All Forum Posts by: Bruce Lynn

Down the street?  Probably not such a big deal.  Next door or a couple of doors down or within sight, definitely a negative.  Maybe 10% discount or more, maybe double the discount of living next to power lines, busy street, commercial property or some other perceived negative.  I've shown a few to buyers that bordered the cemetery and they were a big fat NO.
I guess all depends on where it is too, but in most of my markets we have huge international communities and they seem to care even more.  Can't tell you how many people have asked if someone died in the house.  Typically if natural death it does not have to be shared, only if a murder.  People do die at home.  That's not unusual.  But many buyers don't want any part of that.

Thanks for the info.  House is the only thing in BK, they didn't have any other debt.  I don't think it was a good option for them, but they got scared of course.   Their equity could pay off the 1st, give them a bit of cash perhaps.  

I expect you are right about the attorney, because he'll quit making money.

 Sherman/Denison

Sounds like Boise.  That might not be an easy one.  Who's going to finish the project?  You might not have a big or any choice of contractors.  They're probably mad already at not getting paid on their outstanding invoices.  Might cost you a lot of steak dinners and bottles of Crown Royal to get them back in gear, but it will now cost more than the original quotes I expect.

Good luck and best wishes.

Is it possible for a homeowner with about 50% equity to get a reverse mortgage while in bankruptcy?

If so that would probably allow them to stay in the home and make some needed repairs.

Sounds like Boise.  That might not be an easy one.  Who's going to finish the project?  You might not have a big or any choice of contractors.  They're probably mad already at not getting paid on their outstanding invoices.  Might cost you a lot of steak dinners and bottles of Crown Royal to get them back in gear, but it will now cost more than the original quotes I expect.

Good luck and best wishes.

In Texas from what I understand if you are over 65 or disabled you can defer property taxes in certain circumstances.

Will most or some mortgage companies allow this?

Client is over 65 and not able to make current monthly payment.  

Trying to find options to reduce expenses to keep them in the current home.

They could probably pay PI & I if they could waive the taxes.

We do understand the taxes will be owed at some point by someone.

Just wondering how mortgage companies look at it or if they would allow.

@Andrew Postell
@Chris Seveney 

It is a consideration, but I don't know that it is always a good comparison.  For example Texas vs California.  Texas might be 2.5% where CA might be 1%, but if the values in CA are 3x higher than CA your effective tax rate is lower in TX than CA.  You also have to think about rent ratios.  Most of my CA investors that moved capital to TX we getting about 1/2% a month on rent based on the home costs and in TX got closer to that 1% target.

What I try to focus on more than taxes is demand and growth prospects.  How many people are moving to where you want to invest?  How many jobs are being created.  Rare is the day I hear people moving from Texas to Oklahoma, but I often meet people moving from Oklahoma to Texas.  Lots of teachers do it for increased pay in Texas.   Rare do I hear about a company moving from CA to Oklahoma, but I do hear a lot of companies moving from CA to Texas.

So end the end, lots of things to consider.  Taxes is just one consideration.

#1. I would check to see if owner occupied or tenant occupied.  Find out who the tenant is and the relationship.  Is it someone that will fight, like owner's mom, or mistress.

#2. If it is worth $1.6-$1.8, you don't think there would be bidders for the 1st?  Seems like a nice spread that would interest investors.

#3. I would do research on that 3rd lien and know your lien priorities.  Not sure if there are companies in NY that lend on taxes, but if there are they might be in 1st and not 3rd or the lien doesn't get extinguished. 

The other thing I forgot to mention is that the sister companies of title/mortgage/real estate or bundling of these services is the next target of the national lawsuits. Probably not the right time to jump into that mess. NAR probably won't pick up the tab on that one and the broker/owner will. They'll have no defense....we recommended this title company why? We recommended this lender why? Because we had a chance to increase our profits....because real estate commissions were not enough. That won't go well in front of a jury I expect.