All Forum Posts by: Vincent Polisi

Negative, Ghost Rider.

Unless the P&SA specifically grants and conveys equitable interest IN THE PROPERTY, you cannot legally market the property at all as you do not have equitable interest in the property. You have equitable interest in the contract only. 

That's exactly why Ohio started cracking down. They actually cover this live in the video with Jeff Watson. 

 You don't need to be licensed in any state. What you need to do is stop committing fraud, falsely advertising, and collecting fees for services that fall under licensed activity (not you personally, but anyone that's following the traditional "wholesaler" model which isn't wholesaling at all, it's contract assignments done wrong). . 

is this the best you can do? As you've so generously proven, any idiot can put whatever they want on the Internet. For that, we thank you. 

Now, back to the topic at hand, can you or can you not prove that the allegations made about the fraud known as @Tom Krol aren't true because we have recorded testimony from Tom and others that everything I've stated is 100% accurate and factual?

I don't "wholesale" so there's no competition. As usual, no one can proffer any prima facie evidence that what I've stated is incorrect and instead meander off on strawman deflections. 

@Tom Krol is a well documented fraud. 

Prove me wrong. Let's start there. 

so, as usual, you can't disprove anything I've stated. Let me know when you can. 

Prove @Tom Krol isn't a fraud and that his best friend didn't  out him.  

Let's start there. 

@Tom Krol is a well documented fraud and pathological liar who can't even articulate the definition of wholesaling. 

He's been busted for teaching fraud in the inducement, fraud in the factum, false advertising, bait and switch, and illegally brokering without a license. 

It isn't necessary to take my word for it, you can hear his best friend state in his own words that Tom taught him to do all of the things mentioned above on my podcast. 

The way the scam works is that they have people apply to join the Rhino Group. The sole purpose of this is to setup a phone call for a fishing expedition to determine how much liquid cash or credit the prospective student has available and then to go for all of it which is why there is no set price to join the Rhino Group and why you'll be hard pressed to find two people who've paid the same amount. 

I can say these things without fear of any retribution for slander, defamation, or libel because they're all well documented by Tom on video and in his own voice. 

Tom has no issue making false claims and has all the traits of a pathological liar. When asked to proof up with HUD-1s on the false claim that he closed over 100 deals in his first 18 months in the business (a deal closed every 5 days for 18 months starting off knowing nothing), he blocks people, kicks them out of his group, or otherwise works to deflect the conversation.

Why? 

Because he didn't close 100+ deals in his first 18 months in the business and the shills that run Bigger Pockets know this but don't care and promote it anyway because it creates download numbers in iTunes and ad clicks on the site that generate revenue. 

The issue at hand is that Tom has no concern for whether or not his knowingly fraudulent and illegal methods taught to students lands the students in litigation or under arrest. Similarly, he has no concern for the sellers they hamstring, lie to, and hold hostage with the bogus contract clauses and techniques they use. 

If all that wasn't bad enough, he has no problem fraudulently defaming other people. 

I've served Tom a demand letter for slander, defamation, and tortious interference and now that he's been dumb enough to publicly document his income in a public forum, we're proceeding with litigation. 

1. To define the percentage each partner owns
2. To define the compensation structure
3. To define the purpose of the partnership
4. To define the capital contributions each partner will make
5. To define who's in charge
6. To define how the books and checking accounts are handled
   To define the state laws that will be applied
   To define how net losses are handled
7. To define what the recourse is when you guys pull your pistols out and everybody starts shooting and wanting to go to court

Understand that contracts aren't worth the paper they're printed on.

You're each going to do whatever you're going to do regardless of a piece of paper.

The only purpose of the agreement is to give up rights you have so you can be sued. I did a whole post on this on my website explaining how it works in real life.

The contract is worth no more than the liquid capital each partner has that they're willing to stupidly give to an attorney to litigate. Since it costs a minimum of $250k to get to a trial, you'll get tired of paying $10-$15k/mo each to an attorney to fight each other.

