All Forum Posts by: Tom Gimer

The house is now part of the BK estate. You'll need to deal with the bankruptcy trustee (or at least obtain his/her consent) regarding any transfer.

Tell your contact it's called a Quitclaim Deed... might get better results.

Originally posted by @Dan Schwartz:

No, don't do this.

But he could buy it in his IRA and conceivably keep it as his own separate asset. He needs to talk to his CPA.

If his IRA is marital property, which it likely is (at least partially), then there is no need to involve the CPA in this scheme and ruin his year.

Originally posted by @Walt Dockery:

I wouldn't touch this situation with a 10ft pole.  What happens when his ex-wife (correctly) alleges he hid assets from her during the divorce proceedings?  And you've admitted to it in a public Internet forum. 

"But we will definitely take professional advice before jumping in." At least the plan includes getting professionals to assist in defrauding the wife. 

Originally posted by @Houston Pitts:

Tom, It is funny you mentioned that. I asked three last month and the ones I spoke with said they do not work with HMLs or private money. They were in an office complex and I just walked the block.  I just haven't found the right ones.  As you have suggested I will continue to search.  Thank you for your help.

Some title companies are captive. They are owned by (or affiliated with) the real estate brokerage they have an office next  door to, or even a desk in. They have no interest in generating new business with investors... easy deals already come to them. 

Investor deals tend to be trickier. More work involved... more issues to resolve... interesting situations to navigate.

Sounds like you found title companies that prefer the low hanging fruit. Keep looking.

In many jurisdictions when you file for an eviction you can request a money judgment as well. If you obtain said judgment, If deadbeat ever gets a job or buys real estate, you can get paid via garnishment or lien.

Sure. For an LLC this would often be done in the Operating Agreement through provisions regarding the gradual vesting or transfer of membership interests. But hire an attorney to prepare the paperwork -- a business attorney with real estate knowledge -- so it's clear exactly what happens if there is a breach of the agreement.

Nobody wants a partner who does nothing yet, due to an improperly structured arrangement, still ends up with equity.

Nobody on BP can answer this question without knowing the exact terms of the option. Options are not always assignable. Best to consult with a local real estate attorney — with a copy of that agreement in hand — and the sooner, the better.

In all likelihood the other potential bidders reviewed title, discovered that the first mortgage on the property (plus a year of arrears) was well in excess of the value of the property. In situations such as this, the lender bids in at the balance, wipes out any junior liens, and the property becomes an REO.

Originally posted by @Houston Pitts:

Scott,

I will continue to look.  Those numbers are high but will get better as I complete more loans with lenders.  I will continue to Google search for them as you have suggested.  Wish me luck!  Thank you again for your help.

One of the best sources for information on legitimate hard money lenders is a local title company.