All Forum Posts by: Richard C.

@Richard C. If you don't pay when they accelerate the note, what happens? Do they give you more time to find a buyer, or do they begin foreclosure? My understanding is that your payment is due and if you cannot pay the note off, the bank can pursue every avenue they have available for any other delinquent property.

If that is not how it works, please explain what the process looks like. Does it become like a short sale? If you can't refinance it right away or pay cash what exit strategies exist outside of hoping to sell it to someone else within 30 days?

I met a guy back in March or April that had transferred title to his LLC 2 years ago. He never was late, never missed a payment. His bank sent a letter calling the note due. He was able to work with them and they allowed him 30 days to have it back in his name. I asked FirstBank about it and they said they would never allow me 30 days to fix it, it would just be called due.

RUMOR ALERT: Now that property values are going up, I hear banks are more willing to research and call notes due. They can then reclaim the property (likely in good condition) and sell at higher values.

'Frankly Im surprised there is any real discussion about this. Wells Fargo, BofA, Chase, and every major bank has the same due on sale clause. Its standard language in every mortgage. Secondly you took advice from as you put it, a "guru". Thirdly, your attorney charged you probably a lot of money to set up this LLC that you are now realizing may be useless. He then seems mystified that a due on sale clause was in your mortgage? Oh and now Im guessing he will be assisting you with the purchase of the umbrella policy? Walk away from the attorney. Buy an umbrella policy. Its like $300/year. Shut down the LLC. Lesson learned. Stop reading anything that comes from a "guru". Go make some money. Stop spending it. '

Congrats. Having extolled the virtues of the community, the first cynical blowhard rears his ugly head.

As a point of fact the lawyer had the integrity to return ALL of his fee, thanks very much. Screwed that one up, didn’t you?

As for the 'guru', what does that have to do with the point about the LLC other than the fact we arrived at that situation via an earlier proposal (mentioned as an aside) from the individual on the matter of trusts? The LLC advice came from here - and the lawyer - so you might as well question why people are on this forum seeking advice in the first place from fellow investors and self-styled gurus. Of course, the irony of your questioning the advice of the 'expert', while ladling out your own deftly delivered diatribe probably eludes you - having someone ghost write a book for you soon, are you?

Further, I suggest you learn to read - I quite clearly stated that my wife has been professionally engaged as a writer (on numerous occasions as a matter of fact) by this very well known individual and personally sought out his advice on the matter of protecting the RE assets, so by all means enthrall us with your acumen vis-a-vis your brilliant extrapolation to the effect we're reading his books?

As for the umbrella policy - really? Who would have thought that such a thing existed? The point, oh greatest of real estate sages, is that we still wanted to find a way to isolate the properties within a legal structure that would further insulate the growing portfolio of RE assets, a not unreasonable aim in a situation where a three to five million dollar blanket policy could prove small change in the right circumstances, especially here in the USA with its bevy of piranha lawyers waiting for any given opportunity to stake their financial claim.

Oh, and as for that pearl of wisdom on making money instead of spending it! What breathtaking insight! You mean real estate investment isn’t about taking from the rich and giving to the poor? Damn, I’ll have to lay down my bow and arrows and break the bad news to Little John and Will Scarlett! I guess in your neck of the woods they simply give real estate away, agents waive their fees, surveyors, contractors etc donate their time out of goodwill, and lawyers perform their duties pro bono on the odd occasion people (obviously not a genius like you) need their services? The point, Sherlock, is that any business requires the expenditure of money at times on ancillary services, even consultation fees, and anyone who doesn’t do their utmost to protect themselves from the potential legal minefield that property ownership represents in the USA is courting disaster. Any more profound philosophical insights?

Finally, I would suggest you peruse the responses from those who preceded you on this post and note the professionalism and basic courtesy so utterly bereft from your own arrogant, chest-thumping ‘look at me’ post that essentially added nothing to the discussion other than the sad fact that, like all forums, there’s always some egotistical jerk lurking about who thinks they own the site and look for any opportunity to jump up on a soapbox and pontificate. Try learning that most un-American of traits – humility – before posting again. Or better still try restraining that impulse to post completely.

Hello, 

Been doing my own studying, a class with Reia, listened and read great BP info, unsuccessfully searched for a mentor...  would like more comprehensive education on Real Estate Investing-no gimmicks and reasonably priced.  Any suggestions?

Thank you!

@Bill S. Thanks for joining in, my thinking is that if it comes to that proving I didnt discriminate, it shouldnt be that difficult if multiple applicants met the qualifications. All the other things we discriminate against I just didnt write down, but would be able to explain in court.  I do have a points system but just in my head not written down.  The messy car rule is one that I always use.  The other about cars that I have is no more than 3 cars.  I guess I should start writing it down my points system just in case this ever does happen to make things easier.  

People in Hawaii are very laid back and noone really sued anyone until the past couple decades.  Suing someone was looked upon as cowardly and people used to handle their own business.  Now people are so fast to take legal action and try to get money.  I guess times change and what worked for my family all these years might not work for me.  

I googled the discrimination on convicts and you are correct it is only illegal if they fall under title VII protected individual and puts them at a significant disadvantage. If they are just a convicted felon you can discriminate against that.