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Can you do a lease option with an assignment clause with a home that was foreclosed and now is an reo? Please help! I found a reo in my area. The house is listed for 106,900. with my research i have estimated that the house is worth about 160,000. I would like this to be my first deal but this is a bank owned property and i dont know what i should do? Any help would be greatly appreciated.

fastmortgage_so..

A sample contract is the forms and docs section of this site. It is just a basic agreement of sale. I put the following contingencies in the contract...

CONTINGENCIES: 1) Offer is contingent upon suitable home inspection. 2) Purchase contingent upon ability to re-assign this purchase contract to another buyer without penalty.3) Purchase contingent upon partner’s approval.

Just remember to put and/or assign after your name at the top of the contract.
Then you can assign the purchase agreement to another buyer with an "assignment contract". I believe that is also available in the forms and docs section. Both contracts must go to the settlement table in order for you to get paid.

Hope that helps.

The only real thing i can see doing a double closing would be flash funding!
What other propects would this Ave. of closing offer.

I have a property in contract with a seller who owns the property free and clear. I've been seeking a HML to close the deal and rehab. But it's been a challenge so far. I have a credit partner with a 790 score but a lot of these HML's are requesting more than what they advertise. I'm still digging. The seller hinted to me that he would consider seller financing the deal so that he can sell the note. How can structure the deal to be win-win for both of us?

I need help step by step if any body can asist?

My question involves the formula from page 135 from PRRERN which is as follows: (FMV) - (FMV - Percetage off) = Offering Price.

Here in Oregon I can look up online on the Counties web site the property summary of given homes. But they use different accronyms.

Value Information
RMV Land: $96,000 Exemption Description: None
RMV Improvements: $127,250
RMV Total: $223,250
Assessed Value: $140,460
Tax Information
Taxes Levied: $2,572.23 Tax Payoff Amount: $0.00
Tax Rate: 18.313
Sales Information
Sale Date: 02/24/93 Deed Number: 10360006
Sale Price: $97,900

Are FMV and RMV Total the same or used to mean the same thing? And/or do I use say the asking price say of $210,000 to start my calculations?

I know that there are other items that I can include into the formula to get a better idea of what to offer but in general is what I am referening to. ANy help in trying to understand this would be greatly apprceciated.

Joseph

Double closing are often used in place of an assignment of contract when offering on properties that are owned by banks or where a bank will be a part of the purchase process such as short sales.

I use double closings often because I often do not put "and/or assigns" on the contract in hopes to help get my offers accepted. If I do not put "and/or assigns" on the contract it may be easier to just do a double closing.

Many will avoid a double closing because they may fear the cost of two closings. First, if you find a good closing company they may not charge you for two closing but rather just one. Second, if they charge you for two they will often give a discount. Worst case scenario they charge you for two but you can account for this in your offer and often double closing make more than assignments of contract.

Hard money lenders are fantastic and can probably do what you are looking for. Check this post out. This is exactly how I find hard money lenders. My favorite way is going to the foreclosure auction.

http://www.deangraziosi.com/node/4080

Great question. I am sure there is enough information here on this website that we can help you wil step by step but the question that would have to be returned would be what direction are you looking for? Renting, no money down transactions, development?

The difficulty is exactly what does the "R" in RMV stand for? With this you would need to contact the county and ask them. Why? Honestly, have you ever known the government to be on track? Have you ever known them to make sense? Not me. They are the only ones that seem to understand their own codes.

Also, I would be cautious of using the government information to figure the value of properties. They often have different values than those actually used in real life. Your best bet for value is usually Realtors or title companies.

Thanks for the helpful information that you provided for us.

Warm regards,

Paul T. La Moy

stands for Real Market Value here's a question w/ answer, ask on zillow, regarding that abbreviation

http://www.zillow.com/advice-thread/what-is-the-RMV-real-market-value/18...

Thanks for the helpful website and I am sure we all will using it in the future. Best of luck !

Paul

What would be procedure go about transferring title (free and clear) from owner or absentee owner (out of state) to myself when I pay their delinquent taxes on property? How do I protect myself to ensure exchange happens I get the title to their property when I pay their back due taxes? Apologize for double questions.

I am really having a hard time locating REI clubs in my area?Very little activity from local paper,and not able to locate anyone from the internet.

New York Investors need information on how to succeed in the NY market, especially with the property prices still so expensive.

Sandra

Hello everbody,
Thank-you Coach(nstreet)for your answer! I will tell you coach and everybody else...Real Estate Investing is about...Control!!!
That idea has finally come, Too my reason!
And i will say...There is a property somewhere saying...Here i am,Come get me!
Your DG.com forum friend-Rosefield

The delinquent taxes are often given a lien against the property. Most liens are required to be paid, either by the seller or buyer, before a transfer of ownership can happen. You would simply hire a closing agent / title company / lawyer. As part of your closing documents you would define the liens to be paid. Closing occurs, payment is given, the lien(s) are paid - including all loans if there are any, and then the transfer of ownership happens.

My apologies to the information: I understand that some of this is vague. The reason is that every area will be a little different. I wrote this way so that others will not say "Hey, that's not how it is in my area."

Simply said: From the information you gave it sounds like another closing.

