All Forum Posts by: Account Closed

The article was the result of a discussion at the Bon Fire at the Field Guide and the editor made a mistake when she released it for publication.

Each investor much evaluate their potential risks as they see fit. I encourage you, and everyone, to discuss things like this with your attorney.

Be careful about telling the tenant to stop making payments. A lease or rental agreement rarely contains anything preventing the landlord from enforcing it even if they are not making the mortgage payment. The tenant could find themselves on the losing end of a lawsuit and the landlord might assert they lost the house because of the tenant's failure to pay. Theoretically, they could seek compensation from the tenant for any losses suffered from the foreclosure. That could include "future losses" from not being able to get acceptable financing due to the foreclosure.

I know, patently unfair, but life is tough, get a helmet.

However, the tenant absolutely should move as quickly as possible. Unless they like the house and would like to work with the landlord and bank to buy it.

Just a thought.

If you accept the restriction, you will have to live with the restriction.

It depends on how much work you are willing to do.

You could go, say once a week, and just look at everything filed during the previous week. NODs are filed into the public record just like deeds and mortgages.

Alternatively, you could subscribe to the legal publication for that area and get them that way.

http://fieldguide.reitactics.com/articles/if-you-wholesale-protect-yourself

BTW, the article has been updated with some possible actions you can take to protect yourself. No, it is not an exhaustive list. The article was originally intended to draw attention to some pitfalls not provide solutions in all circumstances.

Any way, any feedback on any article is welcome.

I agree there are times and situations where leverage, even high leverage, is a wise investing strategy.

These are not those times.

Now, according to FICO, inquiries from a lender you have an open account and relationship with DOES NOT lower your score.

Now, we can easily adjust and adapt to any rental conditions without suffering from being over leveraged.

For now, we are making the expected payments in anticipation of having to adjust to a more competitive rental market over the next couple of years.