All Forum Posts by: Ryan Urban

Excellent John, thanks.

I've not seen a "regular" book from Vena, she has a program that can be picked up on Ebay at +/- $125.

I must admit the wholesaling process seems fairly basic. What interests me about the program is that it seems to cover my biggest issue - getting in front of motivated sellers.

I know there are several critical elements to this business, but it seems to me that the most critical element is getting any given property at absolutely the lowest possible price. Assuming we can do this with any regularity, we'd keep some and sell others.

My biggest reservation is the flood of local competition we see, from ads in TV, radio and print. That kind of thing doesn't scare me away, but it reminds me that we have to do this carefully and intelligently.

As always, thanks for your valuable advice. I'll check in with my 12-year old to figure out the iTunes system!!

Ryan

Thanks guys.

John:

I emailed Bill a couple of days ago and haven't received a response. I plan on calling him today to see (1) if he can do Subject To closings or can recommend someone here in Colorado Springs, and (2) if he can refer me to a good local insurance rep who handles Subject To.

We're ready to get started, first thing is to get the team in place.

On the Wholesaling side, it looks like Vena Jones-Cox is the way to go. I'll pick up her program.

Ryan

Seems like I'm full of questions. The education continues.

I have read about a strategy of purchasing a property "Subject To", and then selling the property via a lease option.

But what happens if the lender calls in the loan? The tenant has a contract to purchase the property in a year or two, but the buyer may have to sell the property if he can't refinance it.

If the "Subject To" buyer can't re-finance, what happens to the lease option deal?

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:clap: :rock:

Presumably there will be appreciation opportunities down the road, but I agree. A bird in the hand...

Ryan

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No doubt about it, I specialize in simple!

Thanks, Tom.

Ryan

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I have read that the best thing to do when taking over a loan "Subject To", is to immediately inform the lender so that everything is out in the open up front. Three thoughts on this, and I'd like your input:

First, while I do agree with full disclosure, I wonder if this is asking for trouble by willingly firing up a red flag.

Second, I wonder if the lender would mind a new payer, especially in today's market. If the original borrower can't make their payments, at least there's a chance you can. Foreclosures are up, this may be the best time for "Subject To" buying.

Third, if your credit is good, wouldn't it be a good idea to tell the lender that, or allow them to check your credit if they're unsure of the transaction?

Thanks for your help on this!

Ryan

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Surprise of surprises -- my wife has caught the REI bug by osmosis. She'll be able to do this full time, which is something I can't.

I'm setting her up with a marketing strategy (she'd better buy into it, I have a book coming out on it), and I'm thinking about also test-firing an ad in the paper.

What has worked for you? What hasn't worked?

We're going to pursue three strategies: Wholesaling, Subject To, and standard Down Payment/Financing/Buy & Hold.

Right now it would look something like this:

AVOID FORECLOSURE!
Save Your Credit Today!
Phone Number

Thoughts? Opinions? Suggestions?

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Can anyone recommend a good, legitimate book and/or program on wholesaling?

Thanks!

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DSaldana, I'm fairly new at REI, and I've learned quite a bit in a short amount of time. Here's what I would suggest:

Read as many of the threads and posts on this web site as you can. There are many truly knowledgeable and helpful people here. Ask specific questions.

Google. There's a ton of information on the internet, so Google all the different types of real estate investing strategies from foreclosures to REO, from mobile homes to short sales. This alone will be extremely educational for you.

Join a local REI club. Network with these people and see how they do things. Meet other investors, meet realtors, title officer, attorneys. Ask them questions - I've found people in this industry are very open and helpful for the most part.

Once you narrow your search down to three or four strategies that feel good to you, invest $100 in a few books and read them a couple of times. When a question pops to mind, write it down and bring it to this message board.

Follow this roadmap, and I promise you you'll have a good beginning knowledge of REI within one month. And I'll bet the bug will bite you!

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I had a fascinating meeting with a Real Estate attorney today regarding Subject To, here are the highlights:

1. If anyone doubts the value of this board, you should know that he said essentially the same things as I have read in here: It's not illegal, it does violate the due-on-sale clause, but it's very doubtful a lender will call it in, especially in today's market, and especially if the buyer has a good credit rating. No guarantees, but it's not a bad bet.

2. We're putting together a team -- he suggested that I contact the title company that's putting together my current deal, meet for lunch, and do future deals with him. My realtor is in place. The attorney said once I have a good relationship with the title company rep, he'll be more likely to help me check for liens and other title issues without charging me.

3. I'm going to proceed, carefully, and we'll see how it goes.

Scott Miller says above that he would not recommend this. Scott, is the primary concern that the lender will call in the loan? And if that happens, wouldn't all I need to do is qualify for it? Or sell the property? I would not purchase a home that I couldn't get at a significant discount to value, positive cash flow, acceptable existing loan.