All Forum Posts by: Jacqueline Mims

**Investor purchases of HUD houses do not allow for an inspection period.....be aware before you bid!

That's completely false. Fire that agent! That response tells me they are either 1.)unfamiliar with HUD bidding/purchases and are therefore ignorant and intimidated by the unknown, or 2.) trying to get you to pay as much as possible. Either way, get away from them!

Shoot, there's even a HUD program for people in professions such as nurses, EMT workers, teachers, firefighters, LEO that will allow them to purchase the property for 50% of the asking price. (yep, HALF OFF!) (the people and the property have to qualify, but shoot, 50% of purchase price is good on almost anything, ESPECIALLY houses!

There are different bidding periods in HUD purchases. Exclusive means only o/o's can bid...and yes, the sales prices are usually higher there. Extended bidding means investors can bid...and you can get some pretty good deals.

Talk to someone who has experience with HUD and knows the hoops they need buyers to jump through...there are a couple doozies!

Good luck.

Welcome C!

If she's going to get enjoyment out of the stove while she's living in the house, I'd say go for it.....especially if the end cost will be in the <$3000 neighborhood. (AND....of course, if the prices in her area will support it....IE: she's not already on the higher end of homes in her area). In my area, electric stoves are definitely more common, but I've had quite a few buyers mention future plans of converting to a gas range. 

Welcome, Brandon!

Great points, Jared! I'm going to follow this thread!

Welcome, Karen!

I'm leaning toward B as well, especially if you're new to rehabbing and are looking to continue to rehab in the future. 
  I would just caution you to send out feelers to people you know and trust, who have experience with contractors. You'll definitely want to work with someone who comes highly recommended, even if their prices are a little higher. The experience they'll give you will be worth it's weight in gold. Gaining all that experience and making a profit on the sale is a definite win/win for you and the contractor!

Just my $0.02

In my experience, most realtors in this area (Greenville, SC) don't have experience with owner financing deals, and therefore are adverse to working on them. If you can, find an agent with experience doing owner financing deals. A good agent will pull their own weight and prevent you from overpaying for the property. They will be able to advise you on wordage, and can negotiate terms in your favor (purchase price, interest rate, any balloon time frame, inspection time frame, contingencies, give you a "way out" if the deal isn't what you expected it to be, etc). They should also be able to run the numbers as far as ARV, and possibly even give you a rough estimate on the cost to bring the property up to marketability. Plus, they can advise you on home inspection and termite inspection companies.

That being said, according to Dodd-Frank, you'll need a licensed RMLO to originate the loan for you. Talk to your real estate attorney...they could be licensed to originate the loan.

Good luck! I'll be checking back for the input of others!

Welcome, Rafael!