All Forum Posts by: Mark Yuschak

A family member tried to obtain help under the Help for Homeowners program Sherry talked about. The fact of the matter is that no lenders are allowing short-refis on properties which were overvalued at the time of purchase.

As a result, he is continuing to pay his mortgage on a property (which he also put 10% down on) even though its market value is down ~25%. It's either a loosing proposition for him, or the lender. He's taken the high road and is diligently paying the note even though it's not what the majority would do.

Jon, how did you arrive at a cash flow of $742? I came up with $543 and $90.50 per unit.

The rule of thumb in my area is that HUD will not accept an offer which is more than 8% less than the asking price. Their legal council in the State of Michigan is advising that, I'm betting...

If you paint it white it makes it look like PVC from a distance. PVC, obviously, is of no use to a theif.

I'm a Realtor and working through a short-sale listing I acquired this past summer. I currently have two offers on the propert and have forwarded everything to the lender. The lender has requested that I maintain the status as "Active" in the MLS. They're wanting all the offers they can get.

Unfortunately there is no "Contingent" status in our MLS or else I'd be inclined to use it. I hate to be deceiving to fellow Realtors. So, when they call me with questions about the property I give them the verbal heads up that the lender is already entertaining two offers.

It would have been helpful to know his goals so that we could tell him which approach to value is most appropriate.

I'm a bit biased since I live here, but Michigan is an excellent place to buy properties which cash flow. If you're looking to flip a property, then you should reconsider since the manufacturing-centric economy is struggling right now.

You can't beat paying $24,000 for a 3/1 home which would rent for $650 a month. There are deals like this all day long. (and these aren't dumps either...in good neighborhoods, with good schools).

Agreed, Jon, that's why I was asking about reserves.

Dump it if you can get 45K for it!

Originally posted by Bill H:

Does the seasoning issue apply to certain banks? ie does anyone know of banks that do not have a seasoning requirement?

Don't limit yourself just to banks. Credit unions are often an untapped goldmine for finding unique financing options. I've been 10x more successful with financing from a CU than a bank. They're a lot more flexible, have lower rates, and can close with less contingencies than the said banks.

What are the taxes? Or, do you escrow them?

My calculations show your just barely not breaking even at $532 per month going out.

Do you have any reserves built up?

You need to really increase the rents or sell since this seems to be a loosing proposition.