All Forum Posts by: Walter Holmes

safe harbor applies only to the entity who the judgment is under. I did pretty good buying non performing notes a few years ago, you just have to know what you are doing. 

Just a quick tip! Always ALWAYS start you due diligence with the foreclosure action! Atty run title pre fcl, before the judgment and before the sale (if its a good atty) .

Read the complaint, it will paint a nice timeline for you, list ALL defendants listed in the complaint and the judgment. NOW its time to go to public records.

I managed a portfolios of thousands of foreclosure cases in the las 12 years, and bought my own so ive seen a lot, and learn a few trick here and there.

Be happy to help on any florida questions!

Best regards!

 Hey eliot, i really find your company very interesting reach out to me maybe we can get some pointers from eachother, i dont think our business encroach on eachother if anything they complement one another!

Best regards!

The key to reaching out to the borrowers is to recognize if anything other than a foreclosure isctheir posible out.

there are a lot of borrower that in the contrary the "correct" move is to let someone market it. 

Im weeks awa from launching my startup after month of working with enguniers to map the fcl auc web site, appraiser,  tax and clerk of courts and find commonalities on the diferent "personalities of borrowers going through fcl.

Im consentrating on 2 things.

1. We automated the due diligence process where we can completle 3 weeks of active sales in 3 hours.

2. Identify the perfect candidates for shortsales or just to get thevlisting and market it.

It makes a huge difference when you knock on a door a borrower that has no way to do a shortsale and one that does, and maybe the most important is not approaching then at the last minute (theres enought in their mind to speak to some guy they dont know when they are facing an imminent fcl.

From my experience there are some factors you must consider in the approach:

1. Is marketting/shortsaling their only out?

2. If it is , then start getting sone face recognition  before the judgment hearing. 

3. Right after the hearing is the moment to offer help, not sale!!

4. By the time the sale is looming you have a bigger chance of getting that listing.

I bought non performing loans for about 4 years and ive managed fcl porfolios for a few big financial institutions and the 3 biggests lessons i learn is to indentify from the begining the potential, be patient, and approach the borrower at the right moment.

In my opinion approaching someone days b4 the sale , with no homework done and even worst in a bad moment for the borrower diminishes tremendously your chances almos to 0.

Just my 2 cents.

Hi everyone, i wanted to get some input on aiction due diligence.

As an experienced investor would know a good due diligence should at least have:

Title search (veryfying lien and most important the mortgage position)

The foreclosure case analysis including docket updates.

A solid Bpo

Taxes oweded

Open permits

Mechanical liens

Zooning

Property details (rooms, size ect)

Hoa info

Ect.

Well from my iwn experience this process if done by an experienced investor might take 2-3 hours per property.

With the high cancelation been 60+% due diligence should be started Thursday for monday auctions (miami dade).

We accomplished to map, test and automate the process where our solfware pulls about 1000 sales in 4 hours.

I will love to here your thoughts and feedback if this is Something that would be helpful and worth the time we've put in on accomplishing this. Any feedback, or questions are welcome.

Thank you all in advance!

Walter holmes.

Hi everyone,  so i wanted to give an update on the auction due diligence startup i began working on 5 months ago.

We are finally getting ready to launch but ofcourse i would love to get some more feed back, since a lot changed since i last posted.

We changed our model , in my opinion created something better.

We finally have our product , after several pivots and different tech guys we finally found a great team . We moved away from forecasting (which i think is definitely still posible) and instead after a lot of work and data analysis we were able to map and automate the auction due diligence , even though there are many features we want to incorporate i believe we have Something good to offer.

As an experienced investor would know a good due diligence should at least have:

Title search (veryfying lien and most important the mortgage position)

The foreclosure case analysis including docket updates.

A solid Bpo

Taxes oweded

Open permits

Mechanical liens

Zooning

Property details (rooms, size ect)

Hoa info

Ect.

Well from my iwn experience this process if done by an experienced investor might take 2-3 hours per property.

With the high cancelation been 60+% due diligence should be started Thursday for monday auctions (miami dade).

We accomplished to map, test and automate  the process where our solfware pulls about 1000 sales in 4 hours.

I will love to here your thoughts and feedback if this is Something that would be helpful and worth the time we've put in on accomplishing this. Any feedback,  or questions are welcome.

Thank you all in advance!

Walter holmes.

 I swear i still hear people bragging about "the apartment they bought for 20k "  i just close my eyes and ask my self "how does this person made 20k to begin with if he believes theres such a thing"

now, one concern we do have is disrupting this niche market!

We don't want to flood the auction with inexperienced buyers that will ultimately raise prices and make it too competitive.

That is a big concern for us, what do you think?

"The other thing that would provide value is to pull mortgage, lien, and satisfaction history from the public records. Creating a pencil search. You could charge separately for this option. As I'm sure you know Miami Dade foreclosures are sold subject to any liens and mortgages and most novices don't know how to do a title search without having a title company do it."

Ray, people having to pay for title search and due diligence i believe is the main reason why the market is monopolized by a few. Its expensive and if someone is not EXTREMELY experienced doing this you will be open to those horror stories.

And Most people start backwards, before doing title you do this:

Start by looking at the court docket read the complaint and final Judgment  (ofcourse you need to have some knowledge to read these docs) look at who is named in the foreclosure case, this will do 2 things for you 

1. give you a starting point and an idea of how many parties are involved.

 2. Get a list of liens that should be wiped after the fcl (no going into liens that will survive the fcl right now) 

Now start your title search!

If you find a significant lien NOT listed in the foreclosure you can stop your due diligence!!!

*Ofcourse there are exceptions to this rule.

Ray, our idea is to integrate all available public records to our platform clerk of courts recoders office, tax, city for violation open permits ect, public appraiser office ect.

Another common mistake many people do including title companies is THEY DO NOT LOOK FOR VARIANCES...what i mean by variances?

name combinations IE. DEBORAH, DEBBIE, DEBRA ,search by legal description, search by address.

Many times you see liens under the property address but the wrong legal description and viceseversa.

Due diligence is all about attention to detail and expect the unexpected.

We want to make this seemless and very straightforward in our platform, where we provide a type of "due diligence checklist" and tools to do it yourself or for a fraction of what a title company will charge just for lien search we will give you a FULL due diligence package.

THAT'S the dream my friend..but we are getting there!

"Well my best input would be to make sure and pull all pictures and descriptions of all Sold, under contract and active comps into your system. Comps without pictures are pretty close to useless."

I agree, i will make note of this.

GREAT FEED BACK!!!

"I would say the most valuable thing you could provide to me as an investor would be the bank's reserve with a level of certainty percentage. If that was accurate it would save me a lot of wasted time in research."

That is one of our Goals ray! 

As we see more and more data we are confident we will be able to forecast that aspect as well but again our goal is to be able to provide you with every forecast posible and making the due diligence process be seamless, one stop shop!

I will keep you in mind!