All Forum Posts by: Sandy Uhlmann

Here are some links to some articles that gave comparisons to the various SDIRA companies. I'm sure there is bias but at least you can get an overview of some of the plans:

http://www.personalincome.org/self-directed-ira-cu...

http://www.thehardmoneypros.com/self_directed_ira_...

http://selfdirectedira.nuwireinvestor.com/list-of-...

There are other BP threads on this topic. Here is a link to one of them:

https://www.biggerpockets.com/forums/51/topics/634...

I hope it helps!

Do pay attention to the cost per transaction.  Some companies charge a transaction charge with each and every transaction.  These fees can add up.  Equity Trust does not have this fee. My custodian is Equity Trust.  I have to say that I would have been the first to bad mouth them a year or so ago for their slow transaction time-I lost a note deal with a fellow BPer because of this.  I learned that if you want something done quickly with Equity, just pay the expedited fee of $50.  Once I started paying this expedited fee, things went very smoothly because I got priority.  You might a well just consider that Equity has a $50 transaction fee.

I am much happier with Equity right now once I learned the system.  Their investment team is very available to give advice.  I do hate that my yearly fee is based on my assets.  I am not posting this because I believe Equity Trust is the best custodian-It may not be at all.  I would love to find a cheaper alternative but once you have started with a custodian it can get very expensive if not impossible to switch to another custodian so take your time and choose with care.

There is no guarantee.  It is considered an unsecured loan unless you and your borrower agree that he/she will put something as collateral for the loan re-payment.  You really have to know who you are lending money to.  Good Luck!

When selling a property via owner financing are there any terms beyond the obvious (price, term, interest rate, late charges, ect... ) that I should have my attorney build in to the contract? I am aware of Dodd Frank.  This is my first owner financed deal.  

Also, is having the borrower fill out a residential loan application form 1003 overkill?

Does anyone have any advice on how to find a mortgage loan originator in Missouri?

Thanks for the help!

It sounds like you would like to get some money by getting a second mortgage on the house?  If you did that then the investor or bank would be the owner of the second mortgage/note and it would be theirs to keep or sell at a discount.  Your 4 plex would be the security instrument for the new note.

If you have a significant amount of equity in your home and you need cash, have you considered a home equity line of credit?  Interest rates are extremely low right now and you have very few restrictions of how you can use the money and it is simple to do. You mentioned "low leveraged property"  I take this to mean that you do not own it free and clear.  That gets a bit more complicated if you were trying to create a note.  We will have to see what the experts here at BP say....

I would like to eventually purchase some seller financed notes.  I wanted to explore the obstacles/advantages that Realtors face in selling  homes with owner financing.  Please help me explore the pros and cons so I can try to find creative solutions to make seller financing a win-win-win solution for the seller, the buyer, and the realtor.

I understand that the actual number of people that could sell in this manner may be limited. I would guess that the number of properties that are owned free and clear that don't need the money immediately may even shrink that pool even further.

What if your seller had the ability to sell his/her note for cash at a discount after approx 6 months?  Is that an appeal to the seller?  Is it true that you can increase the price of a home that is offered with seller financing so perhaps this amount offsets the discounted payoff offered by the note buyer or at least this increase may pay all or some of the Realtor's commission?

Would Realtors ever be interested in a payoff stream?  My guess is that the Brokerage might object to this but I wonder if an escrow company might be able to collect the payments to the seller and pay the realtor on a monthly basis out of this money?  Perhaps in this case the percentage that the Realtor collects for the sale of the home might need to be increased?

Do Realtors routinely ask the seller "what are you going to do with the money?"  Seems to me that if the seller doesn't need the money they would potentially make a far better return on their investment by using seller financing vs putting it in the bank or investing it in mutual funds or stocks.

Thanks so much for the advice everybody.  Sometimes I feel like this is a big game of chess.  Everyone is trying to anticipate the next move and how to react to it.

You can absolutely do this.  Contact your SDIRA company and they can tell you exactly what you need to do.  You will most likely end up creating a promissory note between you and the person you are investing with.  I did this very thing.  You just need to get in touch with your SDIRA investment representatives and will let you know the step by step process. 

While in the process of initiating FC on a second mortgage, I was scanning Netronline and noted that the first mortgage has recorded a Substitution of Trustee that recorded in front of our SOT.  I assume that this means that unless there is some delay, the first will beat us to FC?  If so, what options does the second have? (Has equity)  At this point, I assume that working with the borrower won't help unless they can bring the first current or work something out with the first?

-Bring the first current, FC and either work something out with homeowner or rent or sell the house to pay off the first?  Will the first actually accept a check from the second? 

-Buy at FC auction 

Are there other options available?

Thanks in advance.

@Mark Senecal @Darren EadyI have both performing and non-performing notes in my SDIRA. I have an asset manager that works out my non-performing loans that are within my SDIRA,  I also have some first trust deeds purchased from Darren Eady from BiggerPockets that I hold within my SDIRA.  Double digit returns secured by real estate and he makes the process very easy.