All Forum Posts by: Tiger M.

@Wayne Brooks Thanks for being on top of the FNMA revisions and updating this post 4 months later! You are definitely on top of your follow up. I have clients discussing this today and I hadn't seen the switch from buyer to property. Maybe there is a benefit to being 3 hrs ahead...appreciate the heads up.

@Phillip Dwyer would be someone to speak to.

I haven't seen room rentals work in LV due to the instability. I wish you the best of luck. We prefer to find families that will be stable looking to rentSFR  long term. Let me know how it goes. Your #2 is our most desired area based on call traffic.

@Pat Fran I should have been clearer with my question. Did you buy it to build and live in it  or plan for resale? @Phillip Dwyer is the guy to nail down the completed sales value for you as well as the lot.  The estimated cost I provided is actual hard cost based on a cost plus contract with the GC. @Paul Santos You may want to through in a soft cost budget including permits(sewer fee is $6000 per hole in LV) architect, civil/survey, interest, loan fees and closing costs to the budget.

@Pat Fran You will be approx $$75-80 SQFT to build. Based on the description I am assuming it is in one of the older 1960-1970 built areas. Why did you buy it? 

Quick thought, You might consider having a preferred return on the cash invested. Say 8-10% interest and then split 50/50 after the pref is paid. 

@Andy Mirza Sure, sent you a PM.

@Dion DePaoli "Ultimately my commentary seems to have upset some of the apples on your cart. All the credentials in the world mean nothing if the direction given is not in the best interest of the audience."

Not at all, go ahead and bully pulpit all you like. I'm not arguing for someone not here, I simply posted advice given to me. I think you read it wrong prior to your gun challenge. You stated your doubt that the statement was coming from legal counsel that I posted on a totally separate thread, so I, in jest, provided you the info. You seemed confused (from all the cookies you ate) by it not knowing if it was actual real legal advice. Guess my humor is too dry. My wife doesn't get my humor either.

Bill G. previously suggested, and I listened, that I should spend some more time on risk mitigation a couple months back in the Why Buy Notes BP thread. The lawyer post was a partial result of my findings. BP is all about sharing info, especially when they are from high paid professionals that have proven results.

If I had followed the dire warnings about NPN, I never would have bought because of fear and that would have been a mistake. I tire of all the smoke and mirrors in notes. Its just another tool that has a window of opportunity that will change with the market. Yes, you have to watch for the rip off gurus and JV coaches that will take advantage of you, just like when buying a used car you need to be cautious. There are plenty of honest people to find though. Best thing I did was RISK on my first pool purchase. A pool isn't mystical, it's more than 1 loan at a time. I have learned more by actually buying and managing notes than watching like I did for a full year building spreadsheets getting ready to get ready. Only regret is not starting sooner. I found several good sellers and a couple of good servicers that make it all fairly simple and straight forward. Add in a good lawyer and CPA and what do you know, a team. I didn't even have to give away 50/50 or any part of my notes to have someone help hold my hand through it all.

There is nothing wrong with disagreeing on my end. Whatever your model is works for you with your extensive experience. I like building in a 20% loss (risk) factor because of my lack of experience. I pay for advice and that money is well spent. You don't need to I guess so Im happy for you. And no I don't have any dog in the guru race. I agree with @Mike Hartzog  that we have to get enough information from somebody in order to get started. I'm here to discuss whats working for me and listen to whats working for others like @Bob E.  . You can condemn it all you want but it doesn't change my experience.

If you are simply trying to prevent the situation of wasting $1500 on an inspection because you are concerned about the seller not correcting items, go back to the seller with an addendum now that states the max dollar amount that will be paid for repairs by the seller. Get it in the form that makes the deal work best for you. It's better to confront the issue in advance than spend the money and hope the seller will either A-adjust the price B- provide a repair credit or C-fix the items prior to close. Peace

@Bob E. Despite the NPN fear mongers that type (or Dragon Speak) many words but contain little substance in some of the posts, know that I for one appreciate you sharing useful real world information. Especially since you are in the NPN trenches and are actually working notes. I never realized we aren't investing since we have a built in loss factor built into models (pool buying) until I read above,

"Do what you're comfortable with, if losing 10% to make 30% is acceptable to you, have a happy life. If you call that "investing" so be it, I don't. ". 

Did I get this right? Im not too good at math now. If you net $28K on one Milwaukee note, but loose $4000 total on two notes, looks to me like you profit net $24K off $16K invested. 3 notes, one pays and two loose. That makes NO sense, stop it immediately before you get hurt!!!! And stop telling people, they can't understand this new fancy math. My gosh. Scary high finance stuff here. It appears you did find a good coach, props. 

@Dion DePaoli  Might be time to have your sugar levels tested(I'm not a Dr, consult a professional). Tyler E. Happe received his Juris Doctorate, with distinction, from the University of Pacific’s McGeorge School of Law. Prior to entering the study of law, Tyler attended UCLA, receiving a bachelors degree in History. Your welcome to bring your best Golden microphone to the Jan. 13, 2015 For Investors By Investors meet up (a great established no sales pitch network meeting that I have NO membership/affiliation in) in Manhattan Beach, CA where the attorney will be on a question and answer panel. Then you can inform him of the error in his ways yourself, if you can let him get a word in that is.