All Forum Posts by: Martha Daisley

Hi i have a situation where i need to use locksmith services but im not the owner of the property yet. im the buyer in the middle of doing a short sale on it. The bank needs access to the property in order to do the appraisel. The owner abandoned the property years ago.  He gave me the go ahead to change the locks and let the bank in but doesnt want to get too involved with anything or be bothered if he can help it. ive never had to do this before so how does this work? Do i just call the locksmith and i tell him the owner gave permission?

Hi everyone

I have a question. I have a property that i had in a land trust for asset protection but recently (in march 2020) i took it out of the trust so that i could do a cash out refi. To my surprise, ive had two lenders tell me they cant do the cashout refi until the property has been in my name 6 months! This is so rediculous to me. Is this an industry rule? i looked on the fannie mae website and it said you can do the cashout as long as you were beneficiary of the trust which i was. But these lenders are saying no, the property has to be in my name for 6 months. Does anyone know if this is a standard rule for all lenders or were these two lenders just being difficult?

Thanks

Martha
 

thanks for your reply @Stephen David Smith Jr!

Yes, my ideal scenario would be to stay on the policy as the insured and just add the trust as additional insured. Doing it this way seems to be more expensive though, from what i see in the quotes im getting.

One question, you said the trust could cause issues in the title insurance. would that be if you are selling the property? My attorney said we would take the property out of the trust if selling it.

By the way, your title says contracting developer. Do you do rehab projects ?

thanks

martha

@Marc Winter

I did find a couple of agents that got me some quotes from insurance companies that would do it, but everything is much more expensive than what i pay now. :(

@Jennifer Gligoric

Yes, they would be insuring a property that is owned by a land trust. But sometimes they wont do the liability piece if you list the trust as the primary insured so the preferred way to go is to have yourself listed as the primary insured and add the trust as an additional insured. That way you dont have to go take out a separate liability policy.

Martha

@Ian yeah im really beginning to dislike peoplestrust.

Can you send me your contact info Ian? im gathering quotes now from other carriers. I want to be listed as the insured with the trust listed as an additional insured. That would be my preferred way to go.

thanks

martha

Hi everyone

I recently added a rental property to a land trust under the advice of my attorney. Well imagine my surprise (and irritation) when the insurance company said it was not within their underwriting guidelines to insure the trust.  And in addition, since i had already put the property in the landtrust and changed the deed , im going to lose my coverage. My attorney said they had never heard of this and that in their experience its never been a problem to add a land trust as an additional insured .  My insurance company is Peoplestrust.  Has anyone else had this issue?  Is it just that peoplestrust sucks or is this a common issue?  Im looking for recommendations for insurance companies that are ok with adding land trusts as additional insureds. Im in Florida. Any recommendations would be appreciated. thanks!

Martha

Good point @Nathan G.!

Thanks for your input everyone

@kenny Dahill 

Yes, you have a point about asking but "asking" would essentially be me saying to them, the rent goes up 30% next month, can you pay that?  If you can, you can stay, if not, then you have to move out. I was trying to be a little more considerate . Realistically, 99% of the time people would not be ok with that kind of huge increase.  In Orlando properties rent right away so theres not much of a risk of it being vacant too long.

@Wendy

yes, new credit checks and employment income checks would be a good idea if they were to agree to the higher rent. Theres a higher chance of default with the higher amount. 

ok, thanks for your input everyone!