All Forum Posts by: Jay Miller

I had a similar situation as you a few years ago. No bank would do the cash out refi for me either. What I have had success doing is purchasing a more expensive property and using one paid off property as collateral for the down payment. The bank I have been using will finance up to 80% of the purchase price and I can use up to 80% of appraised value on the pledged property. This works out to be 100% financing on the new deal. I do have to pay closing costs out of pocket. I use my own funds to rehab if necessary. I can get the pledged property released one I pay back the 20% of the original purchase price.

This is a small local bank and I go through the commercial loan department.

Might be worth a try. Good Luck.

I am not sure how your county works but I have purchased a number of properties with back taxes. I go to the county treasures office and set up a payment plan for the taxes and then owner finance the purchase price with the seller. This works out to 100% financing. My county does not even charge interest on the past due taxes once the payment plan is set up and will stretch the payments out for up to five years. It might be worth a try.

I really did not think about the April fools thing. This was no joke unless the title company was pulling one on me.

No this guy was a complete idiot.

This is more of a rant than anything.

I went to a closing today to purchase a fine gem and the seller would not sign off on his docs due to the $50 escrow fee and a $50 deed preparation fee. He agreed to both of these charges in the purchase agreement but then felt the title company was out of line to charge so much.

The closer agreed to waive the $50 escrow fee just to get this guy out of the office. But then he started to cry over the county conveyance fee. Of course there is nothing the closer could do on that one. So everything seemed to be going in the right direction and then the seller said there is no way that I am going to pay $50 for an attorney to create a deed for me. At this point I was just going to pay the deed prep fee just to get this thing done. I was actually kind of comical to watch. Then the closer said to the seller if you don't want to pay the fee then go type up your own deed. At that point I was thinking I am not going to pay the deed prep fee for this idiot I will just let him go type up a deed himself. The seller agreed to walk away from the table and spend the weekend typing up his own deed and return with it on Monday.

This was a cash closing and should have taken a few minutes to complete. We were in there for over an hour. What a joke. The seller was getting a good chunk of money as he has the property paid off. If I didn't think this was such a good deal for me I would have just told him to shove off. What a waste of time. I can't believe that in this market that someone would risk a deal over $100 after all the seller got his full asking price.

Then the seller had the nerve to call me up after the closing and tell me how stupid I was to use a title company to close the transaction. He said that it is so easy to just do it yourself. I explained to him that I know how to do it myself but would prefer to use the title company so I know that everything is done correctly and I have title insurance just in case it was not.

I really did not think this deal was going to go through. Hopefully we can get this done on Monday.

Sorry for the rant but I just had to vent.

:wowo:

You could put a cloud on the title by filing a Notice or Interest at the County Recorders Office. When the seller need to get your lien released to sell to the new party try to get some money out of the deal to release your lien.

I had a similar situation this month and did exactly the above. I ended up getting the property.

Good Luck.

Caulk works well for small cracks. Spray foam is better if it is a larger crack or gap. Once dried you can trim it and paint to match.

I agree with Bryan's numbers as well but I would be leaning towards the 10% end.

I have evicted several tenants multiple times. It they can come up with the money they owe plus court costs before the writ is executed by the bailiff they can stay.

At this point most times the tenant is behind two months. If I toss them out I will loose an additional month rent for cleanup and marketing plus court cost. By keeping them in place I gain 1 additional month rent plus court costs. Yes I may be able to recoup the lost rent via garnishments but I would rather have it now with no clean out and re marketing.

Run the numbers for your situation and see if it makes sense to keep them. You can always file again if it does not work out.

http://www.cnbc.com/id/15840232?video=3000006596&play=1

http://www.cnbc.com/id/15840232?video=3000007154&play=1

http://www.cnbc.com/id/15840232?video=3000007142&play=1

Robin,
If I were to do this type of deal again it would be on an individual case bases. I would however want to see a background in property management and enough money in the deal from the lessee/purchaser to at lease make it hurt if the deal did not work out for them.
I would also like to see a written plan as to how the lessee/purchaser would manage, improve, and general operating ideas that would improve the the property and increase the NOI and value so the lessee/purchaser could eventually finance the property and purchase the building outright at some point in time.
I think the concept of a master lease on an apartment building is a great way to get started if the numbers work out for both parties. I would do it again if the right deal came along.
I wish you well on your search for one that will work for you.