Most partnership agreements I've seen have an arbitration clause to avoid this. 

@Steven Devoe:

I do deals all over the United States and have income producing properties I've never been to and never will go to in states I've never been to and won't go to. 

Everything you need handled can be done by posting a Craigslist gig to get someone to physically do it. I hire subs on there, photographers, videographers, virtually everything. 

On a normal deal with a sane tenant or buyer, you're not going to have a lot of issues anyway and therefore, not a lot to manage. If you're a landlord, you've obviously got some liability and responsibility but nothing has to be physically done by you, nor do you have to pay someone monthly to "manage" a property that probably doesn't need managing anyway. 

@Carrie Hallensleben

If you want to close quickly and with the greatest profit, here's how I'd structure them:

No money down contract for deed

Interest only NOO with seller leaseback until you've acquired a tenant or assignee on the CFD so you don't eat payments

30 year term or the longest balloon you can get with an appraisal clause

Price is immaterial. 

I don't care if it's $300k or $3MM.

You want up front cash via down payments or option fees and cash flow. You can't control valuation so negotiate what you can but don't let price be a deal killer. We want payment and terms so we can make money today and in perpetuity. If we can get backend, great, but there's never any guarantee of that when you're in buy and hold mode. 

You don't need to waste money on appraisals (they aren't an insurance policy of a future value when you're ready to refi) and you don't need to close with an attorney or transfer deed (the attorney is only going to provide signatory and disbursement services which you can do yourself).

The seller can keep the deed as a security interest against default. You can record a memorandum to secure your place on the title. The only value of a deed with a lien against it is that it enables you to not make payments during a foreclosure process so you can stay in a property longer than you otherwise would be able to when you default. Other than that, the only thing you can do with it is pay it off and if you can pay it off, you can force production of the deed at will when you refinance. 

Likewise, title is immaterial at this point because the contract requires the seller to provide clear and marketable title upon payoff and you can't stop liens or clouds from appearing at any point before you refinance even if you have the deed. An owner's title policy is only going to cover you for actual documented loss, maybe. It doesn't cover the amount of the entire loan balance. 

If you're concerned about deferred maintenance, put a clause in the contract that the seller is responsible for deferred maintenance through X period for a ceiling of X amount of dollars and then get a home warranty. 

Due on sale is an urban myth where you'll be lucky to find anyone who has ever had a note accelerated if the payments were current. Banks are in the interest collection business, not the note payoff business. I've never had any note accelerated for DOS on any deal. Not that it couldn't happen, but every homeowner violates a bazillion other provisions in every note the minute they bring hazardous substances into a home like gasoline, oil, Drano, alcohol, Clorox, etc., and you never see a bank accelerate a note for that.

Long story short, you could have this deal wrapped up today without any additional expense and be cash flowing later this week. 

@Jay Hinrichs

I agree. It's mind boggling to watch people engage in business without understanding that every business is a sales business and maybe thy should first learn how to sell before diving in head first. 

Actually, my explanation isn't simplified at all. I contract on properties starting at $300k and going to several million using a variety of document types to obtain equitable title, legal title, both or a POA. It's all done over the phone without ever leaving the house.

Those homes/contracts are then sold or assigned. 

I'm going to load up the calls for the pro ball player deal so you can hear him and his financial advisor. 

People love to argue that my leads aren't free. One of my JVPs found that $1.7MM deal on Craigslist using my Ten Minute Task Lead Gen Method. 

And, I don't look for cash investors because I don't like cash in deals. Cash in JVP deals causes problems if there's a loss. They seek me out for deal structuring. In the motel example, the investor is a liquid multimillionaire cash investor but he didn't know that Dodd-Frank now governed the private mortgages he's been writing and didn't know we could cost segregate the motel/restaurant for instant increases in cash flow. 

What I'm personally looking for are apartment buildings with 100 plus units I can MLO or OF no money down. 

I'll post the calls and PM you the links.