All Forum Posts by: Jay Hinrichs

@Bill Gulley

I guess we settled that one:)

@AdaPia DErrico in the summer for flyfishing

@David Krulac

the only tax cert sales i was at was in MS and your right you would need an army to do DD... the sales I sat through also there was a cadre of what i would call locals and the cryer favored them big time. and each cert was sold in 5 to 10 seconds.

At tax deed auctions on the west coast ( prior to them going to bid for assets) the sale took place at the county courthouse and there was usually 100 plus people in the audiance with about 10 to 15 true buyers. and the format was auction style and there would be made 200 properties that would take all day to sell. you have to give them a deposit to get a bidders paddle then you had to pay for what you bought before you left if you did not you lose the deposit ( 10k ) now that its on line its like many things all sorts of folks all over the world bidding and there are not the great deals like we used to get

@?david

in our neck of the woods its the opposite the taxing authority must notify by certified mail anyone who has a recorded interest in the property.. which is why very few properties actually go to sale. and very very few with mortgages because the lender gets notified of the sale then can bring it current

@Brian Bower be very careful buying out of state its a different world than what we expereince here especially values or precieved values

@Joseph R. david are your sales tax certificates?

on the west coast which is were I am and were I have bought many at auction we are tax deed. and the tax sale does wipe out all liens expect IRS. same as buying a 1st position mortgage at foreclosure.. your correct every county has different bidding procedures as well..

bid for assets has taken over many of the tax deed sales . so its done on line in many counties in CA now

buying a tax cert like in AZ is just the first step in a long journey to actually gain title to the property. and i do believe that if you quiet title the mortgage lenders and other liens will be wiped out as well.

@AdaPia DErrico I bought a place in Kelowna right up from the airport.. Love that part of the world.. it sure has grown.. i bought in 2000.

@Rodney Walker @Bryan Hancock

I have had success with raising capital from CF sources here on the west coast. from what I have seen they are looking at the operator as hard as the asset if not harder... If you have a going concern can show good track record that would be critical in my mind.

We have done I think 5 deals so far all were debt plays and all were small by RE standards. However they funded each deal within a weeks time and some in one day. So I liked that aspect.

I personally think the CF sites that choose wisely at the start up here and have track record and success are going to do very well.

on the Admin side for the crowdfunder if will really come down to being very high tech there is lots of work Admin wise when you have a bunch of small investors in on one deal..

So far I like it

@Will Barnard

@Bill Gulley

@Karen Margrave

Will,

what your describing is exactly what 95% of HML do in CA. and its perfectly legal to do.. YOur Fractionalizing the Beneficial interest in the Deed of Trust. And you can bring new investors in any time you wish by simply doing an assignment of DT as to the % ownership of the investor your paying off and the new one your bringing in.

In most states this is not legal in Mortgages and DTs in Oregon were I am at it is a huge no no and one would need to step into the reg D arena or there is also a state exemption called a RE paper offering that is specific to Oregon and Oregon residents. ( I have done one of those)

IN CA the reality is your talking about much bigger dollars in the major metro areas for real estate and loans. compared to much of the middle of the country.

So it would be very difficult for CA investors to use the one investor one note process. When your deals are 500 to 1mil that tends to cut the wheat from the caff and investor are much more comfortable putting 50k in to 10 deals.

Aging myself but when I ran my HML company in Oakland back in the late 80's to 90's we had about 300 investors and rarely would one take a whole beneficial interest in a loan.. our average loans in the SF bay area even back then were pushing 300 to 500k so every loan we ever did had multiple benes. And of course we ran this quite legally under my CA RE brokers license. Just like your doing today. .What Will is doing is perfectly legal as long as a broker arranges the deal and use's the disclosure forms provided by the DRE to the investors. YOu can find them right on line.

I keep my CA brokers license active for the few deals I do in CA. it comes in handy at times.

Karen no worries doing multi bene just make sure a RE broker does your disclosures for you.

@Joseph R.

Not absolutely sure in your state, however in most states I work in. If you buy a TAX DEED it does extinguish everything accept IRS tax liens ( IRS has a redemption period however rarely will they step in)

In TAX certificate states. I would think for you to take ownership you would need to Quiet title. and the act of quieting title will extinguish all Liens and encumbrances..

Jon is correct as well first in line is first in time.. or we used to call it a race to the recorders office