All Forum Posts by: Jeb Z.

@Bill R. @Shannon Wright

Could either of you expand a little more on those concepts? I would greatly appreciate it!

I've wholesaled a lot of deals to cash buyers but never to a retail buyer. I have a higher end property right now that is going to need a retail buyer and I'm looking at ways to close it.

The profit margin is big enough for transaction funding but the whole 90 day wait plus heating and insuring the property is a big turn off. That and the fact that with my current market conditions, if the buyer were to fall through, it could be a very long time before I find another buyer at that price point. So why risk it if I can lien the property and let the transaction go A to C? That or figure out a way to get my assignment paid on the Hud some how?

Thanks!

Dion - Great post! I appreciate the info.

Dave - That's awesome man. I'm usually in Boston once every month or so, wouldn't mind chopping it up with you about this stuff sometime?

Here is a question you guys may or may not know the answer to. I was thinking, before I get to the point of dropping $10k - $20k+ on attorney's and capital advisers. Would it be possible to raise capital on a smaller level from private indivduals and secure their money on a per deal basis backed by a first mortgage without having to jump through all the SEC requirements? In other words does issuing the investor a mortgage position on the property bypass these security registration requirements or at least make it more palatable?

Thanks all.

Hi Dave, Sorry to revive this old thread but I was wondering how your capital raising effort went?

I'm looking to do something very similar now that money seems to be flowing back into RE investing again and I have a very good track record.

Thanks.

I know exactly what you mean Ben. One of the first books I read (not sure they'll allow me to post it here?) was Peter Conti's book called "making big money investing in foreclosures". It had the full scripts and how to respond to just about every single concern a seller might have or ask you. I'm sure there are other great books out there too but this one was tops for me when I got started. Hope it helps.

Ran into this a few weeks ago on a deal I closed. Seems to me that back in the go go days closing agents didn't care whether it went on the hud or not but with all the scrutiny of today it's best to put it on there.

I have a addendum I use on both sides of the deal. It states that I'm making money and that they're ok with it before signing any purchase contract - CYA.

As previously mentioned best thing is to have the parties show up at different times or be put into seperate rooms for the closing. My fee went on the buyers side of the Hud and since he knew what was happening from my addendum he didn't care. The seller was making money off the deal so they didn't care either, not that they even saw it but it was all done in the same room and went smoothly.

Right on. We have addendum's on both sides of the deal to CYA but figured if I don't have to list it why complicate matters? Should end up being fine regardless as the sellers are making money and we have a back-up buyer if this one balks. Thanks.

Not sure what the heck your going on about here?

For one you have no clue about my local market conditions so speaking about price is pretty much pointless. We market our properties for the price we feel they will sell for and not what may or may not be morally correct, this is a business. If my buyer is going to eventually sell the place for $185k than is he taking advantage of me for only paying $35k? Also, your math is wrong. $10k is < 30% of $35k and even if we were making a 40% profit so what?

Agreed. Just trying to see if anyone else has been in this particular situation before and whether they had to list it or not? Thanks.

It's possible but a lot easier to do a assignment. Some of these attorney's here in CT can be real jack's. The town is foreclosing on back tax's and some of these attorney's will want everything released before allowing the 2nd closing which can be a few days and I wouldn't want to insure the place or leave it uninsured for that time.

Hmm, ok. If I have to list it on the hud I will but I'd rather not disclose to my seller's that I'm making a $10k fee if I don't have to. Anyone else?