All Forum Posts by: Scott Hubbard

Originally posted by Nick Johnson:

Hey Larry, I've had similar issues with Saxon. After the 1st time of dealing with them I knew the address of the dept I had to fax in the short sale package so I mailed it certified so that I way I knew they received it and "who" received it. It cost a few extra bucks but it turned out to be worth it.

It's been a long time since I've gotten another Saxon but I wouldn't hesitate to mail it again knowing their response rate

Nick-

Do you have their address or can you confirm the following address?

Saxon Mortgage
PO BOX 161278
Fort Worth, TX 76161

Great! Post where you got it for free, that way you can benefit this thread and possibly the community.

Great Post! I saw some local advertisements regarding the Donald Trump University. My mother, saw the infomercial and asked me why I dont' attend to see if I could meet the Donald. I laughed, but then realized how misleading the whole thing is.

Originally posted by nationwidepi:

One of my favorites was when the speaker described a owner financing deal. Here is what he said. Property is worth $400k, you offer $385k - just a small discount, and offer to pay 10% interest ammortized over 20 years and the seller never hears from you for the next three years, no tiolet broken calls, no nada. Then you go out and advertise for a lease option buyer with a creative ad. You put them in a lease option with $15k down which is your initial profit as explained by the speaker.

I recently ran into a deal where the above scenario was one of my strategies. Out of 142 deals in the past 12 months, I had only one opportunity where the equity and current rents would support just such a deal.

I am in total agreement! Although the techniques have merit, these boot camps are a huge waste of money unless the speaker can apply these techniques in each and every market in which attendees reside.

I just submitted a short sale to Saxon Mortgage this past week. I concur with your "slower than average" rating. After asking several investors in my REIA, I received no feedback.

If you learn anything, I would be very interested in hearing about it. I'll do the same for you.

Minna-

I have decided to clean up the software I use which is an Excel Based form that creates near carbon copies of the HUD 1. It is easy to use and customizable. It is available on my site for $27.00.

I believe mentors can play an important role in your career. They can shorten the learning curve and help you avoid common pitfalls. As we are currently in times of unpredented opportunities, anytime you can fasttrack your success the better off you will be.

With that said, you should find mentors that specialize your local market. There are many "national" coaches that offer education, but a mentor is someone who you will meet face to face on a regular basis. They will sit down with to establish goals and design a game plan for you. Then, the mentor will make sure you stay on track.

Other's on this thread have mentioned subtitutes like friends and investment clubs but these people will never make sure you stay on track. I belong to one of the best REIA's in the country and I have made some pretty good contact's there, but I can honestly say that none of them compare to the contwcts I have made through my Mentor.

I no longer see my mentor as he passed away several years ago, but there is not a day goes by that I do not think about how much of an influence he made in my life.

For those looking for mentors, I would encourage you to continue your search. For skeptics, perhaps you found your success on your own through trial and error, but some people cannot leap before they look. We are all not wired the same.

I wish you luck Nick. I tried several times to purchase probate properties and it is a challenge to say the least.

There is an extreme amount of competition from buy and hold investors who are willing to pay more for the property then 30 to 40 cents on the dollar.

If you are trying to avoid a third party negotiation, probate is not going to be the answer since you are simply substituting the lender with the courts.

Again, I wish you lots of luck.

Will is right. There is a very complex mathmatical formula that takes advantage of these lines of credit paying principal down, but also using credit cards with the grace periods for cash purchases like groceries and gas. The program uses these grace periods to reduce interest compounds on your mortgage. I was very skepticle at first and had to see it work in real time before I agrred to buy it.

I actually use it on my primary and it calculates my bills and budgets my discretionary spending.

The other day I bought a box of cigars which was not in my budget and when I adjusted the expense out of my discretionary spending, it shows me how much those cigars actually cost me in terms of interest I could have saved. They were the most expensive cigars I have ever smoked. LOL

I really like the program and it really makes me want to stop eating out so I can see how much I saved. It is really a cool tool, but the only way your going to succeed in paying off your mortgage in ten years is if it becomes an obsession with you.

Based on Jon's analysis: The ROI is way to low expecially when you consider your primary is at risk with an HELOC.

You might consider bringing on a partner that has the cash or has a 401K.

Originally posted by adam black:

They are 6 years into this with about 450 properties

They have asked you to be a part of an existing business in a mew market.... Does this mean they want you to capitalize this venture? If they have been so successful why do they want you? This sounds like called a ponzi scheme. Using new investors to service debt on old investments.

Originally posted by adam black:

Take $15,000 out of each property not to exceed 75% ARV

I have a problem with this scenario, they want to be paid off in 12 years yet they take $15K out of each property.

Commercial line of credit for prime plus 1% - I have been in commerical finance for many years and this sounds bogus to me even with a balloon. What are the terms for the 7 year extension?

This is the same model used for the last decade. Borrow cheap money and leverage it until you default. File BK and leave the banks holding the bag.

I recommend the 5 C's and due your own due diligence... I am a big fan of buy and hold, but leveraging and using commercial lines of credit is a good way to watch all your hardwork get liquidated becusee some of your loan convenants were broken.