pre approval in hand, as it can be used as needed while looking at properties based on that particular situation. 

I read a lot of posts on here regarding Lending one and decided to give them a shot regarding the fix and flip loans as well as the possibility of delayed financing of I was to pay cash for a property in case the seller does not want a financing contingency. The experience was very poor and began with a lengthy application, asking for all sort of documents including tax returns, rental schedule, voided check, credit check etc, just to get a pre approval letter. I was totally okay with the ID and the bank account balance but the other things were too much of an ask at that stage I feel.
Then came the day of phone call and back and forth emails regarding one property that I was visiting at that very moment of the call. I do cash deals for fix and flip so I told the agent that I am not sure if I will use any sort of financing for that particular property, but wanted a generic pre approval letter if i end up using one. The Rep constantly kept talking about the the pre approval letter and wanted more and more documents and analysis done for that house.
The third day, I was sent a "Letter of intent" for that property with an amount that was not even the amount I offered the seller and that is going to be a cash transaction anyhow. So in essence the rep there spent nearly 3 days to send me a useless Letter of intent that would not even be considered a pre approval letter for any other offers if I wanted to use it.  It was a bad and frustrating experience that I felt wasted so much of my time.
I contacted Lima one, and the same day i was issued a generic pre approval based on a bank balance and credit score alone for over $1MM, unfortunately they are not lending in IL so I will keep that option open when we are looking in other states.

Is there another other Hard money lender that is large but has a simplified process like Lima one. I have done a few flips in the past.

Thank you all for the replies. I really appreciate it. 

Greetings all,

I'm finding some good low cost, cash flowing properties in St Louis and on the Il side of the border. Problem is, my usual lenders will not lend on these because their minimum property value should be 100k and loan min should be 75k. Is there an option out there for conventional/hard money lender loans for buy and hold investors who want properties under 100k or loans amount of under 75k?

Thank you,

I have been looking into some of the online courses from The CE shop and other online portals to buy a course to get through my realtor licensing studies, but I am confused on which one is the best one.

There are a lot of reviews stating that these courses may not be that helpful at the end of the day, so I thought of reaching out for some help here from realtors themselves as to what they would recommend based on the practicality and ease of courses that give good results generally to prep for the realtor exams.

Thank you

Hello, 

I am opening a solo 401k with a check book access and it seem that they will set up a Trust and get the EIN from the IRS. Once we have that, we can open a bank account and invest in buying and holding rental properties in the future.

I just reached out to a hard money lender and they said that they can consider the funds from the Trust Bank account but the property will have to close under an LLC or a Corp.

Will this be considered a prohibited transaction?

Does anyone know of a Hard money lender who will be willing to close under the Trust instead of an LLC/ Corp?

Thank you

We are wanting to open a solo 401k for the 1st time, and have been running after Charles shwabs as well as fidelity trying to fill the forms needed with little to no help at all from them. Looking at other options like sense financials and Nabers 401k and wondering if anyone has has any better luck with account opening, ease of transactions as well as a good customer support for people who are really new at this.

How quickly can an account be opened with Sense financials or Naber's as well as how easily can we transfer or make contributions in the future?