All Forum Posts by: Jessica Martin

thanks all for yge responses. 

Robert, I believe the management is Martin as well for our area. 

Thank You Mark.

Thank You Wendell. That cleared several things up for me.

So when you get an accepted bid, you find your buyer within the 48 hours you have to get the contract back to HUD? If you find one you send in the papers and if not you dont? If you do not send in the papers, there is not penalty correct? They just move on to the next highest bid?

My biggest question is, say you have someone who says they want to buy it from you... Do you just go ahead and submit your papers and deposit to HUD on the word that this person wants your house? Or do they sign something guaranteeing they will buy it from you? I would just feel like I was gambling with my earnest deposit without proof and assurance they were going to buy the property.

Also, do you have any tips or trick on if there is a way to get you earnest money back or anything if a contract is cancelled?

Does HUD pay all closing costs and fees? Is there anything else we should expect to pay besides or EMD?

Thanks again for all your help

Thank You for your reply Jon. I'm now following Mark as well. I'm sure Ill learn a lot from you both. Thanks 

Hi,

Ive been looking into all different ways and options to get into Real Estate from REO's, to short sales, and so on and now I've come across HUD homes and so far it's sounding pretty good, but Im new at this, so I want to run a few questions past you guys and gals. So first off, being a previous FHA loaned home, I shouldnt have to worry to much about major surprises like other homes, right? I mean, from what I've heard, FHA is pretty strict on major things not being an issue with a home they finance... So Im thinking that sounds like a relief to not have to stress that my contractor will uncover a costly issue when Im just getting into this business and every $ counts... From the information I just got off of another webinar, as long as you buy the home from HUD and they are aware you are an investor, there are no resale time limitations on thee homes? The webinar also stated that if you win a bid, you have so many days to turn in the paperwork to get the deal done, so in that time, he looks for his end buyer, and if he doesn't find one, then he doesn't submit the paperwork and the deal is off, no penalty... ? This is all sounding to good to be true? What am I missing? What are the negatives?

But really, how does this process all work...(Assuming this info was all true)

I bid. If my bid wins, HUD sends me paperwork. Before that paperwork deadline is reached, I am finding an end buyer. I then submit the paperwork. Take out transactional funding? Do a double close with my end buyer and walk away with my money?

The thing Im having the hardest time understanding is earnest money deposits... If I put up $ for a deposit for my contract, take out transactional funding to purchase the home, and my end buyer backs out, what do you do??? Or is there something he signs so that he can't? How does that part work? 

Thank You for your reply. I look forward to learning from your posts

My husband and I are new to REI. We got our first lead. A homeowners who has not listed his home is not on the market yet and he has a foreclosure deadline of Jan 31st 2015. Tax assessment value with city is $59k, homeowner owes $28k for a reverse mortgage on a home he inherited from his father who passed. He is asking $38,700. He pays closing and back taxes. We do not have access to MLS ourselves and we basically got fast talked into buying "Propstream" software, which we have since found useless here in Texas after another investor explained to us that Texas is a nondisclosure state, so anything on this software is already public information so the comps provided are very inaccurate? Bummer... We did manage to get in contact with an agent who is willing to work with us though and he ran the comps. $29,500 was the lowest selling home in the area and $50k is the highest. Same bedrooms/bathrooms and within 300 square feet give or take. The thing is, none of these local comps are renovated comps. So I contacted an investor who is willing to help us our and his advice was to go with those comps, renovated or not... In a way, I get why he says that, but at the same time I'm not 100% I agree. Really wanting to get other investors opinions on this??? The neighborhood is average to a little less than average but by no means a dump. Major colleges near by, shopping, parks... Thoughts on comps when no renos are within a mile? Anyways, we obviously passed on this deal and I sent the contact info to the owner for our agent in hopes to at least make it worth while to our agent to help us... If we have homes that don't work for us and the homeowner hasn't listed it yet, we can send them to him. Any comments about any of this welcome.

Thank you Aaron. I appreciate that and more than likely will. 

Thank you both for the response. 

I'm looking for investors to "follow" here on BP that I can read and learn from. If you are in or around Dallas or Houston and frequently blog or comment, I would love to "follow" and learn from you. Please post a comment below. I'm a new investor. I'm blessed to be able to stay at home and commit my full attention to learning this. My permanent address is hour south of Dallas, but my husband is working down in Houston, so I travel back and forth regularly. Looking into both areas. Thank You! Have a wonderful day!