BiggerPockets

My first Post:

I've read the other posts here and in other forums about JA which were mixed.

Heard of investors getting in hot water with the attorney general and sued through this IP method. His system has changed form. Does anyone know if the contracts changed with this new method?

The concept seems (at least on the surface) like it would work quite well in this market.
In it's new form, he has three levels (Free, Gold, Platinum)
New Form:
It is the Platinum level where an investor can flip.
IP = Buy at discount, Sell at appraised (to Buyer with down to 500Fico), Assign contract, Seller creates Note... Sells note at 10-13% discount to JA's note purchaser (will not purchase in CA and NY). ((This is what I'm note sure about)>> The investor presents an invoice to the Seller which is paid through escrow.
I don't know if that last part is still the case with the new method, but from reading other forms, it was this act that caused the attorney general to cry foul (don't know what state or if there were other circumstances).

Has anyone signed up for the Platinum? Any transactions? Feelings on the system?
Interested in any replies/comments

Hi Mike,
You're right about the niche:
You and/or the seller market the property to an end buyer with min. 500 Fico, but has min. 1 yr employment. They are happy to have a home opportunity.
The seller creates the note for 9.9% 30 yrs which is sold at closing and is permanently readjusted to between 5-8.5% depending on end buyer's credit.
The invoice to the seller / assignment to the end-buyer is where your flip profit comes from at closing. (It is this part that I am uncertain about, since I know JA's system structure has at least somewhat recently changed.... But I can see how someone could construe such an invoice to equate to acting as a realtor.. if that is still the process).

Regards

I forgot to mention that I signd up at the Platinum level. Platinum costs $697 one time. Gold is $297. and offers about 1/10 of the tools and ways to earn profit.

Byron

The investor presents an invoice to the Seller which is paid through escrow.
I don't know if that last part is still the case with the new method, but from reading other forms, it was this act that caused the attorney general to cry foul (don't know what state or if there were other circumstances).

Michael, I like to hear more about the above. I too know JA system. I am not his student. I know about the system thru his last partner.

Any updates on this guys?? I'm extremely interested in using the IP part of the home seller assistance program, but I want to hear from someone first that it is legit.

Anybody?

The BBB gives Alexander an "F" rating for his Van Nuys, Calif., company. In an online report, the BBB states that Alexander advertises a BBB membership on his Web site, richesin14days.com, when it is not, in fact, a member.

That sounds legit. I'd like to get rich in 14 days...Where do I sign up?

Edited by Dave: Guys, I just went to the richesin14days website. Are you kidding me?

Are you guys really claiming this as a legit program?

It literally says "No Money, No Credit, No Problem".

Wow.

So let me get this right... Owner finance a note to a person with bad credit while having the property on contract, then sell the note at a discount of FMV, completing your purchase and sale subsequently... with all the transactions going on in one day at the closing company. Hmm.. This isn't a system that requires a specific persons connection to a note buyer, or membership to any club.
The lovely thing about the internet is Globalization. Any person with the fortitude, and an internet connection, can sit at a computer and find a buyer for a note. These days they sell programs training people to do just that. I dont see why the note purchaser would send an invoice but then again, im not a member of this program, and the only people advocating the program here have only posted about this program... hmm

Where can I get this program... IM IN!

Hey David... I think they're serious. ;)

Dustin..I don't think there are too many note buyers out there that will take only a 10-15% discount on the note; most are taking way more than that..some even close to 50%. After reading the specifics it seems as if they can help those who couldn't otherwise get financed get approved for a home and lose only a SMALL discount on the sales price.

So in short, home owner's can get their homes sold quickly by allowing those with troubled credit to qualify and they can get almost full price minus the discount.

David...John Alexander has been around for a while it seems and is Donald Trump's real estate advisor; he's been around since the early 80's and has had much success. Just like with anything that's popular, there are both good reviews and not so good reviews; however, the bad ones seem to talk more about customer service rather than the system itself. I have yet to put this system to use or spend the $697 to buy for that matter..I just know people have built their "teams" and have enjoyed success from it.

I still would love to hear from anyone who has used the inverse purchase or the home seller assist program. Do a google search on "temporary seller financing". I'm sure you will find a lot of good stuff about it...most of which is legit.

John Alexander has been around for a while it seems and is Donald Trump's real estate advisor

Facts are facts.. and this is most certainly NOT one. Donald Trump is a Wharton School Of Finance Graduate who had a Quarter Mil net worth from flipping condos before finishing college, Who's first solo commercial real estate deals (after college) netted tens of of millions with practically nothing out of pocket.. John Alexander is not Trump's "real estate advisor", as it is more likely to be the other way around. sorry to say... odds are that Trump was paid to even associate with him.

My question is this a legal technique to use?