All Forum Posts by: Barry Ratliff

@Bob E. Thx for the link but I have read over that and guides day seller/lender has to be willing to forego 10% equity. Unless I read it wrong. 

Send me a link to something online you are using to attract leads or what is your tools and strategy you are using? I am very creative.

@Wayne Brooks 

Reference to your question regarding docs, I had a lender provide me with a GFE, & pre-qualification, Title company for a HUD 1 closing statement,. had Texas docs drawn up for a real estate lien note, deed of trust and a purchase contract. I'm sure I missed something with all thats needed now adays.

Can a 531 fico with a recent 30 day late on the only active acct get a mortgage? She paid off the the other 2 this year.

Thx guys for the interesting but informative comments to a complicated matter. The buyer credit is now worse than what it was at time in beginning as she missed a credit card payment laat month causing her score to go lower than minimum the lender can use. Now I face this dilemma of what to do. She has paid on time for 3 years, so i really dont think any foreclosure is warranted. This is first time having this situation so I turn to BP to grab some early ideas before going to attorney if needed. 

I hold the note. Borrower cant refi cause of credit.  What are options to renew, foreclose or deed in lieu of foreclosure, etc?

I'm in Temple/Belton/Killeen area. Been flipping a few homes over the years. Lots of stability with adequate competition but the inventory is drying up. Have to be really fast to to analyze profitability and submit offers. Margins are lower now but sometimes you can find a diamond. Last couple I did was 13k and 28k net profit on sale priced homes @ 62k and 115k respectfully. I am also a real estate broker, ex home builder and developer so I know my area well. 

I agree with you researching out lying markets. Austin area just to competitive and over valued. If you have the funds and know of building lots, building and reselling new construction is way to go.

@Dion DePaoli

Dion you are correct. Mine were commercial loans. I was not aware of consumer loans for new construction other than construction to perm or one time close. When he was referring to a spec home I assumed it was a commercial type ARM loan. But to answer @Loren Whitney question to locking in, unless there is a float down option if rates go lower after u lock I'd just let it ride. I assume this is an interest only loan. Rates are gonna stay consistently low for awhile.

@Loren Whitney

Maybe I'm missing something or its just banks I used in Texas, but rates were prime plus 1 or 2%, never a fixed for a term. I've had them change monthly where my interest carry was low and when project completed were higher and vice versa. I've built about 400 homes up until 2007 so I have a little experience in the subject.

@Kevin Cherwinski

Hey Kevin, Barry Ratliff here. I am a long time broker in your area and coach want to be investors among other cash flow strategies. Greg Fend is correct in all his comments about the our local market. You can be profitable on flips but you just have to wait a little longer. However I would suggest an untapped niche or a common price of home in fast selling area. Margins might less than you want but you get your cash back to do another.

I would like to hear from you what you know and strategies to implement your plan.

@Timothy Edwards

Timothy, I am a long time broker, investor, and investor coach. I am assuming you have a buyers agency agreement with your SA realtor and it says she represents you in all of Texas. If you want to have her to represent you outside her mls area, I would recommend researching properties in the other areas thru free mls in each area and focus on working with the listing agent of a property you may want to purchase. That way she can contact the agent, arrange how to show the property and write the offer. Its a little tough to do that research but most consumers do this already.

Regarding working with an outside agent, you must get permission with your existing agent to contact other agents so she is in the loop and inform the other agents of your proposal to participate. If they don't want to participate in the profits, give them the listing once you get possession or when its ready to market.

For me, I would do whatever to create a deal, relationship and profit from it. I am a Austin area MLS member but work mostly the Temple/Killeen market place. I have an agent in Austin MLS and he is an investor/realtor as well so he understands what type of property to look for. The problem we have been having is the multiple offers on all possible flip properties. Investors are paying way over asking price. More of a speculative type buyers. Hope this helps and good luck to you.

Barry