Posted by gerald(tx) on June 29, 2003 at 16:32:32:
are you playing grabass with us?
A welfare mother, jailed husband, a bankruptcy filing, and she can get refinancing???
Help needed on an ‘Subject To’ Deal - Posted by Sandy
Posted by Sandy on June 26, 2003 at 24:22:19:
I purchased the Grand Kahuna of Real Estate Investing from Charlie and Randy France, but they have been busy lately doing seminars and I need some serious help ASAP.
My partner and i put up the signs and we snagged a big fish or atleast I have something yanking at the line. We need help determining if it is the real thing or not.
The situation:
Young mother was willed a house in 1999 that her parents purchased in 1995. She is on welfare. Her husband is in jail. She wants to move to Florida. She is about to file bankruptcy. The house needs some repairs (plumbing, carpet, paint, pool pump, appliances, and one door). She is behind on one payment, catching up alittle at a time. She also just found out that her parents had a second and third on the house that she did not know about thus never had made any payments on. Not behind on taxes. And wants to move in August. She might have the ability to pay off the 2nd and 3rd mortgages. Oh, by the way this is the worst house in the best neighborhood and it is in pretty good condition. Now on the financing part of this deal.
4 bedrooms, 2.5 baths, 1669 sq.ft., built in 1991, 1 car garage, fireplace, in-ground pool
The financial part:
Assessed Price:$132,100
Appraised Value:$145,000
Original Loan:$108,150; Int. Rate:9%; PITI:$1043
Annual Taxes:$1678; Annual Ins.:$600 (approx.)
Assoc. Fee Monthly:$100
American General (2nd):$10,000
Transouth (3rd):$11,000
Current Balance:$94,000
I did a CMA and the houses are selling as follows:
Low:$128,000
Average:$136,600
High:$146,900
Longest Market Time: 26 days
We sent her our Special Report and she read what we do and she is very interested in what we might have to offer her.
My question is what do you think we might have to offer her?
Is this deal worthy of our reeling in the line?
If so, what should we offer her?
And, what should we do from here?
Your help is appreciated!!! Thanks in advance. Enjoy your blessings and God Bless! I pray that I did not leave anything out…
Re: Help needed on an ‘Subject To’ Deal - Posted by Tim Fierro (Tacoma, WA)
Posted by Tim Fierro (Tacoma, WA) on June 29, 2003 at 13:29:23:
As Gerald says, look at that cast of players.
A welfare mother who “might have the ability to pay off the 2nd and 3rd mortgages”? You stated these as;
American General (2nd):$10,000
Transouth (3rd):$11,000
Where does a welfare mother who is about to file bankruptcy get $21,000 from?
Make sure you dig deeper into this story.
Re: Help needed on an ‘Subject To’ Deal - Posted by Jon
Posted by Jon on June 26, 2003 at 11:13:39:
One thing Randy and Charlie and Bob suggest is to put an ad in your Sunday paper with what you want to charge a tenant/buyer in a case like yours, and see how much response you get. That way you’re not flying blindly. As those guys say, it is not going to be an issue of the ultimate purchase price, but instead how little you can buy it for up front. As to the repairs, you might be able to do a “move-in special”, and you would not have to come out of pocket for those.
Re: Help needed on an ‘Subject To’ Deal - Posted by sandy
Posted by sandy on June 29, 2003 at 16:20:09:
she is getting the house refinanced