All Forum Posts by: Chris C.

Read this post with a similar subject.

http://www.biggerpockets.com/forums/67/topics/1447...

If they are running a legitimate rehab business they should be able to show you what they budgeted for past properties and what they actually spent.  I would want to see those numbers to evaluate their ability to budget and how much they are actually making.  Of course these numbers can be fudged but a lot of information can come from how they act when you ask for that information so do it in person.  

Have extended the contract for 1 week but have been told that we are still 2 - 3 weeks from a closing.

@Jason Bott Pleae send me the insurance info as well.  Thanks

Received the ratified contract today.  Still no word on how soon closing can be.

Using an LLC for liability protection is not nearly as effective as many will have you believe if you are managing your properties yourself. Even having an LLC for property management does not provide you with the protection most assume. As the property manager, whether you own the property or not, you neglect to fill in a hole in the yard and someone gets hurt. They can and will sue the LLC and you personally. There is nothing in an LLC that says someone can't sue you personally for being negligent in your job. If you don't manage yourself then you do have some liability protection by holding properties in an LLC and allowing an outside management company to manage and assume those risk. If you do manage yourself with or without an LLC your only real protection as @Russell Brazil stated is really good insurance.  I am not a lawyer and this isn't anywhere near legal advice just pointing out the obvious of how the legal system works.  Lawyers will sue everyone and let the court decide who is and is not responsible.

Thanks @Cass R. Smith that's a great website.

I really hope I am not annoying people with thread. It has gone from Diary of My 4th flip to an REO saga. Hopefully my experience will give people an idea of how things really happen in real estate as opposed to the late night infomercials.

Bank sent me the contract with everything as we had agreed.  This included a closing for Oct. 31st.

Got this email from my agent today.

"Just a heads up. I spoke with Wendy xxxxxx at xxxx Law Firm this morning just to start the ball rolling. My concern was that the seller took so long to sign off on the contract last time and I don’t want Oct. 31st. to creep up on anyone.

Wendy said the foreclosure attorney that is handling the file for the bank is in the process of shutting down and that her last update from them (dated Oct. 14) indicated the compliance package would not be sent to a judge for 3-4 more weeks. This has to be done so that the judge can issue the deed and then it goes back to the banks atty for recording before we can move forward with closing. Wendy really thought we could be more than a month out of closing. She said they would try to intercept the deed after the judge has granted and then record with your closing…..and this might save a week or two.

With holidays quickly approaching….this could push closing into the end of November…possibly first of December. Is that a concern for you in carrying the property prior to being able to relist?

I have just confirmed with Joel that the per diem fee will not apply if it is a seller issue, of course."

So now I am expected to just sit on $120,000 dollars for a couple months so the bank can get title ready! I told my agent to go ahead and submit the contract with closing for the 31st. I will then only allow them to extend the contract in 2 week increments. If I get another offer accepted then I will just allow this contract to lapse. I am doing this because I am just now getting started on my marketing campaigns and the MLS competition has keep me slow the last several months. Better to keep this one tied up in case I can't find another opportunity for this cash.

Bank has verbally accepted $116k offer.   Won't believe this one is mine until it closes.

Bank has countered $118k.  My investors have agreed to take a reduction so we can get their money working and I raised my offer to $116k.  Great learning experience. I should of requested a more feasible repair adjustment to price after the inspection came back.  Don't get greedy just put a good deal together and get on with it.