Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here
Pick markets, find deals, analyze and manage properties. Try BiggerPockets PRO.
x
All Forum Categories
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

All Forum Posts by: Ronny Crawford

Ronny Crawford has started 12 posts and replied 55 times.

Post: Looking for Guidance on a Flip

Ronny CrawfordPosted
  • Investor
  • Marietta, GA
  • Posts 56
  • Votes 11

Hi Maria,

I have experience in Flips, BRRR, and lending. To answer your question about what lenders look for, I can only speak from my experiences. I have loaned in 1st and 2nd positions before. I have been burned in both. I no longer lend in 2nd lien position because of the added risks. As a lender in 1st position, I look for the following: Purchase Price, Rehab Estimate (and how funded), Time Frame to Flip, and ARV expected. If the numbers work (IE - I expect you to make money so you can pay me back), then I will likely lend on the deal.

Hope this helps, All the best,

Ronny

Post: 2nd Lien holder - Foreclosure help needed

Ronny CrawfordPosted
  • Investor
  • Marietta, GA
  • Posts 56
  • Votes 11

@Ron S.  Thanks for the insight.  I have considered those scenarios.  Loan is 3+ years past due.  1St Lien holder and I have been in contact through the duration.  He is looking for about $240k before attorney fees.  I am assuming additional $35k for the attorney based on another foreclosure of similar costs.  That puts the starting bid for me at $276k and I do not believe the house would appraise for that amount in it's current condition.  My $50k loan was supposed to be for the rehab and the borrower took that money to complete a different project.  I have offered to settle my loan with the borrower for $35k and he balked at the idea stating he was going to finish what he started...  That was over 2 years ago.  I have offered the 1st lien holder my note for $35k, but he is not interested in owning the property or rehabbing it.  At this point I really feel like I may just have to eat the $50k loss and write it off on taxes next year..

Post: 2nd Lien holder - Foreclosure help needed

Ronny CrawfordPosted
  • Investor
  • Marietta, GA
  • Posts 56
  • Votes 11

@Chris Seveney - This is still in process.  I have not received anything from the county notifying me of the foreclosure sale date.  I imagine it has been pushed out to Jan 2nd.

Post: 1st Lien Holder - Need Foreclosure Attorney to begin the process

Ronny CrawfordPosted
  • Investor
  • Marietta, GA
  • Posts 56
  • Votes 11

Sam,  I have reached out to the closing attorney and they do not handle foreclosures.  This is a loan made for the purchase of the property.  I have reached out to another foreclosure attorney last week and am still waiting a response to move forward.

Thanks, Ronny

Post: 1st Lien Holder - Need Foreclosure Attorney to begin the process

Ronny CrawfordPosted
  • Investor
  • Marietta, GA
  • Posts 56
  • Votes 11

ISO Foreclosure attorney in Atlanta.  I hold the 1st lien against a property that the borrower is now 3 months past due.  I would like to start the foreclosure process as soon as possible.

Thanks in advance,

Ronny

Post: 2nd Lien holder - Foreclosure help needed

Ronny CrawfordPosted
  • Investor
  • Marietta, GA
  • Posts 56
  • Votes 11

@Clayton Silva thanks for the reply.  The home is listed for $335k, but if it goes up for foreclosure that bidding may stop well below that amount.  The 1st lien holder will most likely start the bidding at $200k+ to cover his basis and any attorney fees.  

Thoughts on if someone like myself should bid on the property to drive up the price?  Thoughts on possible small claims court? 

Thanks again!

Ronny

Post: 2nd Lien holder - Foreclosure help needed

Ronny CrawfordPosted
  • Investor
  • Marietta, GA
  • Posts 56
  • Votes 11

I am the 2nd lien holder of a property that is about to go into foreclosure.  I have been in touch with the 1st lien holder, and he expects to start the foreclosure process this month.  Details below.

1st Lien = $195,000 plus late fees and back taxes paid

2nd Lien = $50,000 - Not looking for any late fees or penalties

3rd Lien = $80,000 - I do not know this person

Home is currently listed for sale As Is for $335,000.  I assume this is the full pay off amount owed to all 3 lien holders.

Question - What are my options in 2nd lien position?

Thanks in advance,

Ronny

Post: Where to find renters in Atlanta

Ronny CrawfordPosted
  • Investor
  • Marietta, GA
  • Posts 56
  • Votes 11

@Kevin Auyong,. How much are you looking to rent it for? Is it in West or East Cobb?

You may want to try Postlets.

Post: 1st BRRR - Absolute Homerun

Ronny CrawfordPosted
  • Investor
  • Marietta, GA
  • Posts 56
  • Votes 11

Investment Info:

Single-family residence other investment in Dallas.

Purchase price: $54,000
Cash invested: $17,000

BRRR - Refinanced at $135,000. Cashed out profit and held as Long Term Rental

What made you interested in investing in this type of deal?

I originally bought this property as a Buy / Fix / Hold before I ever heard about the BRRR strategy. I learned about the BRRR strategy watching a webinar on BP while I was in the process of the rehab. After waiting the 6 month seasoning period, I was pleased to learn the ARV was $20,000 higher than I originally thought.

How did you find this deal and how did you negotiate it?

I found it on an Online Auction site.

How did you finance this deal?

It actually qualified for traditional financing at the purchase price of $54,000. I put 25% down.

How did you add value to the deal?

Enclosed exterior door (that led to Master Closet???), Re-built deck, Built fence around 3 sides of property, new flooring, new paint inside and out, new hardware, two exterior doors, repaired buckled concrete walkway, repaired dry rot around windows and doors, new appliances, converted above ground pool area into a gravel fire pit, filled in large sink hole in the yard, and landscaping.

What was the outcome?

$135,000 ARV

$101,000 Refi - Cash Out
-$ 54,000 Purchase
-$ 17,000 Rehab
-$ 6,000 Closing costs (purchase and refi)

$ 24,000 Net Profit
$ 297 monthly Cash Flow (Infinite ROI)

Lessons learned? Challenges?

Sometimes there really is a diamond in the rough. My largest Challenge has been finding deals since this project. This was my first BRRR and was an absolute Home Run... I have been measuring deals against this project ever since and has made it extremely frustrating not being able to find anything like this again.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

My wife, Christy Crawford, is a Realtor and owns a property management company that manages this property.

Post: Taxes on Private/Hard money loans?

Ronny CrawfordPosted
  • Investor
  • Marietta, GA
  • Posts 56
  • Votes 11

Thanks all...

I may be looking for a new CPA this year is why I have all the questions.  My current one seems way too busy all the time.  I tried twice last year to set an appointment to just discuss how to prepare for this year's taxes and can never get a call back from his office.  He also expects you to mostly know your stuff to be in and out of his office quickly during tax season.  He is good, but always overbook booked.

I do not have a business set up yet, which is another question I have for him or my next CPA.

Thanks again to each of you for your responses.