Re: Spoke, spoke, spoke! Not Spole! Gawd!! (nt) - Posted by JEN
Posted by JEN on December 09, 1999 at 15:51:51:
Bill,
Why don’t you take a course in spell checker and act like a real professional instead of typing like a pre-schooler.
Act like a professional and you’ll earn like one instead of struggling.
Good luck
Escrow/Collection Account - Posted by Scott(AK)
Posted by Scott(AK) on December 08, 1999 at 20:28:51:
Even though banking rules state that the payment on a mortage payment must be made by hard copy check if done through the bank I have had absolutely no problems at all. The bank I use to do my collecting and distributions sends the check and of course it has the banks name.
Another tip I got from an investor who has been investing in my area for a very long time. “You might want to have a name with “Management” in the name such as ABC Management”. Appears as if you might be doing some manageing of homes. The bank would have to do some deep hunting to find out you areactually a principle.
So if you want to hold your own paperwork, collect and make your own payments consider that.
This amoungst other reasons is why I chose to go the way of my teacher and use the escrow acount.
My 2 cents,
Scott (AK)
Re: SPOKE with major lender’s atty today re. DOS policies and guildelines - Posted by Bill Gatten
Posted by Bill Gatten on December 08, 1999 at 19:43:45:
William,
We don’t sweat the “risk of of discovery” of the transfer. Remember, the property is not being sold: only a personal property interest in the wholly authorized title-holding vehicle is being silently transferred…(i.e., no recordation)
In a PACTrust, the lender is (should always be) notified in advance that the property has been placed into a land trust and leased out; and that the payments will henceforth be coming from PAC Management (or whomever is to be designated as the bill-paying entity…it just can’t be the trustee who is collecting payments; and for practicality’s sake it should be a third unbiased, unrelated party who does not charge for its services). In a bona fide land trust, the trustee can charge a fee for holding title (commensurate with “industry standards” (ref: Kenoe on Trusts, IICLE); but there can be no paid property manager…that would very likely constitute a HOA in the eyes of the IRS, thus bringing about double taxation as an “association (which are taxed as corporations).”
Bill Gatten
Re: Spole with major lender’s atty today re. DOS policies and guildelines - Posted by Mark (SDCA)
Posted by Mark (SDCA) on December 10, 1999 at 20:24:53:
You really should go to Bronchick’s site. He is the expert hre. But basically transferring property into a land trust does not violate the DOS. (ie the things that the lender can see such as a new deed recorded or insurance changed are explained away by the land trust). The actual transfer of ownership takes place as a transfer of beneficial interest which is not recorded and not visible to the lender.
There are other benefits but this is the major one as it relates to DOS.
Mark
Re: Follow up… - Posted by Ed Garcia
Posted by Ed Garcia on December 10, 1999 at 22:41:03:
I spoke with my contact at Countrywide, as I said I would do. And after speaking with him I decided
not to check with the legal department as I had intended to do.
As I was talking to my contact, it suddenly accrued to me, that companies change policies when
a problem gets out of hand. I discussed it with my contact (which is in marketing, who by the
way has been checking with an associate in the legal department to by a repo his self) and he
said that he is sure it is not a major problem, if one at all.
After talking with my own contact, I come to realize that Bill Gatten has given us information
that is factual, but biased. Not by Bill, but biased because it would be an answer that could
be expected, so why bother to carry it further. You see unless you work in the legal dept. on a daily
basis, you wouldn’t have privy to that information. Even in working in that department, I don’t
think you would have any reason to know how much of your delinquency is because of DOS.
What did happen in my conversation with my contact at Countrywide, is he had mentioned that the
big thing that they are looking for, are STRAW PURCHASES. ( A straw purchase, is a purchase
where buyer (A), buys a property for buyer (B). Because buyer (B) cannot qualify for a loan to purchase
the property). Lenders feel they are being defrauded going into the deal, and they are.
My opinion about Mr. Gatten, is that he has a lot to offer us as far as the information that he shares.
DOS is but a small part of what Bill teaches. I personally have had no problems with DOS and have always
taken it into consideration when doing a deal. But I feel that the more knowledge you have, the more you’ll
be able to cover your ass-et.
