All Forum Posts by: Robert Steele

Joel Owens can you elaborate please? I've been asking how to get 90% LTV financing and everyone told me it cannot be done but here I see you mentioned 95% LTV financing?

Hahah. Touche`

If I am buying a $1MM retail NNN property and I put 10% down then from my point of view that's skin in the game. I thought these small loans were full recourse anyway?

It's not like I am a complete noob. I've been doing residential leasing for more than a decade. I have plenty of income and other assets too.

Bill Gulley I guess I am just going to have to find the right seller that will take a second.

The bottom line is the higher the rent the better the tenant.

So you don't need to worry about house quality versus neighborhood. The market takes these variables into account when it sets the price.

What about 90% LTV or 90% CLTV with an 80/10 split? What about PMI?

I am new to CRE and don't really want to put down 20% in case I screw it up.

I don't know .. it has kind of worked out really good for the central planners.

Yep. Been there - done that. You probably won't be able to get title insurance and neither will your buyers. At least not for several years. There are remedies. Find a title company that will write your buyers a title policy (I found one in Dallas after much detective work and a little social engineering). Or hire a lawyer and proceed to a Quiet-Title action.

Also keep in mind that any outstanding liens will still be attached to the title even when it is deeded over to you by the county.

Be careful. Just because you are right doesn't mean you will win in court.

Remember that you are the shady big time real estate investor shark. She is the poor little old home buyer.

It might be better to just pay her and make the problem go away. That is what I ended up doing in a similar situation a few years ago on the advice of fellow BP posters.

I am guilty of not reading these things.

When I did I found this not so neat little exclusion. If the property is vacant for more than 30 days - the coverage starts to disappear.

That really puts the fire under you to get it rented out.

Mold equals gold. For both lawyers and RE investors.

The mold remediation companies are expensive as hell. Avoid them.

I've done two mold rehabs. Here's the recipe:

1. Buy cheap. Everyone else is scared to death of mold.
2. Fix the source of the moisture.
3. Tear out everything with mold on it (studs can be cleaned).
4. Get a certified mold inspector to do an inspection and give you a certificate.

When you receive a yellow letter in the mail do you jump at the chance to sell your property at a deep discount to some other REI?

For kicks I called on one of you yellow letter guys. They offered me $140K for a $180K property that was not distressed and I the owner was not distressed either.

Yes please Mr.Investor sir. I'd like to give you a big fat chunk of equity for doing nothing. Now where would you like me to bend over? :)

I've got no problem with offering to help owners get out of their hole. They're distressed or the property is distressed and the REI needs to be compensated for bringing the solution. But man, ya gotta get better at targeting.