All Forum Posts by: Terrence M Brannon

I do not know how to title search or read foreclosure pleadings.

Florida has 2 different auctions - tax deed and judicial foreclosure. My original post linked you to the judicial foreclosure site - https://www.broward.realforeclose.com/index.cfm?zaction=AUCT...

I wasnt aware that Most lenders won't loan before being able to do an appraisasal and hence this makes auctions a no-go. 

And I also wasnt aware that I wouldnt be able to get the loan money a few days after the auction to pay.

Thank you for taking me to school :)

Why are LLCs preferred over corps? 

OK, so I just finished the Epic real estate investor training offered by Matt Theriault and also attended the South Florida Real Estate Investor Association meeting here - www.SEFREIA.com

Met some nice people and started this morning calling upcoming foreclosures with the intent of being a wholesaler. But I realized, I would prefer to simply buy these listed auctions and flip them. Why? Because calling people is a dead-end even using DealMachine (which I did). And most people are receiving many calls by the time I call them. 

It is more direct to just win the auction, fix the property and flip it. Here are today's auction results - https://www.broward.realforeclose.com/index.cfm?zaction=AUCT...

In short, 3 properties sold - 2 houses and 1. Let's ignore the condo. I dont want to get involved in those. Just SFR

18763 NW 23 ST PEMBROKE PINES, 33029 

- judgement amount 8k

- auction price 120k

- Zestimate 700k - 18763 NW 23rd St, Pembroke Pines, FL 33029 | Zillow

202 MADDY LN NORTH LAUDERDALE, 33068

- judgement amount 6k

- auction price 60k

- Zestimate 410k -202 Maddy Ln, North Lauderdale, FL 33068 | Zillow

Let's assess these sales:

there is  500k difference between zestimate and auction price for the first one and 300k of difference for the second one... wow!!!

but two issues loom:

1 - what does the inside of the property look like

2 - are there any encumbrances?

And now

- I met local guys who we know and trust that do fix and flip.. so I just need to funds for the loan.

The loan calculations

- I've found a lender that lends 90% of property price and 100% of rehab - https://vistacapitalsolutions.com/financial-options/fix-and-...

so for a 120k property, I estimate 20k of repair.

- I borrow 140k

- pay 10% down (14k)

- pay  3% closing costs of $3,600

- the amount due after 140k has the down payment applied is 126k.

- 10% of 126k must be in the bank when you borrow so $12,600 must be showing in savings.

- the bank account must also show 6 months of interest payments .. at 1% per month that is $7,560... so $12,600 + $7560 = $20k

- so adding down payment, 10% showing, 6 mos payments showing and closing costs, you need 37k in the bank before they will loan you the 140k.

Most fix and flips take about 6 months to do, that's why they have those loan terms.

I came across a youtube ad for https://www.10xbnb.com/ - it is where you "co-list" a property that has not rented. I.e. if it has been on craigslist for 25+ days, then the owner is losing money. 

But what I dont get is why the owner would not co-list it himself

What book did you buy?

 Where do you find the same info for free? And does Pace charge for other things?

Hello, I want to do medium and long-term rentals. I would like to use this property (165 Anderson Avenue, Atlanta, GA) as an example: https://www.zillow.com/homedet...

This is a duplex, with 4 bedrooms and 3 baths on each side. I am thinking about renting one side to 1 person/family and then living in the other side and renting 2 of the rooms to "bodies" (people with good income and credit profile) and then renting 1 room to a person interested in forming a spiritual intentional community. And then, for legal reasons, I am in 1 room of the other side as well.

The first issue is that the Vertex 42 rental income calculator does not allow you to do hybrid rental models, so you have to figure out the total rent yourself. I used Zillow's rent estimate and came out with $2200 but I do not think they know there are 2 units here. So presuming that I rent out 1 side of the duplex for $2,200 (tenant pays utilities) then each room for $600 including all utilities on the other side. Then I have $3,800 gross income each month. So I used the cashflow calculator to say that I have 1 unit bringing in $3,800.

So here is my cashflow calculator - https://docs.google.com/spread...

What do you think about my analysis of this property?

Thanks to each and every person at F&G - from the initial intake with Chrissy Banks to all the hard-working staff in-between and my man Michael Richard who did the actual funding. I got 31k and this is in spite of the fact that I took out 4 installment loans about 8 months ago. Fundwise could not fund me. Affiliated Finance could not either. F&G did the job with ease.