All Forum Posts by: Tyler Silver

Hi @Tom Mole 

I met with the owner and saw the property.  He owes 265K on his mortgage and is up to date on payments.  The area is not the best, but it is walking distance to a train station to the city.  After looking at recently sold comps (250K), I saw on the market there are 2 nearby similar properties on the market for 200-205K for 6 months - 1 year decreasing from 270K. I spoke with the realtors and there isn't any damage to these properties the owners just want to get rid of them - one is renting for $1800.  The property I saw would rent for about $2000 since it has an extra room.  

Hey all,

Just a quick question regarding subject to's / wholesaling. I'm talking with a homeowner now, and they are motivated to sell due to their job in jeopardy. They wish to sell for the amount they have left to pay on their loan, nothing more (I will find that number out tomorrow and if it is even worth it). I saw on their records that they took a loan out for 325K about 11 years ago so hopefully they've paid some of it off. I have some trouble with comps, when I see very similar homes going for 280K and 100K (maybe it was in foreclosure)? Anyways, if they owed 250K and hypothetically the ARV was 250K ( *70% - ~2K repairs - 3K assignment) = 170K. Obviously this wouldn't work for them. Is this just a deal to pass up on? If they were to come up with the rest of the money on their own, would I still need subject to in the contract? Even if the buyer pays the full 250k do I have to mention the subject to?

Thanks in advance!

He said that prior to my call he was refinancing it to lower his current mortgage repayments.  But since he got my call in the middle of the process and is open to the idea of getting cash for it, he would let them finish to see how much the new payments would be as well as the assessed value of the house.  The bank will only appraise the outside, and then insurance on the inside he said.  My idea was to just bring a contractor over to see the whole thing in one shot.  On the next call I'll find out how much is still owed.  However, the property itself is 840sqft but it is on the edge of an attached .92 acre of land.  Would it be complicated to split up that land for another investor to build on?  I feel like depending on what the plans are for that land will effect the contract price.

Hey all!

So I'm working on getting my first property under contract.  I've been talking with the owner, he is an out of town owner of an abandon house on the opposite side of the country.  After a few calls he seems like he is interested to sell.  Prior to me calling him, he was in the middle of getting the property appraised externally to be re-financed by bank.   Then people from the insurance company will have to assess the inside.  After checking it out first hand and seeing that it will need a lot of repairs I don't think he will be interested in fixing the entire property up.  I offered to bring a contractor in there to give a more accurate quote on the repairs (since I am not experienced enough yet), but he was hesitant since he hasn't been inside in 6 years.  The property also has a large amount of land behind it, where another house could even be built.   I couldn't find anything else in the area to compare it to.  He was thinking about the possibilities of splitting the land up but for now I was just curious about what the next step is as far as him refinancing. (I don't know how much the mortgage is yet).  I do have cash buyers that are interested in homes of this type in this area, but the numbers would have to work.

Let me know your thoughts!

Thank you all so much! I really appreciate the fast replies.  I understand it a lot better now.  I am currently speaking with a buyer and going to be talking about putting it under contract this week so I wanted to have this all straight in my head.  I had called a few title offices but not one does assignments/double closings. I read that if I called them up that they would dismiss me quickly but I figured I would give it a shot anyways.  I have one potential cash buyer, and would ask if he would be interested After me and the buyer to sign the contract but before we actually sign.  I just don't have a title office and don't know where to find one.  I don't know any other investors in my area besides this one buyer I found off a bandit sign.  Does the title office have to be in my town? I am not too far from NYC, but it may be a hassle to get the seller to come in.

Hi I am new to wholesaling and have been having trouble finding the answers to these questions.

1.   For both an assignment and double closing, is there anything to protect you from having to buy the property if you can't sell it within the contract date? Like a small deposit to put down in case you can't sell it?

2. People keep saying that they will decide to do a double closing if they know that they will make a lot of money for privacy... but how will they know if this will even happen with the seller if they haven't even signed the contract in the first place, to then go a potential buyer?

3. I read that for double closings that you must go to the title office/attorney on the same date listed in both contracts.  If you set the date for 90 days in the AB purchase contract with the seller and you find an investor that wants to  close within 20 days with an amazing deal, is there any way to close early?

4.  I was reading through a Standard Purchase and Sales Agreement posted on the forums and a question came to mind. If you're doing a double closing with this, who generally gets assigned what costs? If you plan on the investor to be paying the closing costs, do you assign it to yourself in the first agreement?

Buyer Will Pay

A. Closing Costs [ ] Recording fees [ ] Note stamps[ ] Intangible tax [ ] Credit reports [ ] Loan transfer and assumption charges [ ] VA funding fee

B. [ ] Loan origination fee [ ] Loan insurance premium [ ] Loan discount not to exceed_____ [ ] Transfer Tax [ ] Wood Destroying OrganismReport

C. [ ] Appraisal [ ]Survey [ ]Title Insurance Policy __________ [ ]Other_____

Seller Will Pay

A. Closing Costs [ ] Recording fees [ ] Note stamps[ ] Intangible tax [ ] Credit reports [ ] Loan transfer and assumption charges [ ] VA funding fee

B. [ ] Loan origination fee [ ] Loan insurance premium [ ] Loan discount not to exceed_____ [ ] Transfer Tax [ ] Wood Destroying Organism Report

C. [ ] Appraisal [ ]Survey [ ]Title Insurance Policy __________ [ ]Other_________