Posted by greg on March 04, 2006 at 11:11:42:
Find a great deal .,Preferably a property you can purchase at 50% of market value… Rehab/fix property and resell. Find a partner to help you…
Lending Credit Score for Property - Posted by john
Posted by john on February 18, 2006 at 14:06:42:
I hope some others have had some experience and can answer a question or two. We have been approached to lend our Credit score to a builder and mortage company so that they can buy lots, build and sell them. My biggest concern is that they want to do a ‘quick claim’ deed right after we close the construction loan and Quick Claim it to an LLC. They are willing to put monies into a bank account to be collateral for the loan…but I need to know the best way to protect ourselves if we decide to do this. Please let me know if any of you have any experience with this. Thanks.
Re: Lending Credit Score for Property - Posted by cashflow
Posted by cashflow on February 19, 2006 at 12:31:09:
listen to the dealmaker…, run don’t walk away as fast as possible.
Re: Lending Credit Score for Property - Posted by dealmaker
Posted by dealmaker on February 18, 2006 at 16:21:43:
John, it seems to me that you’ve answered your own question regarding the advisability of this: “they’re willing to put monies into a bank account to be collaeral…” If they’ve got the money for that, why do they need your credit? Run, don’t walk away from this. BTW, it’s a “quit claim”.
dealmaker
Re: Lending Credit Score for Property - Posted by greg
Posted by greg on March 04, 2006 at 11:14:59:
put a lein on the property if you plan to work with your builder/ consult an attorney, show him their written proposal…Dont just run from something until you have checked it out. Check with an attorney that handles real estate/partnerships…
Re: Lending Credit Score for Property - Posted by John Knecht
Posted by John Knecht on February 21, 2006 at 11:54:04:
Thanks to Dealmaker and others that answered. So if we have a great credit score but no cash ourselves since we are paying off our 15 year note in 10 years how can we go about making some money in the market?
Re: Lending Credit Score for Property - Posted by Bruce Santucci
Posted by Bruce Santucci on March 17, 2006 at 17:00:46:
If you have a great credit score - over 690 at least, I understand if you start an LLC, or S-Corporation in most states except Nevada and Delaware. New Jersey is supposed to be good, banks will begin to send your company line of credit applications after 3 weeks or so. Typical cash line of credit would be $20,000. Of course, on the business line of credit application you receive, you fill it in with you as the guarantor of the line of credit (thus the need for you to have a good credit score). Estimate your expected income from your business dealings in the stated income field of the application (not your personal income) and send it in. Do the same with each app you get. Within 3-4 months, you take the cash from your lines of credit and deposit it into your business account. The interest rates on your lines of credit are not that important. This is a great way to get alot of cash to make cash deals on properties you can turn quickly and/or notes that you can buy at a good discount. If a group of us do this, we can form a joint venture in individual properties or notes. This is just a thought. I am in the process of doing this with an ‘S’ Corporation although I’ve understood it’s even better to do this with an LLC.
In this way, cash is no problem and your business generally insulates you from lawsuits and personal credit limitations and liabilities. If you want to know more, I suggest you invest in John Kish’s manual at:
http://www.cashflowexperts.biz/cmd.asp?af=359516
Yes, I’m an affiliate. I became one after I bought his manual. If you do nothing, I’ll post the results of my experiences in this forum. Sorry for such a long post. Good luck in raising cash.