All Forum Posts by: Scott Schultz

Why not get your real estate license, and sell houses, focus on investor buyers, and learn what to do and what not to do while watching others that are out there making it happen? 

None of my go to's are there, but there is no reason you need a bank where the property is, or you need to set appointments and go shopping for your loan. If there is someone you already work with, be sure to ask them first. Someone mentioned Associated, Be Careful, Associated screwed a lot of people when they needed a bunch of commercial off their books, around 2011 or so, the didnt renew, and didnt give adequate time for many of their customers to find alternate funding, I was a listing broker for their REO's at the time and even the Asset Managers said it was pretty crappy what they did. doesnt mean they will again, but be cautious.

Get licensed, and then offer to list their home and earn a commission if your cash offer is too low for them, yu gota cast a big net and offer more services.  

Income tax and other non-real estate related taxes can be transferred to the tax payer that owes the money, it may not be automatic, Im not sure about State, but federal tax liens there is a form and a fee (around $400) to get the them removed and its not guaranteed they will allow it to be removed. But most likely you will be fine.

As a Broker, I have no issue with ethical wholesalers, the problem is many are new and have no compass, moral or otherwise, they just dont know any better, so they end up scamming an elderly person, or an uneducated person, and get a pretty bad name out there. Many misrepresent themself as the actual buyer with no intent on closing if they dont find a buyer for their contract, this is where the line is crossed. If you make an offer, prepare to close at that price, or dont offer.  Governments are starting to see this and moving to consumer protections, Like Illinois passing a law that requires wholesalers to hold a Real Estate License. this trend will spread, and the industry will change, just as Realtors will see our industry change with technology. and when the market tightens, only the strong will survive, and the free market will flush out the cockroaches in wholesaling.  

@Amy S. you do not need to worry about the Junior Liens, I have purchased around 40 properties at sheriff sales over the years and I have never had an issue with Juniors, you are responsible for back taxes if any, and this years accruing taxes, Municipal charges like special assessments, back water bills, Noxious Weed Cuttings, or city snow removals. but other than that you should be good to go, Oh you are also responsible for Occupancy, like if the borrower or a tenant is living there, and there is some debate regarding value of personal property left behind, but thats up to you to decide. Not many people on here know whats going on, its pretty much the blind leading the blind. I would say its the 80/20 rule, 20% are in the know and 80% think they know because they read all the book, listened to pod casts, and bought 1 house off MLS with a Realtor so now they are an expert. Im no expert, but I have been in the Foreclosure business as a REO Broker (Realtor that specializes in listing for banks) from 2006-2014 and an investor since 2007, so I have had a few experiences in the 800+ transactions I am connected to. PM me if you need more specific help. Good Luck

OK, so in WI if you bid on a first mortgage, all other liens are "foreclosed out" with the exception of government liens and often you can get those removed if they are not for the property, like back child support, or income tax for example. you should buy a title policy if you are concerned, I usually dont, because I know the Sheriffs Deed is as close to Virgin Title as possible (assuming you purchased a first position) I dont think you have anything to worry about.  Regarding time, you must pay within 10 days of the confirmation hearing, this often is about 2 weeks out from sale, but can be several months, the longest I ever has was 4 months, unless the borrower fights the foreclosure then it can drag out. Just keep checking CCAP the hearing will show up as Future court activity on your case. You will also get paper work from the foreclosure atty. I will assume its Bass and Moglowsky, they are nice people to deal with, and very helpful, dont hesitate to call and ask about status, they cannot give you any title opinions though. Good luck!

I live in West Bend and have gone and purchased at Washington county several times, and have been to Ozaukees, if there is a great deal, the place is flooded with out of area investors, if there is a marginal deal, the regulars are there, same as every county, and lots more competition right now than when the economy is slower, same as everywhere

Follow what @Marcus Auerbach says here. First line: run a good business.

Second: Have Great Insurance

Third: Have Insurance on your Insurance 

Fourth: Have it in an LLC BUT, Be sure to run separate books for each property, NEVER commingle funds, and understand the LLC protections in the state you own the property, many States like WI, are problematic with single member LLC's not providing appropriate coverage.

Fifth: Debt, Im not a fan of Debt, but it can be a deterrent if the case breaks through everything else, but to get to this point I would bet it would be a Gross Negligence case, that would be circumvented by number 1.  

I stay away from the bigger cities, they tend to be bigger headaches, if you can afford and the cash flow is the same tho, I would rather be in Madison. however I dont see the cash flow being even close with Madisons high prices, dont write off some of the surrounding areas, up to an hour out of Mad Town, your interest there sounds based on where you will live, and starting out thats probably what you should do, especially if you will be self managing.