All Forum Posts by: Pat Healey

Thanks for your feedback everyone!  I'll definitely let you know what (if anything) happens.

Will try to make this as short as possible.  I received a call from a motivated seller and here is the scenario he described.  He got a divorce and filed bankruptcy two years ago.  The property was a rental at the time of bankruptcy and since it was rented the seller continued to make the mortgage payments.  About four months ago the renters left in the middle of the night so he stopped making payments.  Someone also told him that since he filed bankruptcy he should just let the house go.  He has been getting correspondence from the bank encouraging him to get the payments caught up, and, they have also told him they would agree to a short sale.  We are in Texas, which is horrible for short sales ( a lot of realtors won't even handle them).  He is going to call the bank on Tuesday to find out how much equity he has but he definitely does not want to come out of pocket.

This would potentially be my first property (yes, total newbie) and this sounds very messy.  My guess is it won't go anywhere, but would like to use this as a learning opportunity.

What options do I have available (i.e. does it have to be a short sale)?  What should I attempt to do next?  I have asked him to provide me with a contact person from the bank and the equity amount when he gets it. 

Whew!  What a mess!

Wow!!  That looks awesome!  I have been enjoying seeing your before's and afters and REALLY appreciate all the product SKUs.

Thanks Andrew, that's what I was beginning to think.  Who do you direct mail to?

Yea!  Thank you so much Hattie!  I have already signed up and plan on going to the meeting on Saturday morning.  Can't wait to meet other local investors!

Thanks Joe!  This looks like exactly what I need!

Thank you Hattie! Since you are local to me, do you know of any local REI meetings in our area?

Wow!  This house looks awesome!

Thank you Ben, this does help.  A different way of having the numbers make sense.

My husband and I are newbies, but have been looking for our first flip property. Having done a lot of reading (including J Scott's book) the 70% rule has been drummed into us. And, since we will be starting out with hard money, I know the deal has to fit into that 70% rule criteria. I have been scouring the usual places (wholesalers, foreclosures, Craigslist, etc...) and working on SEO for lead generation. When I do the math (70%) on possible properties, the purchase price comes out way low, to the point that I can't see anyone accepting it as an offer. The other issue I am having is the ARV. I go to Zillow to at least get a ballpark and then get comps from my realtor. Can anyone share how you go about finding a property and then deciding to make an offer? I should also mention we live in the DFW area and our market is very strong. We are raring to go, but feel a little discouraged at this point. I have a feeling I may not be correctly approaching my search.