All Forum Posts by: Lokesh W.

I have never backed out on a deal for which I have paid earnest money before.

I had an accepted offer on a duplex. I mailed my earnest money but later I changed my mind because another offer of mine got accepted so I asked the realtor not to deposit the money. The realtor had NOT yet received my check in the mail but he said that based on purchase contract, he has to deposit the earnest money. He asked me to spend $400 on property inspection and then cancel the deal or go through the complete financing process and pay the fees for financing and then reject the deal. He basically did not want to let me go easy.

I cancelled the check so now, he says he wants $600 for attorney fee of the seller. My understanding is that if we don’t pay the earnest money on time (5 days), the contract is null and void but he is insisting that I pay $600.

Accepted offer: Friday evening (2/22)
Mailed earnest check of $2000: Sunday
Requested to cancel the deal: Monday afternoon
Cancelled check: Tuesday morning
Realtor requesting $600 attorney fee: Tuesday night

This is really bothering me because people lock up properties deals for 60 – 120 before closing and when they don’t close, they still get their earnest money back. I tied up the property for 2.5 days (Saturday, Sunday and Monday Afternoon) or 1 business day (Monday) and still I am expected to pay $600!!

This attorney is from a small law firm (just 1 or 2 people lawyers).

I don't understand why they are giving me such hard time about this. Before my acceptance of the counter offer, he said that he is expecting couple of more offer so I have to accept immediately and he will accept other offers as a backup only but now, he is trying to just get to me.

I have contacted my attorney but I wanted to know anyone has been in this situation before.

Any suggestions are greatly appreciated.

I was going to start a new thread about getting a license but then I noticed that there are some recent threads on it.

I have been thinking about getting realtor license. I am interested in doing rent-to-own (Lease Options). I can get more deals from MLS listings (by offering rent to own option deal with the listing agent) that have not sold for a long time. For short sales, I can see an advantage being a realtor; increased profit margins. For buying REO properties also I see some advantages. I am interested in investing in non-performing notes.

For most of the lease option deals, homeowners have the offer doc reviewed by attorney and one of them pointed out to owner that I do not have a license. The owner called me and said that his attorney was not comfortable about me not having a license. The attorney may be wrong but the fact is that owner will listen to the attorney. Some of the owners have asked if I have a license. I am Indian guy and working with homeowners in Wisconsin; they are not convinced about my background. Believe it or not, some homeowners have asked about my immigration status and if I am green card holder or a US citizen!!!

To me having realtor license can build credibility.

Is there any disadvantage of having a license for the things that I am trying to do?

Any suggestions are greatly appreciated!

Thanks

Simon Campbell, Thanks for the response. I need to work on the Paydex score...

Yeah, too many complaints on Peter Conti and Jerry Norton... I was impressed by his books on Amazon – “Commercial RE for Dummies” and other one on Pre-foreclosure investing. I also received some good free books (which are still selling on Amazon.com) for joining his mailing lists few years back. But, there are way too many complaints on these training programs. I decided not to join any of his training programs. I should unsubscribe from mailing list.

My company has a Dun and Bradstreet number. I spoke to their customer service about establishing a Paydex score. She mentioned pretty much what I have read about this on many websites. We have to establish valid purchases from companies that report to D&B.

I spent money on postcards, attorneys and some other supplies. She mentioned she can request a report from these companies but I have to purchase some D&B package for $799 plus a setup fee of $149. After this, D&B will establish a Paydex. She said that if I signed up today, she can waive the setup fee of $149.

I thought it was possible to establish and build paydex for free. Is that correct? Has anyone here (or someone you know) established paydex for free??

Any suggestions are greatly appreciated.

Thanks

Jason S., I did not contact them about it, so I have no info on down payment.

Brad Zerhusen, Thanks for the info....

I have heard about purchasing properties that scheduled for Sheriff Sale using subject-to strategy. What if taxes owed are huge? What kind of foreclosure properties are ideal for purchase by subject–to from the owner?

I also have lists of Homeowner (they are available on IRS website) who owe huge taxes (more than 50K). They may not on a tax sale but clearly, these homeowners are motivated sellers. What would be good strategy to purchase their property? How do we deal with huge taxes owed by the previous owner??

Any suggestions are greatly appreciated.

Thanks

I knew Bp would have discussed Ecnonohomes.com already. I received an email about today about 5-year investor financing. I followed the link to their website and here's what is posted:

New Investor Financing Details!

Features:
• No credit check
• Up to a 5-year term
• Close as quickly as 48 hours
• Minimum loan amount as low as $5,000
• No income verification
• Flexible payment options
• No pre-payment penalty
• Approval not subject to property condition
• Fixed rate

Has anyone purchased any property with or without their financing from them??

Thanks

Has anyone (or someone you know) here obtained unsecured business credit based on their personal credit? Most companies are NOT charging a fee but they are charging a success fee which is reasonable because I don't have to pay them if they don't obtain the funding... Is there anything else I need to know or find out about these business credit companies??

I would like to know your experience.

I use AnnualCreditReport. It is free once a year.

Michael Pilarski, I use myFICO because I was able to get reports from multiple companies in one for if I sign up for their credit watch alter system. I get to use credit watch alert system 10 days for free. I heard good things about the their credit alert system.