All Forum Posts by: Account Closed

 An aba disclosure must be made, please read through respa laws and regulations, it is under hud, but I or we Really don't know the actual facts, just a possibility 

It depends on your market.  In a market like Denver where you're getting an advantage buying off market when the house would do well as a retail sale then you could definitely offer more as a premium for avoiding a bidding war.  In a slower market, or a scenario where the property will face challenges in the retail market (needs too much work, price is too high for rehabbers, etc) then follow what K. Marie says above and use convenience rather than price to make your offer strong.

@Lisa Kohl thanks for your insight. I've heard that title companies would engage in the negotiation process is that accurate?

@Brent Coombs these individuals who are going through foreclosures will have their credit wrecked and working out a short sale will be less of a hit on their credit score. The banks take a big hit on having to pay legal proceedings and then having to acquire the home and pay to maintain them. This is sometimes the best route for all parties. Also,  I'm certain the neighbors would prefer someone acquire the home and maintain it as opposed to having it sit dormant and lower property values.

Hi Kristine, 

It's funny you should ask.  I just gave a webinar on exactly how I accomplish this. Here's the recording: https://www.youtube.com/watch?v=nHZHhsvDdy4

To directly answer your question, it all occurs within the 28 hours between tenants (95% of the time :)

To your point, contractors aren't always available. But I've been able to build a decent "little black book" of contractors so that I have multiple (reliable) options. Sometimes I'll go 4 or 5 contractors down the list until I can find one that fits into the schedule. I'm also fairly handy, and can do a lot of repairs myself (if it came to that). 

The trick with carpet is to order it early, and get on the installer's schedule. Have them come measure weeks or months in advance. Give proper notice to the current tenants. They usually don't care because they've mentally checked out anyway. But even if there is a last minute delay for the install, I am honest with the tenants moving in, and either offer to credit back a day or two, or just tell them not to put their stuff on the area to be carpeted for a day if the have to move in immediately.  It's not pretty, but it works if it has too. They usually don't mind a day of disorder (after all they are moving), especially when I tell them that they are getting NEW carpet. 

Other times, outgoing tenants will leave multiple days early, allow additional time for repairs. They are usually fine with doing massive repairs after they move out but while still paying on a few days of rent because they want to look favorable while I process their security deposit.  Obviously, they still have access if they want it. Open communication makes for some great turnover opportunities. 

I hope that helps. The video has a lot more info regarding my entire process. 

Got it. This is not at the stage of getting a title company involved. How can I do that without being in a contract? I've purchased in the past but dealing with a title company has always been when I was under contract and going through with the sale. I have no experience with short sales, or potential short sales (which I believe this is since it's at the beginning of the foreclosure stage).

Thank you K.

If they do owe a lot (i.e. $151, or even $140) this won't be a good deal as the rent in this area will not cover all the operating expenses including P&I.

In crafting my letter, am I asking for a title report from the remaining owner other than what they owe and if they are open to a short sale? 

Thanks

@Wayne Brooks at this point knowing that the house is being foreclosed. Can I send a letter to the owner to find out what the balance is to see if doing a short sale would work in acquiring the property?