All Forum Posts by: Greg H.

If this is something you want to pursue I highly suggest doing some of the work early on.  Today I do not participate but at the beginning I did a bunch without much actual knowledge.  Fast forward 30 years, when a contractor comes to me with an issue at least we can have an intelligent conversation because I was in the trenches and I can help solve problems.  Problem solving is one of the most if not the most important qualities in this business

I have done several over the years that fall into 2 distinct categories:

-On own land with permanent foundation that have never been moved therefore eligible to be sold via FHA financing.

-Cheap MH on land that can be resold quickly for cash 

Almost all have been in rural areas of Texas or Louisiana 

Quote from @Adam Bartomeo:

In the past we would follow @Greg H. but in todays market we would not. Today, we hold the tenants 100% accountable for their mistakes. No one forced her to sign the lease, she did it of her own free accord. In our lease we have a lease break fee that states that the tenant can cancel at any time with our without notice for a fee of double rent. We would not allow the tenant out of the lease without some sort of penalty.

My answer was based on Texas law and my 30+ years of experience in Texas.  If a dispute arose, the case would be heard at the JP level by a judge who is elected and is part of the community.  In this case you would lose every time as like I said there are no damages at this moment.  My guide is to do what I would be prepared to defend in court

Have you tried NREIG as they are a nationwide company?  I have all my properties with them except those in Louisiana where they do not do business

In this case you have plenty of time to secure a replacement by July 1st.  I would secure in writing the desire to terminate and put the property back on the market.  Once I secured a new tenant I would refund the deposit and there are no damages to you at this point

HUD has no requirements as far as the number of houses one owns when purchasing a HUD home. The requirement is that you must intend to occupy for 12 months and can only purchase one HUD home as an owner occupant every 2 years

Hud does not allow their contracts to be assigned.  The proof of funds must match the buyer

If a HUD is purchased during the extended period, there are no requirements to hold the property for any amount of time. Investors are not permitted to bid during the exclusive period which requires one to occupy for 12 months

Can you double close? Possibly. However HUD will not cooperate in any way

@Gil Levy

I believe the key word in @Ronald Rohde statement was to "plan" to foreclose not actually foreclose.  Curious as to where you get the value of $230,000 as it is currently listed for $215,000?  The total rent of $2300 is impressive for the area especially considering the property does not have central air.  My guess as someone who owns a dozen or so properties in the area is that rent will be tough to replicate moving forward.  Are you the owner of the property as it appears that it has not changed hands sine 2018 with a different owner listed currently?

Texas law makes it difficult and really darn near impossible to collect a judgement.  In Texas:

-Wages cannot be garnished for a civil judgement

-One's Homestead AND even the sale of one's homestead is exempt.  I can own and even sell my homestead that I own free and clear and a creditor cannot touch it or the proceeds

-The list of additional exempt property is also extensive.  You can't touch 2 guns, 12 cattle, bible, 1 car, furniture and on and one

I have collected one in 30+ years and that is only because he was in the military and had a deposit waiver so he need me to sign off before he cleared post

Just to clarify a few things

1. The only way to accurately determine whether a HUD property is available is via hudhomestore.gov

3. A buyer must use an agent with an active NAID # to bid on any HUD home on hudhomestore

4.  All bids on a hudhomestore property must be done through the hudhomestore portal

5. The only consideration to HUD in considering a bid in the extended period is the NET to HUD. You net HUD $1 more than the next bidder you win. HUD give no preference to cash over financing. In the exclusive period every thing is the same except that only owner occupant bids are considered.

7. Many HUD properties do not allow any utilities to be turned on for inspections due to conditions found by the FSM during the property condition inspection. HUD does not allow any inspection contingency