Here is a common link that many people looking for REIC's will use:

http://www.creonline.com/real-estate-clubs/

When looking at the clubs keep in mind that some may be a little travel. Often, some investors will be turned off from a little travel to a meeting. Consider this though; most meetings are once a month and these meeting could help you make thousands of dollars. Would it be worthwhile to travel...say one hour each way to an extra couple thousand dollars each month?

If there are no way you get to a club then consider creating a club yourself. Maybe, this is just what your area needs. This may be a great opportunity for you and other investors in your area.

I think this is a great question. This is however difficult to answer. How do I succeed in a market can be answer by saying something like "Follow Deans Book". But, knowing you are probably looking for more of an answer I would suggest or ask for more information from you:

First) Tell us about the area specifically. NY is a large state. What area? What is it like?

Second) What investment path are you proceeding down? If you have not chosen one I would suggest you look at that first.

Third) What have you done in your market so far? Have you found a Realtor, buyers, properties?

Fourth) What are you having difficulties with? What can we help you with? Is there a particular area that seems to be more difficult?

I would love to be in the success academy but i dont have any money to put toward it at this time. is there any way i can get into the success academy without paying upfront. obviously the proceeds from my first few deals would hopefully cover the coaching fees. What can i do. I can tell this info will work but i need someone there to walk me through it. Can ya'll help me?

Great question. There is an option that may work for you. You can get an option to pay a small down payment with monthly payments for a short period thereafter.

This is a great option for those that cannot pay or purchase the full amount upfront. This gives you access to the lessons, coaches and advisory line without skimping on the information.

If you are interested in getting more information about this option you can PM and I can get a business consultant to give you a call to talk about this option. In fact this would go for anyone else as well.

I need help!!!! I want to purchase the home I am living in to get the FTHBC, however, my parents own it which disqualifies me from getting the credit. Would it be fraud or just using the loopholes if they were to sell it to a friend who would then in turn sell it to me? I guess that would be a double close deal? Wanting to get this done before it's too late, what do you all think?

Thanks,

Brian

Hi I'm new to REI. Still havent completed my first deal yet. I feel so overwhelmed with all the information. I dont know where to start. I placed my order for the Edge training. Would this be enough to walk me through and get me going? Or do I also need to join the Success Academy? My funds are very limited and I would definitely have to start by doing Assignment of Contracts, IEE,or double closings.Your response will be greatly appreciated. Thanks.

If you do a double closing there will be cost invlove to do it that may cancell out the bennefit on the credit. In a normal double close you are looking at paying 2% + closing cost for the use of the money. It is definately thinking out side the box but it may cancell any bennefit that you get from it.

I wouldn't be using anyone's money. Would the 1st buyer even need to provide any money? Couldn't it just be a paper deal only?

What you describe sounds like a "loop hole" and should be ok - But... you run into a large issue - The government. The government seems to have their own rules and requirements. I would check with a lawyer that is familiar with this.

Keep in mind the IRS will require repayment if the home is sold within 36 months> Generally, there is no requirement to pay back the credit for a principal residence purchased in 2009. The obligation to repay the credit on a home purchased in 2009 arises only if the home ceases to be your principal residence within 36 months from the date of purchase. The full amount of the credit received becomes due on the return for the year the home ceased being your principal residence.

Here is the link to the IRS page about this subject:
http://www.irs.gov/newsroom/article/0,,id=206291,00.html

Most flash funding / double closing sources will charge around 2% + as eroberts noted. I will add a little more. If you get a private hard money lender in your area to get your money to do the double closing your costs will often be far less. Consider this when you are looking at double closings.

You may be able to do a double closing without money from your IF you can find a title / closing company that can handle this. The closing company is the ones who determine if money is needed. They are also, often, the ones who transfer funds. If you were to do the double without money you would go to closing and on paper you would close. Then, say an hour later the new buyer would close and the funds would be transferred at this time.

The Key would then be to find a closing company that is willing to do this. Most closing companies, lawyers, title companies and the likes do not like double closings because they look too much like a fraud ballooning of a property value. When fraud of this type is done a buyer will buy then resell to a partner, who resells to another partner who resells to the first partner all the while pulling out money and over financing the property. Now, I am not saying that this is fraud… just closing companies are scared of double closings because it looks like fraud. Keep looking and you should find a closing company that can do a double closing.

This house belongs to my parents and I have lived in it for 18 yrs now and will continue to do so. Would like to get the free $8000.00 credit, but can't since I can't buy from close relative. That's the reason for the question. Technically there won't be any money changing hands from the first buyer to my parents or from me to first buyer. Only from me to parents(maybe, lol).

I understand the question. Regardless of transfer of money the question really is will the government allow you to take ownership from your friend if they take ownership first from your parents?

Here is what I see. Because I have not seen the actual application to the credit I will speak on a guess. I would assume that you will need to note and probably prove your place of residency for the last two years. This would then fall back to the home you are trying to purchase. If the home you live in now is listed as the property you are trying to purchase I could see a red flag raised and further research being done which would show your friend taking ownership from your parents which would kill the credit.

Here is the positive: I have not seen the application nor done a credit. My suggestion would be to talk to a lawyer familiar with the process and get their professional opinion. I feel this is the safest and best way to find out if you can do what you are trying to do.