All Forum Posts by: Robert Rayford

@Christa M., I always squint when I hear or read of someone minimizing someones life or existence. Believe it or not there are a lot of people here on this site that has similar stories to yours. As @Gerald Smith stated don't let a few people who lacks compassion for the next person speak for the rest. I am sure your story will not fall on deaf ears. If you want you can P.M me, you can do this by clicking on my name and then click on message or connect. I am willing to help.

I am not sure if you know how the tax deeds work so here is a quick run down. 

If a property owner fails to pay property taxes then the county will offer the tax to be paid for by anyone. The person who pays the tax is issued a tax certificate. After 2 years and next April the certificate can be filed by owner with a application to apply for Tax Deed. This tax deed is a transfer of property ownership to the holder. Some counties/states the tax deed can be turned in to a full warranty deed after another year or 2. 

What this means is that if you were to purchase this tax deed from the original holder then you have a stake in the property you live in.

If anyone would like to correct or add to my description, please do.

In the last 2 years I have seen a incredible increase of new property investors in Jacksonville. Most of them are wholesalers or flippers. This year there has been a rush of turn key providers taking a foot hold in the city. There are almost 1000 homes listed under $100k and another 3200 above that. Then there's what seems to be a endless supply of properties that have yet to hit the market. You can drive down any given street and see homes boarded up and abandon. I have bought a few of these properties, cleaned up the deeds and titles then resold for a nice return. With so many flippers in the market it is only a matter time before the market is flooded with rehabbed homes. What does this do to the price points? History dictates that market will run flat until the inventory shrinks but with so much potential inventory waiting to brought to the market, then how can it, before the next market adjustment. Jacksonville is a little different from other markets with similar history. Like in Las Vegas for the last 5 years with the exception of last year it was standard to have multiple vacant homes on each street now it's a feeding frenzy with low inventory. But Jacksonville ( which is the biggest city in the U.S, per land mass) has a long way to go before this can happen. There is a increase in properties hitting the market but the DOM are getting longer. I have flippers calling me asking for a great deal but it is hard to get someone to follow through with the purchase. Jacksonville will fast become a out of area investor market. The signs of this are already starting to show just the fact that turn key providers has set their sites on this city is a clue. I am running into a lot of tire kickers and no takers. The true winners in the Jacksonville market are the investors that will offer seller financing for a primary buyer. I can go on and on about this but what do you think ?

@Chris Mason , I am glad you said it, I've have been conveying that point for years now. Believe it or not I was installing a french drain system for a very wealthy Nuclear Physics Engineer here in the Bay. After the work was completed he remarked that he did the math and I make more per day than he does. I do worry where our construction labor pool will come from in the next 10 years or so. With every kid wanting to be reality star or computer wiz , our construction trades will suffer. I just got a great opportunity to take over a 70% completed flip because the " flipper" got in over their head.  I am seeing more people trying to get in this industry without having a clue what it takes to get a property turned around. Real life flipping is not "as seen on T.V". I've been doing construction rehabs for over 30 years and it is still hard for me to find good skilled tradesman so I know it is difficult for the newbie's to hire a crew. Your are totally correct in saying it is a "Contractors Market".. copy right protected...lol. 

@Charles A. , I very successful investor who holds about 350 doors told me once. " If you found money in a bag does it matter what type of bag it's in,  a silk bag or old dirty paper bag, all that matters is what you take out of it". I get my hands a little dirtier in these areas then I do in A-C areas but it doesn't bother me. What's interesting with the Jacksonville D-F areas is that they would be B-C areas in some of my other markets. But your correct, they area a headache at times. smh

@John Preston, Very interested. Please send details to : [email protected]

This is a unregulated industry. Only after rampant fraud will the Fed's investigate, or when someone with connections gets taken. 

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again my response is "WOW"

@James Amon, You may want to look into a PML that will carry the loan with a 1-2yr term. HML are great for very short periods because the interest rates being higher than other avenues. It sounds like your ratios are high so unless something changes it would be as hard to refi the property into a conventional loan as it would to get one for the original purchase. Giving yourself more time will help with the lenders seasoning requirement and for the incoming rent to claimed on your taxes i.e reducing your ratios. I have a great PML in your area just let me know if you want a referral.