All Forum Posts by: Shanna Bechtel

I work for a bank and I can say with certainty this is illegal. Banks will often use the relationship as a factor but it cannot be used to deny the loan. That's a lawsuit waiting to happen. Equal credit opportunity act forbids this practice.

I believe when you have a HELOC line, you just transfer funds into your bank account for liquidity. At least that's how my banks do it. They never have to know it's borrowed really. Just don't write a check from the line.

Hi Pete Juratovic I'm local to Harrisburg and I just spoke with a small contractor today about the work he does. He has many years of experience in contracting. Not sure if he does painting but we can ask. I can PM his # to you if you are interested. He's based out of Highspire PA.

Thanks Thomas. I have a whole life policy that I just set up 2 years ago. I'd like to invest without using a whole lot of cash first but it's good to have the option.

I'm new to investing and am interested in notes as well. One thing I can tell you with my limited experience is check for past due taxes. I found that when I bring up an address in Zillow, there is a link to the county tax website which is where you can find the delinquent tax info. In one case I discovered that the deed was transferred to the county because the homeowner was behind TEN years in their taxes. In most non performing cases, if they aren't paying the note, they are not paying taxes either. Also learn if the state is a judicial or non judicial state. I've been told that the foreclosure process is very different in time and costs. Good luck!

Of course just after posting I saw that the county foreclosed on the property for the taxes. I doubt the note holder has any rights now.

Hello Investors,

I'm new and looking into Note investing. I don't have much cash (like $500-$700 in the bank) but need to get started soon to help pay down debt. Most of my extra cash is being spent on debt. I found a note but really unsure about it, and I'd like experienced note investors' opinions on this. Also know I have about $5000-$7000 available on CC if absolutely needed.

NPN 1st position
DQ over 10 years with matching DQ taxes (found on county website)
Home Value $39,900 / Note $60,900 / Price $600
DQ Taxes $23,000 as of 2015

I seriously doubt a 10 year DQ note can made to perform again with the same homeowner. They've been living for free for 10 years! I also know that either the county is going to foreclose or someone has 1 or several tax liens on this property.

I figure my options could be this (if it even makes sense)

1. Foreclose and get a renter in there for $600/mo, initial investment recouped in 46 mos assuming $4000 to foreclose, $23,000 in taxes and $600 purchase price.

2. Foreclose, get taxes UTD then just sell for $35,000 - profit of approx $7400 (if it's even possible)

3. Foreclose, get taxes UTD then seller finance about $40,000 @ 7% for 15 years yields $360/mo with $5,000 down

Best case scenario, the current owner resumes payments around $600/mo after a refi and lump sum for arrears and those taxes! 

I welcome everyone's information on this. Deal, or no deal?

Thank you guys for the help!

Thank you Wayne Smith for your input!

Hello investors! Many of you talk about borrowing against a self directed IRA. I have no such thing but in studying creative financing, I heard about borrowing against a life insurance policy. I have not accrued much cash value yet, but the face value of my policy is $100k. Does anyone have experience with borrowing against life insurance? There is a way to sign over rights to a policy to a third party as long as payments are made. I learned that while studying for my license. Would like to hear from those of you with experience!