All Forum Posts by: Andy Mirza

Is he actually continuing to put on workshops? That's crazy!

We're evaluating a tape with a lot of LA loans but have no experience in the state yet.

I did a little bit of reading at nolo.com and it appears that there are two types of FC in LA: 

The most common one is an executory proceeding if the mortgage has a "confession of judgment" clause in the note. This sounds like you can fast track the FC.

The other is a regular judicial FC.

Is there anybody with experience in LA that can verify this info?

We use Kein, Daday, Aretos & O'Donoghue for our foreclosures in the Chicago area. I'm sure they could help you as well. Ask for Stephen Daday or Nathan Buikema.

@Chris Seveney Great list! As you pointed out, it's not comprehensive but it's a great start for folks.

I'd like to add to #10 because it feeds into the relationships part of the business. One's level of access to quality notes is highly dependent on the quality of the relationships that one has built with loan traders. The higher up the chain you can get, the better the deals you'll have access to.

One of the key elements of getting and maintaining that level of access is professionalism. One element of that is closing on a note when you say you'll close it.

Once the seller accepts your bid, you are committed to buying that note (unless there are incurable title issues or you and the seller can't agree on legitimate re-pricing requests). Buying notes is not like buying real estate where escrows fall out all the time. Professionals will not waste their time with buyers who cancel unnecessarily.

@John Ballard First issue: is the son a minor? If so, he can't consent to anything, only his mother can.

Second, the only people that can do anything about the situation are heirs or their parents/guardians. If they don't want to strike a deal with you, then that's it.

Third, it might make sense as a deal to you but it's obviously a huge emotional issue for the mother. In my opinion, other than some extremely gentle persuasion tactics, I'd respect her decisions and leave her alone. On to the next deal.

She should respond to the foreclosure suit for her son's sake. If the there is equity, there's a chance that the property will sell to a third party bidder and that the estate would be entitled to any excess proceeds.

@Todd Powell Glad that things took such a turn for the better for you! What do you think that you'll be saying or thinking about this a year from now? I bet you might say it's one of the best things that's happened to you :)

I'm fortunate to be self employed and not have to worry about what co-workers or bosses think. You have to use the appropriate "filter" when interacting with anyone else. Yes, social media and the internet won't let anyone forget and allows a lot of folks to say things they wouldn't say in different circumstances. That's life....

As someone who buys non performing notes and forecloses on delinquent borrowers, I am very aware of the other perceptions of people out there. One day, my turn may come where I'll get stalked and hated on like you were.

It's distressing that we're facing this type of cancel culture today. I can understand people that fear speaking out against it or defending others, especially, when their careers and livelihoods can be threatened. The rest of us that can, though, need to speak up for what's right when we're needed.

Without pushback, the enemies of true free speech only get bolder and bolder. 

@Terrence Evans You know, it might be worth taking another look at post sale redemption states. When I started out, we only bought notes in non judicial foreclosure states with no post sale redemption periods. We ventured out to other states, including judicial so that we could increase the pool of notes that we could buy from.

Yes, judicial foreclosure has its headaches but that's an advantage for small, nimble investors who can make decisions and solve problems 20 times more quickly than big banks and hedgefunds. Post sale redemption periods are just another obstacle to final liquidation just like BKs and court shenanigans.

We pay less for notes in judicial states because of the increased cost and timelines. Why not do the same for post sale redemptions? You've got me thinking about it :) 

@Anthony Gude I also recommend FCI

@Dan Lapp As long as you are not approaching the situation as a vulture looking to take advantage of others, I believe that you're fine.

There's going to be a tremendous amount of financial stress out there and investors will be a part of the solution to get our economy back on track. Governments and big banks can only do so much. They are large, bureaucratic, and don't always have the right incentives. They won't be able to effectively help anyone who has a situation that doesn't fit nicely inside their box.

I've mostly dealt with leftover non performing notes from the last financial crisis when people were getting loans they had no business getting. This time will be different as loans were made with good underwriting to people who were paying just fine until the pandemic hit. I'm looking forward to being able to help out borrowers on loans where the big banks or hedgefunds couldn't.

@Jonathan Valdes Why did they decline your forbearance?

The servicer is your only path to get a forbearance unless you have a way to contact the current noteholder. Going to the originator is not going to help you. Once they sell the loan, they are no longer a decision maker.

If your loan is for a property in NJ, there's a relatively long process to foreclose so you'll have time. The first step in the process is for the lender to file a complaint for foreclosure. Don't ignore this. Get an attorney to represent you.

In the meantime, try to make what payments you can. Making some payments will keep most lenders from starting foreclosure.

Good luck!