All Forum Posts by: Paul Chapey

The best advice I can give is to look at Ian Ippolito's posts above and become a member of his Crowd Funding Real Estate Review. Spend a lot of time on that site, and I think you'll learn a lot about how to invest as an accredited investor. 

Membership is free, and you'll find the wealth of information to be extraordinary.

Good luck.

Foremost, American Modern Home and Lloyd"s of London would be the three carriers you should look at.

@Chris Seveney Thanks for clarifying. Since Tim Simmons and I are both from California, that was the state I should have mentioned. On the Chapter 7 issue, if the debtor reaffirms the debt, then a deficiency judgment on a 2nd-position note would be allowed.

@Tim S. You wrote: "
"As far as getting wiped out, if you are buying a 2nd position note, then yes you can get wiped out. Usually through BK7 if there is no equity. Or, the first note holder forecloses, say the house is worth $100k, they owe $120k on the first and $20k on the 2nd. It sells at auction for $90k, that would go to the first, nothing left over for the 2nd."

Slight tweak here. The 2nd position is not "wiped out." Technically, it is 'wiped off." The debt is wiped off in that it is no longer secured by the property, that is, their security interest is lost. They become sold-off junior lienholders. The 2nd note holder can still sue for the outstanding balance of the loan. Good luck with that...but a deficiency judgment is still possible.

Did he spend much time explaining the risk side of his deals?

@Tom Murphy

I'll try to be there in October, but if not, then definitely in November. I live in Mooresville but lived most of my life in Encinitas and Canyon Lake. I have extensive So. Cal. flipping experience but very limited NC experience.

I moved from So Cal to Mooresville in 2015. I was here for  less than a month, a realtor presented a great flipping opportunity in Concord. I bought it before even buying our personal home and turned it in about six months. That was a little slower than what I was used to in Riverside County, but it was a very profitable flip.

I haven't done another since. I put in a little effort into looking for a couple of rentals but never pulled the trigger. I'm just keeping my So Cal properties. When I was looking for rentals in the Charlotte area, I decided I only wanted tract homes built on slabs that are on sewers and city water. Raised foundations, septic systems and wells can present big-dollar headaches for landlords.

Best of luck, and I think you'll like Mooresville a lot.

Old copywriter's tactic: Add a P.S. that states an important benefit, such as, "I'll pay cash and no inspection is required!" My point is that many people won't read the whole letter but do read a P.S.

When I moved from California to North Carolina, it was an eye opener to learn that a GC license wasn't required for work under $30,000. In California, all trades are required to be licensed for any work greater than $500.

Imagine hiring an unlicensed roofing contractor? It's done every day in N.C.

Many trades guys in North Carolina refer to themselves as being licensed. Further questioning reveals they are referring to business licenses.

I'm not a big fan of government oversight. Maybe $30K is too lenient, and $500 is too restricting.

@Mark DiPietro I seldom have to communicate with them, so I just call and speak with anyone. I tried to post their phone number here but got a prohibited warning. It's easily available.