All Forum Posts by: David Zamarron

Are you referring to the investor or builder providing short-term financing to the buyer and the buyer later obtaining a VA loan?

Mark:  You should consider getting a title search from a title insurance company to show if the status of title.  This should reveal the interest of the current owner as well as the interest of any parties holding a security inssturment in the property i.e. mortgage note, contract for deed, etc.  

I have extensive experiencewith hubzu.com/Altisource/Ocwen et al and I am not aware of an alternative to the auction process with the exception of a bulk sale whereby the property is offered to select investors along with a large group of properties.

I have extensive experiencewith hubzu.com/Altisource/Ocwen et al and I am not aware of an alternative to the auction process with the exception of a bulk sale whereby the property is offered to select investors along with a large group of properties.

Matt: It depends on the REO entity. Federally backed organizations like Freddie, Fannie, HUD and the VA generally negotiate 5-10% off asking price. They typically consider price adjustments in 30 day cycles so if you don't get your price, track the last price reduction and stand-by for a lower asking price. The non-governmental REO entities in general are more aggressive. This is where a good rapport with the listing real estate broker is crucial. Occasionally the asset manager will encourage them to bring all offers. You want to be first on the call list when they get this call.

i've used Holloways for 35 years.  Their cirriculum closesly mirrors what you will see on the state's test.

I concur with the above comments. Most online auction sites i.e. Auction.com, Williams & Williams, etc. post their terms & conditions on their sites with the offering. Read this carefully as it should disclose if they're issuing title insurance. If not, you may consider obtaining a title insurance commitment/search in advance f the auction to look for things like HOA liens, IRS liens, etc. Most times, these debts are paid in advance of the auction. Also, if you're the successful bidder, read every word of their lengthy sales contracts for any surprises.

I agree with Roy.  I don't think your strategy will work long-term.  I think it is a matter of offering a price consistent with your wholesale acquisition price and if it is accepted, good for you, if not move on to another property.

You want to be the interviewer here.  Ask the realtor about their experience helping investor clients acquire properties.  If they have no or little experience in this area, seek out a Realtor that specializes in investment properties.  A good source is to see who is offering investment properties for sale.  May Realtor sites disclose the agent/broker's experience.  Remember, not all real estate professionals are schooled in what constitutes a good investment property.

Sometimes full price is a wholesale price in disguise. Everything revolves around the ARV. (After Repair Value.) There are almost always astute investors competing for deals. Don't let asking prices be your benchmark. Know/learn the value of the finished product, back out your costs and desired margin, and that will dictate your offering price.