Oatsie's Long Island NY Journal

In researching hard money lenders wasn't sure if it was normal for them to ask for a Social Security Number on the application, if anyone with experience with Hard Money lenders could let me know I would appreciate it. Thanks.

Yea most do to run a credit check. Your best bet is to go to a REI meeting/club and get a referal from an investor that knows one first hand. most want you to have liquid assets in reserve so they know you can handle the payments. but ask questions and interview them as well.

godd luck
Richie.

still searching for money!

Hey Donna, it was nice meeting you at the EDGE event.Keep searching for the HML or private money if you know some business owners. I think some where in my journal is a letter I made up to hand out to business owners I knew. Be careful who you give it to if you decide to try that. there are a SEC laws you have to worry about if you solicit people you don't know.
good luck and Never EVER give up
Richie.

I want to give an update, scenario changed I spoke to my contractor who is also a investor and his opinion was not to move forward with the two family house because the fact that there is one oil tank and one electric box for two units you cant split out the cost, this could cause me to be negative cash flow or very little cash flow, in addition to hassles with the renters. I am on the fence about it and would appreciate any responses from anyone who has had this situation before. I tried to call the electric company to get an annual estimate of the electric bill but they refused to give me any info unless I was under contract or I could have my lawyor summons the info. In addition if it was such a great deal it would have been scooped up already, so I am on the fence with the numbers nothing solid. Although my contractor said he could rehab it for approx 16k that down from my original post of 40k. That was good news. I continue to look for properties every day. I am part of the success academy so continuing with that and also putting some the tasks I gained from the Live Event into place. More good news, I met a mortgage broker who can put the deal together for me with nothing out of my pocket!!! Still plugging away!

I just submitted my 1st contract the offer was accepted. The asking price was $179k my offer was 150k. i have one of Maryland's richest investor and his assistant calling my phone to do adeal on the property because when i thought the man was interested before he signed the contract i started contacting my little buyers list. i pray all goes well and I have 4 other people calling to sell me there property, I'll go see them all this weekend. One property ,well two properties were being sold together for 65k, i offered 60k he accepted , only problem he wants a $1000 deposit and I don't have it and not sure if I do the earnest money clause that i will have it in 14 days, any suggestions. I'm sooooo excited!!!

Hey Donna, thanks for the contact with the broker. I did get your e-mail.
what are the numbers on the home? maybe if you post it all we can all chip in with an idea.
good luck
Richie.

thanks for the comment and the advice Richie, we spoke to my coach and decided not to move forward with the house. We are currently looking at others but it seems like people are finding them quicker than I am...I am making phone calls and the houses are already under contract. We will keep going. I spent all day Friday calling banks trying to make Rinas system work for me but all the banks, brokers are telling me that they eliminated those types of loans about 6 months ago(refi-lending to be based on FMV after cash purchase)extremely discouraging, I missed the boat again. The majority of the small banks that I called have their lending individuals at different locations that the actual bank location. On the other hand still building my contacts through investment clubs and going through the success academy. What a rollercoaster. I have ugly houses to call the town to get the owners info, I am going to call my private money lender to reconnect, and my hard money lenders just so that they are aware I am still out here and will be contacing them soon, lots to do.

Glad to see you used the coaches. I did everything they ask of me. Sometimes I didn't agree but i did it anyway. And guess what it all worked out.

Randy

sometimes we need it! Randy, I have been following your trip as well and it is amazing soo many amazing deals, I want to keep reading about you two!!! Thanks.

I backtracked a little bit here I took the links from Indiana Joes's presentaiton (bank foreclosures) logged on to them and was put on their email list now I am getting houses in my target area that nobody(except those on the list) knows about, the houses are not being marketed yet and the agents are agreeable to get me in before they start showing/marketing. I will see one on Friday good investment opportinity needs work and since bank owned maybe they will be more flexible on funding, if I like it I can also get back with my hard money and private money contacts. I also have been in touch with a fellow investor here on the island about possibly mentoring or even any assitance at all and they are going to be setting up meeting soon, this individual is ranked in the top 1% of wealthiest people...really looking forward to this....also still calling banks!!!

WOW Donna, you are doing awsome!! Listen, I have a connection with a guy that does appraisals for the banks and he works on the Island. I can ask him for some REO'S he appraises before they hit the market. let me know what you think.
p.s. I may call your broker to try and get a loan for me and my partner.
best of luck
Richie.

and may I say your friend is probably very very busy right now with all that is going on. I like that idea though!! OH Yeah I gave the broker a heads up! Told him to treat you good..

It is great to see DGers working together. Did I meet you at the EDGE?

lol, called him today, set him up to talk to my partner. He told my partner the amount we are looking for is too small for him but would give us someone he knows that does smaller loans.
So we will see where that goes by Friday.

