All Forum Posts by: Kevin Cardinale

Lease Option a Lease Option?

I took it upon myself to go to the public library today. What a frick frack gold mine that place is. I could literally curl up and die there. So, I thought perhaps I was missing something by not buying a guru thingamabobber, so I sought to find some of their stuff. And, I did. And, I read it. And, I know what's in their stuff, or I mean I already knew all that. Sort of disappointed. No magic bullet.

Anywho :roll:

One guy / girl said that I could buy a house under a lease option and then lease option it out to someone else, with bigger payments and a shorter time period than the primary lease option. So I would, in essence, be lease optioning the lease option. He / She said I had to make sure that the leasee optionista and the leasor optionator both knew that I had no claim to the title and that I was the middle man. Which, to me seemed kind of silly. In the primary lease option, I should simply contract and stipulate that I have a right to sublease optionatorate to someone else. Ergo, visa vis, concordantly, I would not have to have a 3-some pow wow with both lease optionarites.

And, in my lease option to the sub-leasee optionian I would stipulate that "I make no claim, implied or otherwise that I hold title to said property in question."

Right?

Otherwise, it would seem to unravel everything. :cry:

Yes, that was my #1 option. Thanks though.

clark county nevada

So are you all saying throw everything out except #2 Recorder?

If you mean have I mapped out a plan? Yes

1. Birddog - to get some fast cash to fund my venture, although it seems I am doing just as much work here as wholesaling anyway, and am no stranger to signing contracts
2. wholesale - same as #1
3. buy and hold - while that might take two forms, I ultimately want cash flow.

I said two forms because it seems buy and hold comes in 2 flavors: rehabbers; those who are allergic to rehabbing. Ultimately, since I am a designer by nature, I could go either way. Sell me a finished house, fine. Sell me a fixer upper, fine.

However, I need a mentor.

Woah, I meant no offense and will stand for any offense over this. That a person that processes payments in a bank makes or nearly makes minimum wage is not an insult. I am pretty sure in a 25% unemployment rate state, minimum full-time work would be appreciated by many.

The problem is, and when I was a manager, this is how I felt, anyone that hires someone for minimum wage, as Mitch alluded to, is not terribly concerned by the skills and acumen of the worker. If one of my employees, when I was a manager, messed up, and they did, I didn't even get upset, I would just send them home as "punishment". [ note that I did not dictate their salary at the time, the corporation did. and I felt they obviously needed that little paycheck, and did not get terribly upset for their mistakes ]

The point was that the banks, while a payment from a different source might be considered a constructive notice, have put in place systems [ computer / minimum wage worker ] that intentionally ignore it anyway. Perhaps it's not that they pay attention and ignore it, but that they put the systems there to avoid receiving constructive notice.

I might be splitting hairs, but as Mr. Dobbs said, they have more important things to do than accelerate a loan, with a huge public inventory and an even larger shadow inventory of homes.

As a few of you said though, one should no rely on their ignorance as legal grounds to not protect oneself or the seller in case they choose to accelerate the loan. I have just such luck. [ noone was ever stopped on a stretch of road for going over 10 mph, yet i'm stopped for going over 1 mph. I have such luck in almost anything I do. hence my over-analyzing everything. mind you i am "doing things".]

Thank you everyone for the input and especially Mr. Dobbs.

Finding Owners: Am I doing it right?

I have not had the "benefit" of ordering a $3,000 guru course on real estate. I have studied this myself, and pieced together stuff from other areas. I mean, I was kind of the 2nd in line for valedictorian in both high school and college. *cough* Be that as it may. I said that to say, when I "piece stuff together" I'm usually spot on in my assessments and where to go.

It seems the salesmen on this board are saying i'm doing "too much work" and that I need to work smarter, while others are really not giving comment on it either way. So let's get a definitive answer, shall we?

I am searching for owners via:

1. assessor
2. recorder
3. property account inquiry
4. zillow, realtor.com,
5. title company,
6. realtor
7. banks / reo realtors

Most everything I have run into so far has been difficult properties. But the question is, is this a proper search?

Or is there some magic bullet that I need to spend $5,000 to find out? :roll:

to my knowledge, and from what I have had explicitly told to me by those who have done this, the payments are processed by computers and minimum wage people, neither of which pays attention to where and whom the payment is coming from.

Land Trust Assumable Loan?

So perusing things, I cam across this gem:

Making Loans “Assumable”. A non-assumable loan can become effectively assumed by using a land trust. The seller transfers title into a land trust, with himself as beneficiary. This transfer does not trigger the due-on-sale clause of the mortgage. After the fact, he transfers his beneficial interest to you. This latter transaction does trigger the due-on-sale, but such transfer does not come to the attention of the lender because it is not recorded anywhere in public records. This effectively makes a non-assumable loan “assumable”. As you can see there are many creative and effective uses for the land trust, limited only by your imagination!

So is it really just that easy? :roll:

Oh sorry, yes a notice of delinquency.