All Forum Posts by: Matthew J. T.

Marty,

Yes that's basically it, pay the seller what he wants , and take over the mortgage , however I am looking to wholesale this deal, so I've been reading about subject to and mortgage assignments and I am wondering how they diff.

I have this situation where I may be doing either, because that is what my buyer wants and I want to make sure I do it legally and right. I've been learning about subject to deals, and also mortgage assignments but how do they differ? What's your opinion on either of these two methods anyone familiar?

I am following up on this. I have a deal that an investor is interested, it's a higher end house. The seller is having financial problems, and has equity. I can get it under contract for 445000, and wholesale for 500,000 house is easily worth 800-900k in the area, in good condition. Now here is my question, should I.

1. Put it under contract and "Assign"
2. Put it under contract a double close.
3. Be used as a bird-dog and refer the property to somebody else for a fee.

Here is what I am stumped on. A double close as most would say , is going to cost me 2% transactional funding probably, and ontop of that I have to pay a set of closing costs, meaning I am left with no profit, just for "Hiding my fee" . And number 1 if I assign it, everybody knows my fee, meaning the deal can fall apart.. And three. there is a guy know, that knows exactly what he wants to do , he is an experianced investor, in all shapes of investing in real estate. Basically he wants to give the seller 50k (which is the same difference the seller would walk away with after closing anyway) catch up on the payments, and take over the mortgage,I believe thats referred as a sub2 type of deal. Anyways, this guy wants to pay me a "Bird dog fee" or a "Consultant fee" I am a little unsure how to go about this deal, because consulting and birddog fee are basically getting paid for referral which I don't think is legal, and I don't want to end up in any trouble. I'm begining to think putting it under contract and assigning it is MUCH more smart and less, risk, however it's finding the buyer for this higher end type of house. Anybody have any input , please?

Matt

I live in a non disclosure state, I don't use anybody or mooch off anybody, and assuming that is flat out silly. I work with realtors who rehab as well, so basically if they give me comps, in exchange for that is I let them be the first to know about my wholesale deals, to me that is fair, and I don't consider that mooching.

Moochers like Matt seems to be? LOL That That made me laugh, listen, nobody is asking you for comps, or for your help, nor is anybody asking for the world here either. And if it is seriously that hard for you, guess what? Nobody will need you, or want you, and you are only making it harder for yourself, because it is a people business. There are thousands of realtors willing to provide comps! It's not that big of a deal! So people like you aren't needed , because there IS people willing to working with others without it being a pain.

How soon would is it recommended to start an LLC? I wouldn't want to be wholesaling a lot of houses and come tax time I owe uncle sam half of what I earned. I've read you want to avoid dealer status at all costs, so with that being said, when is the best time to start LLC? By the way I plan on consulting with a CPA and Attorney, just would like someones input.

I look for a Realtor that can provide me comps, hassle free, and quickly. I find it frustrating at times working with them, even though I work with a few good ones, it's just really a big headache being in a Non-Disclosure state having to RELY on realtors, in order to get comps and reliable data that can take time. I soon plan on moving to a regular state that is a disclosure state that way I don't have to rely on realtors for comps. I expect Realtors to be friendly, professional, and comfortable providing with comps, that is there job, if they don't like it they shouldn't have gotten licensed. There are a few good realtors, you just have to find them, it's still a pain non the less relying on them being in a non-disclosure state.

Any news or luck on the BP iPhone/smartphone app?

Thanks guys, I'll see what I can do, and let you all know what happens.

stinson, what is your e-mail so we can privately discuss? it's not letting me PM you...