Exceptions to the conventional loan aspects are to VA loans up to 100% LTV and underwritten under conventional standards with exceptions.

Hi BP,I'd love to get your thoughts on this potential deal.Sale price: 4 Bedroom, 2 bath - $87,000, VA foreclosure.Location: Michigan, area with good school district in Oakland County.From the CMA,  seems that the average cost per sqft was $104 (this property is $64).

I was only familiar with collateralized debt.So when I was lamenting the fact that I could not get money for more homes an entrepreneur friend said, “call the bank and get a signature loan”.Having never heard of this before, I called, and sure enough, IF you have good credit and income, a bank will give you $25-150K just for your signature…to go buy cars, pools and pay for stuff you don’t need.Or, you can use it to buydistressed real-estate.So, here’s where it could go bad.Don’t be stupid.Have your exit strategies.Then execute.My typical deals look like this:HUD/Homepath/VA forclosure wants $41K for a home with an ARV of $65-75K.Let’s assume it needs $10K.I start my bidding ridiculously low, so $24K, but eventually get it for $28.5K.I use “cash” and close fast and get it rehabbed in 2 months…could be faster, but that’s the average.Immediately after I close, I am looking for ways to collateralize the debt…ie REFI.Because right now, I own the home OUTRIGHT, w/ no liens.I do have this other debt not associated with the home and I want to pay it off ASAP before I have to make my first payment.I can 1) use a portfolio lender (typically 80% of receipts, then I retire the rest of the loan w/ my cash).2) Wait 6 months and use traditional financing where I have the possibility to getting all of my money out of the deal since they go off of appraisals, not receipts, typically 75% LTV.While I wait 6 months, my payments on $35K are around $500/mo.Home rents for $850, so I can do this and still pay the bills.3) flip the property to a new home owner and make 7-10K after expenses or 4) do nothing and pay the house off in 7 yrs w/ the 9% signature loan.I hear of people using hard money and the expenses associated, but for the smaller deals like these, IF you have good credit, they don’t make sense.Thoughts?

I have my VA search the county clerks and create lists from there.

Does anyone use a VA or answering service?

I am guessing this was not an FHA loan or VA loan, which would have assumption clauses.  

., ABA, VA, AAA, etc.,) that would be going in as a larger group?  

@Nickson Rio I may be interested in a VA.

In order to do this, I have discovered I should still be able to use the VA home loan for an additional property because I only used about 1/3 of my entitlements on this first home.  

Hello BP Family,I have been doing research on how to properly buy trustee sales in Midlothian VA.