Richie

I have not been able to post I have been so busy with grad, b-day, etc... but it does not mean I have not been working because I have also been busy as well as working on RE and looking at houses. The bank homes viewing went well I have my eye on one of them it was in limbo because the bank has an agreement with a local housing partnership in which the partnership gets first dibs on the house if they dont want it then the bank will list and it was just listed on Friday. Great 4 br ranch needs cosmetic work inside and new heating system but and a little electrical fix, all in all not too much to do- getting my contractor there this week for an estimate it is listed at 130k FMV=220k. The opening 7 days they take no offers, the next 7 is for owner occupants then after that they take investor or all offers. There was one other house that looked good for an investment only cosmetic work very well kept cape, and there is my issue a cape not expanded on top so your two bedroom up stairs have the slanted ceilings not sure it is going to be a good resale but may have a potential rental. There is one BR down and two up. This one listed at 120k FMV=230. Is it me or does anyone else have any issues with cape's? Am I just getting too personal? Still going through the academy and making contacts, found antoher agent who primarily is an investor good networking and leads. Trying to get some offers out there!!! Happy trails.

waiting for a meeting date with the other big guy! the avid investor...

I have not been here very much to write but its only becuase I have been busy with RE ooh year and the day job too, but very excited to say that first offer since the edge accepted in a college town upsate NY.
Offer 21,500
FMV 45-50k
Strategy: buy and hold
We are up to inspection and the rehab costs and through talking to Real Estates in the area found a professional home inspector who grew up in the area and knows all about it and has unbelievable contacs he also does the buy hold/flip. He gave me wondersful info.

waiting to hear on another offer shoud hear by tomorrow!

still plugging away..

Way to go Donna, that hard work finally paid off!!
Sounds like you made a great contact in the process. Cant wait to hear your starting rehab on this one, how did you do it ? HML ? What college are you near if you dont mind me asking
good luck on this one and the other one that might be accepted, you deserve the success with all the work you put into it.
Richie.

hey Richie, it is such a feeling of accomplishment when you get to this point even if it does not go through. I scan the foreclosure sites and are on their email list and I caught this one at the right time, I did not use a hard money lender I am preapproved for a VA loan on this property. 4% interest rate and 5% down payment.

My second offer is on a property in Florida, yes I kind of gave up the island right now as I see a lot of others refocusing their energy also. They countered my offer I resubmitted my offer just waiting now. The floria house is 40 minutes North of Tampa kind of like Long Island is to NYC... I have to stop by your journal and see how your doing!

The house upstate has three units! forgot to mention that. my mind is going in differetn directions right now...ttul

Have not had much time to post lately. I am passing on the upstate NY house but they just lowered the price to 14k, FMV is 45-50k. PM me if anyone has interest. Just because I am not going for it does not mean someone else may be interestd in it..

We should be closing on the FL house next month all is going well I guess no news is good news.

Keeping it moving.. Still working on my cash buyers info. and building business credit. Be back soon..

Hey Donna, I didnt know you were in FL too. what parts?
That upstate one is near what college? what are the rehab numbers on it? just nosey lol. Good to see yoiu post again. keep in touch.

Richie

I am working in Wesley Chapel, 45 minutes North of Tampa, "New Tampa". Also in Orlando, Hernando County. The upstate house is Oswego, very nice town nice house 3 unit rental ARV is 45-50. I try to get back here as much as possible but it is soo difficult. I'll stop by and see what your up too but hope all is well talk to you soon.

SOO excited we just closed on our REO in FL, we have a team ready to clean up inside/out to get ready for renters.....Our goal on our first deal (in a while) was to buy something that needed very little rehab! this house is a 4br/2.5 bath under 10 yrs old, needs paint carpet and some appliances cant wait to get moving.. Happy Thanksgiving to everyone.

just a quick update have been so busy with everything have not had a chance to write, but we did close our REO, rehabbed and rented in two weeks. Such wonderful family is moving in. All I am going to say is network and talk to people, I found our renters through my homewoners insurance agent because I asked one question...Do you know anyone_____. We are so excited we are moving forward. To anyone struggling keep moving forward as long as you have a hand in this and take action it will happen. Happy Holidays to all.

Way to go Donna!!! congrats on getting it done. keep in touch
Richie

WOW, I have been just checking in here and coming back for the weekly blogs but have not had a chance to update, bty it is so true about getting the first one done, we are so hungry for more without the fear. We have house 2 under contract the air conditioner was stolen but the bank replaced it an expense I did not want to enounter, should be closing end of March. House needs a little TLC but nothing major, paint, carpet, a little electrical but overall in good shape.

Wow its been soon long since I have been here.. since going to the academy I have secured four rental properties and two wholesale deals and three others in contract. Unlike a lot of other I have not done very much but at the pace I can do right now. (We are the toughest critics of ourselves). But what I wanted to write is that the livecast over the weekend has really hit me hard. Listening to everyone talk was inspiring. I can relate to all as I have a very demanding full time day job that keeps whipping me back in and no clear road map of the business. So I am going to celebrate and appreciate what I have done to now and then come out of my comfort zone and take it to another level. What Dean has created is amazing and unlike anything else.

The details of the wholesale deal/info that I just completed are as follows:
The house was not listed it was a estate sale that I acquired through an attorney.
I looked at the house, ran my numbers, got comps, made the offer under my business name.
Owner accepted offer so owners attorney drew up standared contracts for the sale. I signed and the seller signed. There was no assignement clause in the contracts. I offered the house to my buyers list and got a buyer.
We simply added my buyer to the signed contracts and had them sign the contracts.
My buyer ran title, refunded the down payment, my attorney drew up a Addendum to the contract that included my wholesale amount to be paid at closing, the refund of the down payment. Myself and my buyers signed. So at closing the checks were cut for my wholesale amount and the house went to my buyer and the deed was in the name of my buyer. We all walked away happy!