All Forum Posts by: Kaleb R.

@KC Pake Thank you KC for taking the time to break down for me. You explained the scenario I provided in a way that makes total sense. You also cleared up my confusion with the due on sale clause. Again thank you for your time.

Happy holidays to you and your family.

God Bless

Hello Everyone,

I hope everyone is well this morning. I'm taking an online class and the subject today is Owner financing. I have a question in regards to carrying back a second mortgage when owner financing. The material gave an example of when the buyer down the road defaults on the senior mortgage, would the seller be able to foreclose. The instructor states you should not foreclose because of the time involved but instead buy back the property just for the LTV of their bank loan, 80%, and you should resell it to a new buyer. The buyer could only get approved for 80% LTV of the property and the seller agrees to finance the remaining 20%. From my understanding there is the Due on Sale Clause so which means the senior mortgage would have been already paid off, so how would the buyer be behind on the senior mortgage in the first place? I hope I worded this question so that it makes sense. Please any information would be appreciated. I'm just now taking the steps to become an educated investor.

Thank you Mike for the simple explanation 

Thank you Matt for breaking that down for me

I’m taking an online class and learned that when you’re performing your due diligence you should waive any applicable contingencies in the PSA. Does this mean after performing appraisal, inspection, etc… everything checks out you waive the contingencies? The class is self paced and not moderated so I’m unable to ask the instructor.. your help is appreciated 

@Kerry Noble Jr

Thank you for the recommendation. I would be going through my local community college, but I just found a carpentry and electrical school for six months that is tuition free. I think it makes more sense to go the free route for now. I’ll eventually attend plumbing classes that the community college offers.

Hello Everyone,

I would like your advice on if going to residential construction school for $1,500 that last six months is a good investment.. My goal is to become self sufficient so I can save money and avoid being scammed by contractors when it’s time to rehab my next property. If anyone thinks my time and money would be better spent doing something else, I would love to hear your suggestions.

Thank you

Hello Everyone I hope all is well… I have a question that I hope someone can answer. I was listening to the bigger pockets podcast today and the guest said she was able to pull out 275% of her money on a cash out refinance. How is this possible when the most a bank will give you 80% LTV. I'm not understanding this, can someone please explain this to me?

Thank you