All Forum Posts by: Don Konipol

there is financing available for SFR if the borrowers have "A" credit.

Anything can be negotiated, or you can try to negotiate anything. Whether or not the lender will accept partial payments and a plan to pay on a regular basis can only be found out by offering this to the lender, preferably in writing.
Any court with jurisdiction can order the foreclosure stayed (stopped). This is done in one of 2 ways. Either the appropriate court is petitioned and agrees to issue a temporary restraining order, in which the lender is restrained from conducting the foreclosure sale until a full hearing can be arranged in front of the court. Or the filing of a bankruptcy by someone or an entity with an equity interest in the property will result in an automatic stay of the foreclosure. Each of these is of course a temporary measure with further court action neccessary.

What you're proposing MAY have worked 2 years ago. Lending is very strict now. On property acquisition you will need a large amount of your own capital, fully finished development plans, all permits in place and experience in doing the exact type of deal you are proposing. Further, the serial propery equity loans are a fantasy, non existent. If you own 3 or 4 properties free and clear, we might take a first lien on them to finance the purchase of a new property. I would tell you to get some experience working with an established developer first but most are shutting down and going out of busienss.

If you are the finder what would you be trying to escape from?

If your friend has no money to work with, he has no reason to stop the forclosure. If he has some money to pay some payments, he can propose this to the lender. A court order staying the foreclsoure will of course stop foreclosure. A temporary restraining order issued by the court will stop (pospone) foreclsoure sale. A bankruptcy filing will result in an automatic stay stopping (delaying) the sale.

I lower my price when I am convinced no one will pay my asking price within the next 60 days

If the homeowner can't pay on the original note, why would he be able to pay on the note the second time around?

Properties that are listed on MLS are available for all to see, a third party intermediary asking for a fee adds no value to the process. However, a third party finding a good deal that is not generally known to be for sale may indeed be worth a finders fee.

Starting down the path with a misleading or fraudulent ad is not heading in the right direction. Any short term gain will be negated by longer term negative consequences. In a business where few people are 100% honest, those that are honest in all their dealings are rewarded with loyal clients, partners, investors and transaction parties.

In 1999 I purchased a property built as an automotive repair shop in which the owner had been dumping motor oil out back for the past 15 years. I obtained 3 estimates from registered environmental clean up companies. the bids were $45,000, $48,000 and $3000. Being suspicious of the low bid, I contacted the Texas Natural Resource Commsion, spoke with the director and bought him lunch. Over lunch he told me the the company with the $3000 bid was the best one, they just were completely honest. I submitted a low ball offer to the court - the property was in bankruptcy. The court wouldn't all the trustee to accept my offer. I then submitted a slightly higher offer with the 2 high bids for environmental cleanup. The offer was accepted. I ended up paying $125,000 for the property. I contracted with the clean up company, after they finaished and the property passed an independent environmental test I was billed $2250, or $750 below esitimate. I promptly leased the property to a tenant at $3000 per month triple net. A couple months later the tenant offered to purchase the property cash at the appraised value. We agreed on an apraisor who valued the property at $310,000. We clsoed the sale at this price. This was one of two killer deals I profited with investing in properties with environmental problems.