All Forum Posts by: Brad James

So the the best of my knowledge, points can either be a fractional % or a full % in the financing area. Is there a clear cut definition on points?

Also I have heard several time of a buyer asking for credits at closing. might I ask what this term means and how it would benefit the buyer or seller?

i just read up on this today by a guy with one one those "get rich over night" packages that every investor in the country offers now. Anyway, he was saying how you can talk the lender down before it is in foreclosure??? Did I miss something? Is this the same as a pre-forclosure? From what i understand, the home owner must work with the investor to get this done? Any any 2nd/3rd lenders will take pennies on the dollar to setting since they will get nothing otherwise?

Reason I ask is I know first hand that a house is under foreclosure proceedings. House is still in owners name but owner has moved out. House is appraised at 94K, 1st is 74k, second is 22K. House is worth 105K. No luck talking to the big lender. They say just to wait til it is on the market and goes through legal. How the heck do I find the owner now?

So how does this "short" system work? Does the owner take a foreclosure hit and the lender still settles for less? what am I missing here?

Curious if anyone has had success with a mortgage lender in producing a list of available properties or ones that have been foreclosed and in process? It is very hard to sit and watch a home go into foreclosure and willing to write a check but no one will talk to you.

Also, we are in real need to get in a good website to look for properties like the MLS system. I found a license for 10.00/mo for IDX but not sure if that is the same or what. Can someone help? I need good search criteria including commercials and land from all sources in my area.

I will have to verify this at next auction but it is my understanding that the redemption period is before the auction because it is well announced on our county website and at auction that these properties can be satisfied up to the day before the auction at 4pm. There was some sort of filing that was announced that can "take some time". I am under the impression we buy deeds here.

I am looking at one house for an investment to live in for a couple years. Home is mostly an "earth home" so the back and sides are mostly in the dirt. Home is 2600 sqft, 4 car garage, pool, another 1 car garage, water features, and 5 acre plot. Problem is it is ALL 80s styling with some strange floor shifting on the main level and two obvious cracks in the garage concrete walls.

The asking is 150K which I think it too high but it would seem our REOs sell strong for some reason. People love to save 10K so they can go invest 12K fixing it I guess. Anyway, I would pay cash but I am worried about selling later. Earth home, foundation problem, etc. What do you think? Walk, RUN??

I should add this is slightly in the country in a developed area. All homes are county appraised at 120-220K. This one county appraises at 165K but should sell in the 225-250K area when fixed up.

"potential properties" are the properties I find by either driving by, or learn that the property is in distress. Many times I will either put a personal letter in the door or send a letter to the addressee.

Here is one example and one that I want BAD! In am in a small town just two miles from the big city. We have a small business district. There is one building that is all brick, looks like crap, is two story with a base foot print of 2700ft, and is somehow zoned single family right smack in the middle of the business district.

It is obviously being used as a shack of a home, the owner is 3 yrs behind taxes with several preforeclosure hits on the tax role over the years. The county has it appraised at 20K. I want it because it may clean up and zoning it to commercial will be a breeze in the area it is in. I plan to rehab this one and live in it for a while too.

I sent a letter to the address basically saying I might be interested if you would entertain selling and I may be able to make it well worth your while. Of course no call back. I want it bad enough I am ready for a more aggressive approach but I do not want to step on toes. I have not checked for property liens yet. I know the taxes are only 300/yr and that is not getting paid.

So how would you attack this?

Nothing but good information there. I just talked with my local suburban town today and will call the county tomorrow on my plans. You are dead on about having the "master plan" for their expected future expansion and such. It may very well be to my benefit to bring in a specialist for this task. After all, it ALL hangs in the balance of zoning.

That being said, I have my concerns about a big corporate "dude" coming in when I am a farm boy and should be able to associate with the land owners for sure. Property price increase it is the TOP of the list for me and it really means jack for crop production.

They will probably have their place with dealing with the planning commission BUT I think my first call will be to my good friend that heads up the codes office. He can probably get me to a good guy in planning. You know how it is, not what you know, it's who you know. Or in some cases, how much cash you have!

In my first researching in zoning years ago, it would seem a near nightmare to get zoning changes done. Is this procedure generally done with "special funding" outside the office? Has anyone here rezoned anything? Why would I need to involve an attorney? What can one expect to pay to get zoning changes?

Just curious for anyone that has done some development work, if there are any basic numbers to follow for bringing in electric and phone? I will not be bringing in sewer or water so only the two utilities.

Will the power company put costs back in a special on the property or is all of this out of pocket?

I have attended a few tax auctions locally. A BUNCH of properties. Terms of the auction are I believe 500 cash and write a check for the balance the day of the auction. Now I am not going to go pull loan money not knowing if I will win anything so my thought was to write a hot check and get the funds moved asap.

Also, my biggest concern is buying a nightmare since we cannot really fully inspect these homes. Is there hidden fees and contingencies? I also hear getting into the homes can take months at times. Is this correct?