All Forum Posts by: Terrence Evans

i asked this same question for some tax liens i bought.  I was hoping there was some equivalent to Force place insurance that I purchase for notes but I was told it doesn't exist for tax liens. I am guessing your deed case isn't much different.  If I am incorrect, I hope someone will educate me because that is still an ongoing question for me.

I'm not sure what you mean. More info on what you are trying to accomplish? 

@christopher McConnell: 

If you were referring to tax deed sales... So in the case of LA county that means taking a trip out to Norwalk or Pomona or wherever they choose to have it.   Best believe you are gonna pay full price or close to it for properties given all the professional bidders who attend. 

I'm not sure where you heard that but you cannot acquire anyone's property by simply paying off someone's (delinquent) taxes.

The only way theoretically you could do that is working directly with the homeowner and getting them to deed you the property in exchange for the tax payoff.  This would likely work better with abandoned properties not ones where they actually make a homestead.

Remember that notes are NOT real estate no matter how much sellers will convince you of that otherwise.

Pricing nowadays is ridiculous so as Chris mentioned gurus will often cite examples of buying at 50 cents where more often than not on public websites like Paperstac you will get assets sold to you at 70-85 cents.  I think the best advice is to curb your enthusiasm and not be willing to pay any price just to get a deal.  Partly this is why the market is where it is now... new money coming into the space that has little idea of what constitutes a good deal.

No, that is not how it works. Just because you pay someone's taxes doesn't give you the right of ownership. As a note owner, Ive had to do that to protect my 1st lien position.  But I don't own the property after doing so.

It depends on the state. Is Maryland a tax lien or tax deed state? If it is a lien state, then the county (in this case Baltimore County) will have a time or times of year where they offer those liens up for sale to the highest bidder.  Then there is a right of redemption for the owner to redeem that lien + x% interest and fees. If they do not, then you can go thru a legal process to get a deed to that property.

If it is a deed state, then the county will offer up the deed itself for sale.  There still may be a redemption period there as well. But at the end of that you will have ownership.

The point here is that you have to go thru some legal process in your state in order to gain ownership. It is not as simple as writing a check. Even if the home is unoccupied and the owner doesn't want the property.

U  P  B

The push to price off legal balance is just another way these hedgies have tried to profit off new investor stupidity (read: inexperience and exuberance) and the growing popularity of notes.  And now everyone else is trying to follow suit.

It's very annoying.

If investing passively is #1 on your list of priorities, then you can't buy directly and manage yourself. Notes are not 100% passive... even performing notes.  Anyone who tells you that is a liar. 

But at the same time if you can afford to spend up to a few hours a week then buying performing notes will probably work for you.  NPNs are crazy expensive now due to alot of factors so PNs make more sense price wise.  You said you had resources lined up so even if PNs go delinquent you should have the bandwidth to work with your vendors to correct that. It all depends on what you want to do, what your risk tolerance is, and what yields are desired.

If you invest in a fund you don't worry about anything except returns. But that doesn't exactly sound like what you want either. More sounds like a JV.

Hi all,

This is not my normal forum but I was curious if someone could give me insight into modular homes.  (Not mobile/manufactured homes)  I want to understand what the total costs and concerns are.  I am not a builder so I have that disadvantage but I am familiar with many of the pieces that go into a home.  I am an engineer so I can figure out the details.  The markets that I am interested in perhaps using modular homes are in S. California/Vegas and in Indiana.  So if you can give me some tips or resources / websites I can look at to educate myself that would be great.