Ed Garcia
It’s a small world - Posted by Paul Macdonald
Posted by Paul Macdonald on December 11, 1999 at 10:27:38:
You know Bill I haven’t seen your former neighbor’s cousin’s brother’s best friend in a long time. How is he doing?
Additions - Posted by Bud Branstetter
Posted by Bud Branstetter on December 08, 1999 at 22:32:03:
Include, Nationwide, Fleet, Knutson, SourceOne, Homeside, PNC and GMAC for me.
Yeah! You doo doo brain! - Posted by Bill Gatten
Posted by Bill Gatten on December 10, 1999 at 20:16:28:
Spell cehcker? Huh?
Re: Spoke, spoke, spoke! Not Spole! Gawd!! (nt) - Posted by Bill M
Posted by Bill M on December 10, 1999 at 11:06:27:
Your post tells all of us more about you than we cared to know. It’s clear that you haven’t done your homework. Gatten is clearly one of the more articulate and experienced posters on CRE.
You, on the other hand, have added nothing to this forum of any particular benefit. Please don’t display your ignorance anymore… it’s said that a mind is a terrible thing to waste.
Re:Gatten, is an eloquent, articulate speaker, who has a fine command of the English language… - Posted by Ed Garcia
Posted by Ed Garcia on December 10, 1999 at 10:20:07:
JEN:
Bill Gatten is an eloquent, articulate speaker, who has a fine command of the English language.
I assure you that it was either a typo, or Mr. Gatten was having fun when he made his post.
Ed Garcia
Re: Spoke, spoke, spoke! Not Spole! Gawd!! (nt) - Posted by Bassman
Posted by Bassman on December 09, 1999 at 21:02:24:
Apparantly you are unaware that Bill Gatten is a professional, otherwise, you would not try to put your foot in your mouth by writing in the tone you have .
Bill Gatten may have a different view of how to do things , but his posts are respected by the majority of the readers here.Sometimes we forget that some Investors have been doing this a lot longer than others and we speak out of place.
In the future please make sure you are aware of who you are speaking to/about before you post, so you do not look foolish yourself. Sometimes people are in a rush and forget to use spell checker, that does not mean they are unprofessional.
I hope this helps you understand that you may be in error.
Just my thoughts.
Scott Cooper
Could you elaborate on that last paragraph ? - Posted by Chris (FL)
Posted by Chris (FL) on December 09, 1999 at 11:56:25:
So my trustee can charge a set-up fee but not a maintenance fee while the property is being managed by a property manager? … Also I plan on starting a new thread on that queston JPiper asked below ( " no more Mr. nice guy " thread ) that I think needs a longer answer. I just need to fully understand the queston first. …
I enjoyed your teleconference workshop the other day , and I look foward to the next one ( Dec. 17 ? ). Be well.
Re: Additions - Posted by Redline
Posted by Redline on December 09, 1999 at 14:53:11:
“When I grow up … I wanna violate a WHOLE BUNCH of due on sale clauses!!”
RL
Re: Additions - Posted by HowardTN
Posted by HowardTN on December 09, 1999 at 02:51:17:
Gimme a dollar & I won’t tell!!
Re: Could you elaborate on that last paragraph ? - Posted by Bill Gatten
Posted by Bill Gatten on December 10, 1999 at 19:40:48:
Thanks for the compliment …'nice to get one now and then. On the next telementoring session, I’ll be disussing the two-tiered PACTrust more in Depth.
Re. your request, the only elaboration you need is this: Read that last paragraph again and know that it comes from Kenoe on Land Trusts (Illinois Institute for Continuing Legal Education). We run the PACTrust strictly according to Kenoe (and other major contributors writing diligently on the subject for the last thirty years) and try not to vary in terms of what has been dictated as the finer nuances of wht constitutes or detracts from a “true” land trust. One of these nuances being that the trusteee cannot collect payments, and another being that the beneficiries cannot have a paid propery manager, as either one (the big guns say) would likely cause characterization of the transaction as something other than a land trust.
Bill