All Forum Posts by: Liz Brumer-Smith

I am looking for a Joint Venture (JV) partner on a Non-Performing note in Jacksonville, Florida. The property is in good condition in a great area. It's currently 90 days from going to the foreclosure auction - which will be a quick return on investment (120/5 months).
http://www.flickr.com/photos/29260248@N06/8590336556/

All investors will be asked to submit a Non-Disclosure Agreement (NDA) and a QIB (with a proof of funds - within the past 60 days). No JV partner will be considered until these measures are complete. When you send the completed NDA back to us, we will send you an email with more details on the deal: more pictures of the property, comparable sales, financial expense report, and expected ROI. We need to close by the end of this week. SERIOUS INQUIRIES ONLY! - Be prepared to fill out the required information listed above.

Please send any questions/responses to [email protected] or go to our website to sign up for future emails on deals at www.seasonedfunding.net

Thanks Brandon Turner!

Thanks for the welcome @chrismasons. It's a great time to get involved with notes! It can be a complicated business and definitely takes time to learn before diving in, especially because each state has different compliance stipulations and legal regulations. We got started by attending a schooling on non-performing notes and are constantly continuing our education to learn more creative solutions to maximize our profits.

I suggest exploring non-performing notes by doing a Joint Venture with an active investor. If you work with the right person they can show you what they are doing as the deal goes on and there's no better way to learn than by doing.

Hi I'm Liz Brumer and I'm an investor in Central Florida. My partner and I actively purchase non-performing and re-performing notes throughout the U.S. We also purchase seller financed homes using a 0% financing model. I'm excited to get involved on BiggerPockets and look forward to learning for everyone.

I like to use www.gosection8.com

Thanks Dion DePaoli for the correction!

I would suggest using Allied. Depending on the state Allied might not be licensed to service the loan. You should look into the servicing requirements in the state the loan is in. The Securities and Exchange Commission that put more stringent laws in place in certain states requiring anyone who is servicing a loan to first become licensed then endorsed. If you are turned in or caught without this license it can be considered a federal offense (once again depending on the state).

I suggest being extremely careful in servicing loans yourself. Servicing companies handle all of the legal paperwork, reporting, etc and are legally licensed and complaint with regulatory laws for a very minimal fee (typically around $20 - $50 per loan per month). This not only protects you but your assets.

A colleague of mine at my local REA presented his 0% down, 0% interest purchase in the "Deal of the Month". He purchased a 14 unit apartment complex in Merritt Island, FL. It was brought to him by a Realtor (was not listed in the MLS but on Loopnet.com) He paid $760,000 with seller financing - 10% down with zero interest for first 100 payments. He found a private money investor that paid for the 10% down. He is splitting the total profit between his private lender in a 50/50 deal. 0% down, 0 % interest.

Hope this is helpful!

Tyler,

I started learning about real estate investing when I was 21. I joined my local REA and started my REI education from there. It has been an expensive endeavor and I'm no where near done with my education but is well worth the cost. I would suggest finding your local REA and attending a meeting. Sometimes it's free or a minimal cost that is often deducted from your membership dues if you join the club shortly after.

It's difficult to say how you should structure your company. Entity structures vary in different states as to what offers the best protection. I suggest finding a CPA and a lawyer that have worked with real estate investors in the past (there should be good contacts through your REA) and discuss what will best fit your needs in regards to setting up your entity. I would suggest purchasing your assets through your company, it offers you the best protection and often offers tax advantages.

In regards to the strategies used/locations/etc thats simply up to you. Every investor has their niche and there is no right or wrong way. I would say explore as many avenues that interest you and try to gain as much information in that field as possible. I personally began in wholesaling and was primarily interested in buying and holding but after continuing my education and broadening my investing knowledge I became more interested in buying and selling non-performing and re-performing notes. If an opportunity presents itself in the buy/hold/lease option/seller finance/wholesale avenue, I'm not going to turn it down, but I have found something that both interests me and provides a high return on investment instead.

Some investors don't like buying property outside of their local area. They have a network built and know the market conditions. I myself am comfortable buying notes anywhere throughout the United States with a few exceptions. It basically boils down to your risk tolerance and your comfort level. There are endless possibilities for money if you branch out to other cities in your state and other states throughout the US.

I wish you the best luck Tyler! It's a fun business to be in and it's great that you're starting out young!