All Forum Posts by: Eddie P.

Brian Burke Wondering if your "subject to" offers were accepted. Mine was and we closed yesterday.

I tried to get them to issue a Warranty deed with title insurance with no luck. They did say they would give a discount on the title work if I did the closing with them upon resale.

Kristin, I am in South Miami/ Kendall area. I am a GC as well as an investor so my estimates are pretty darn close. I have not kept exact count, but have bought rehabbed and flipped at least 30 homes in the last 4 years. Profits vary ,but this year I have averaged 25-30% return. I mostly buy properties that need mid to full rehab. I have had better luck from older listings, but it's still challenging to get the right one under contract. When I wrote the formula doesn't work here, I was referring to how our current market and lack of inventory makes it nearly impossible to apply it to properties in desirable areas off the MLS. If you do go over 70% in an offer, remember to factor in closing cost and commissions on the resale, roughly 8%. At the seminar they also said how once the property hits the open market it's too late to get a good deal. There are other ways to locate motivated sellers that does not involve the MLS.

South Florida is tough. You have foreign investors , institutional buyers, and buy and hold investors that are willing to pay close to market for just about anything in this market. The are not flipping, so they pay closer to 90% - repairs.

I went to the weekend seminar they held here in Miami and the information was well worth the $200 I paid and honestly learned a few new things. One thing that I totally disagreed on was he claimed we are in a buyers market and that formula would work here. I can assure you this is NOT a buyers market. Any distressed properties will have multiple offers within a 24 hour period and mostly will be cash only.

Don't be discouraged eventually you will find something. I used to follow the masses and bid on newly listed properties when I did MLS searches. After 50+ contracts and no results, I now look for listing that are either +30 days out, back on market, or backup offers.

J Scott, I will mention this to my attorney and see where it goes. I wonder if he disclosed it was not owner occupied when he submitted the package to the bank. As far as contacting the lender, luckily my attorney was/is the closing agent, so he does have a third party authorization for the account.

Thanks

Ned Carey I don't think the bank is obligated to extend without the cooperation of the seller and I have a short window of time left on the approval. Anything I file will probably take longer than that window.

Wayne Brooks This is Dade and FARBAR. I usually can tell the bogus listings from the real one's and always ask the agents if this is a serious sale or not. Surprisingly , I have had many tell me not to waste my time! If the agent even responds to an email its a good sign it might be an actual attempt to short sale. I normally stick to the larger brokers as well. This deal was brought to me by a realtor I have bought REO's from, so I figured it was legit.

I have my attorney looking it over. The agent is trying to convince the seller, let see how far he gets.

Today I was informed the seller on a short sale I had been waiting 4 months for, will not sign the approval from the lender. It was a good deal for him, no deficiency or promissory note, just sign and walk away. Normally these things don't bother me, since I get more rejections than accepted offers in my area, but I passed on another accepted REO offer since this one was more profitable. Now, I know there is no deal until the ink on the HUD is dry, but I was assured by the listing agent again, last week, the seller was motivated and needed to sell. So now the story has changed and the seller has been stringing the agent and me along as a foreclosure delay tactic since he is collecting rent. The seller basically told the agent his attorney could delay the process another 6 months and that's another $12k in rent for him. His attorney has delayed this case now 3.5 years(42months @ $2000 p/m= $84,000), but wants to squeeze another $12k out of the house. He no longer cares about a deficiency or if it goes to foreclosure, so there is no reasoning with this person. The agent is furious and plans to sue to collect his commission since the seller accepted the offer and he was able to get an approval from the bank. I probably will not pursue it, since this guy already made it clear he does not care of any financial consequences.

Out of the 3 short sales I have had contracts on, only 1 has closed. The second one fell apart last month when the buyer did not show up to closing. They were going to try modification again. That didn’t bother me, I hope they get approved.

Great!
I should be adding a couple houses next week, I'll make sure to ask about it.

Thanks

I issure my rehabs with Affinity Group as well. Great service, no windstorm coverage though.

I purchased a house at auction where the seller had committed suicide by putting a bullet through his head, while sitting in the living room. I didn't know this when I was bidding, but the neighbors sure made me aware of it. I disclosed it although I didn't legally have to, I figured the same neighbors would run to share the story to any prospective buyers. Regardless, the house went under contract after the 3rd showing. The buyer said he was more fearful of the live ones then the dead.

I am in Miami. Have about 100 signs I ordered sitting in a box I decided not to put out. Broward and Dade county have a new automated system which auto dials you every 30 minutes or so until you pay a fine. So, you would need a service that blocks the calls or burn through many google voice or magicjack numbers. Never use a phone number you plan to keep.

It is not worth the hassle in my opinion.