Posted by mjs on October 28, 1998 at 13:31:53:
In a huge jam! Please help!!! - Posted by Ron
Posted by Ron on October 24, 1998 at 09:00:08:
Here’s our situation: First off, I’m basically a first time visitor and poster to this newsgroup. The info is fantastic.
Although much of what is here is beyond my current knowledge of real estate. This story can get long so please bear with me. I’m relating as much as I can only so it’s understood
what my options are. I’ve very recently been swindled and left for broke by my ex-business partner. I have little more than $300 to my name and have no family or friends that can offer help. Compounding the problem is the fact that my lease expires at the end of this month and I absolutely have to be out of the house I’m now in by then. In an effort to find any way possible to borrow my way out of this crisis,
I’ve come across 3 hard money lenders who will do 65-75%
of a property’s value at 12-15% interest… all will act fast from 2-4 days. I thought the solution to many of my problems would be to find a house that offers immediate occupancy and a seller that would carry back. I would withhold some of the hard money going into the deal as a cash reserve until I get back on my feet which I know I will. I’ve spent countless hours looking for FSBO’s
but it seems that realtors have most of the properties tied up. In the last couple of days, I’ve made 8 offers on vacant properties-- 2 FSBO’s and 6 realtor-listed. Seems that everybody wants to be in first place because the issue again and again is that the sellers don’t want to subordinate to a 2nd mortgage. I’ll be making 3 more offers today. It might be possible to find a truly motivated seller, but time is not on my side. So, with all of this in mind, my questions questions are these: Is it possible to use hard money in
a lease-purchase or a contract for sale situation. Can either be structured in a way where the lender’s money is
collaterlized or secured the way it is in an actual sale? And, if it can be done, how would I do it? Also, if anybody
has any suggestions or advice… been there, done that…
I would certainly appreciate the time and effort.
Re: In a huge jam! Please help!!! - Posted by MJS
Posted by MJS on October 28, 1998 at 13:33:44:
Try Asking for an extention or if they want to L/O
The property you are in now
Alrighty, then… - Posted by Mr Donald (NORVA)
Posted by Mr Donald (NORVA) on October 24, 1998 at 14:27:53:
First, contact the Police and have them investigate your “ex-business partner” if you can prove your case. Then hire an attorney to work for you on a contingency basis as well.
Why would you be looking for hard money for an L/O or contract for deed anyway? Your initial thoughts are correct: Most HARD money lenders would be looking for some HARD and tangible to collaterise their loans - such as a recorded trust deed against a property. Can’t see a hard money lender going for anything less.
Re: In a huge jam! Please help!!! - Posted by phil fernandez
Posted by phil fernandez on October 24, 1998 at 09:21:41:
While you’re out there looking why not look for a lease option. Use your $300 for the option consideration. Call all the houses for rent ads and houses for sale ads and try to get a lease/ option. That’s your solution.
Also when listings expire, that’s a good time to hit up the seller with a lease option proposal.
How is your credit. You didn’t mention anything about that.
Re: In a huge jam! Please help!!! - Posted by Jim_NC
Posted by Jim_NC on October 24, 1998 at 10:31:48:
This is something that might work for you also. Go through all houses for rent in your local paper and call them. Most of the people will have answering machines. Leave them a message and say “I am calling about your house you have for rent. I am interested in leasing your home on a long term basis with an option to purchase it.If this interests you please call xxx-xxxx.” I tried this just yesterday and got 8 call backs and 3 appointments with folks who are interested in doing this.
I got this idea from Joe Kaiser. It works great!
IT REALLY WORKS!!! - Posted by Jim_NC
Posted by Jim_NC on October 25, 1998 at 09:48:51:
I just thought like you all would like to know that I
just received a call from one of the landlords
that I left that message on his answering
machine. He has several SFH’s and a multi unit
that he wants to sit down and talk to me about
L/O from him.
Calling those ads and leaving that message
works! Whats really great is the fact that
leaving that message only gets you calls from
people that are inerested in doing a L/O. The
ones that aren’t don’t call and you don’t have
to waste your time on them.
THANKS JOE KAISER!!!