My first flip I did 3 years ago comes back to me…But!! - Posted by Mark-NC
Posted by Mark-NC on January 22, 2000 at 16:37:24:
This is an amazing business, I knew that after I did my first flip 3 years ago that this is what I was going to do. In fact I quit my job after that And have been running ever since, flipping many properties using the note business as a tool.
So here is what has happened. The first one that I flipped I made a $9000 cash profit plus I ended up with a small second mortgage. Now I made arangements with the buyers that they did not have to pay me on the second unless they either sold the property or refinanced it. So, I was not getting any cash from the second mortgage right away. My second lien still exists on this property.
Well a couple of weeks ago I get a call from the associates ( the mortgage company that ultimately ended up with the note). The represenative from associates asks me If I wanted to buy the house back because it is in default. In further talking the rep said that the home was emty as a result of a marriage split up and the mortgage was 4 months behind. I said well I really didn’t want to pay cash for it but I would be interested in taking over the loan if they would put the back payments on the back end of the loan. Without hesitation the rep said that would be fine.
The property appraised for $72,000 when I flipped it and it currently has a $52,000 mortgage on it. So I could literally take this thing with no money down. There is however one years back taxes of $490. that I would have to pay, no big deal.
Now for the problem, I am thinking to myself sweetdeal. I will find the owners and get them to quit claim it to me. Neither one of them want the home so it souldn’t be to hard to get it done convincing them that a forclosure will not be pretty on their credit report. The only thing is the wife has disapered off the face of the earth and no one seems to have any idea where to find her. So I am stuck, anyone have any ideas? It may have to go to forclosure if I can’t find her.
Thanks in advance