Books
Hello, im looking for the best books out there for checking title of homes in foreclosure and what exactly to look for when checking title, or any other great books on foreclosures, trustee sales. Im in California. Your help is greatly appreciated. God bless and much success.
Attached is a link to a book titled Hidden Secrets of a Real Estate Technician. It is the best book I have read concerning real estate transactions. It includes all that the popular authors leave out in their books. It is a great read, hands on mechanics of the questions you are asking. Liens, title searching, deeds, etc.
The author Bryan Wittenmyer is from PA and abstracts his knowledge and experience of REI in PA. You can also call him up and speak with him if you like at $70 / hr. You wont be sorry.
http://www.infoleverage.com/Real%20Estate%20Technician.html
Hope this helps.
Good info, thanks for the tip Happy.
find a title company nearby and make friends. You will more accurate information and save your money for deals
If you want to search titles in your area without like panic stated, or without reading a book. Go down to your local recorders office. And ask for the department where deeds and liens are recorded, then get one of the employees in that department to show you how to search titles. It free its easy and can same you time and money. Once you find out if the title is what you expect, then you can proceed with the deal and pay for a title search later.
Making friends with title companies and attorneys works. Our company has an agreement with a local company who will do a title search for free on every listing we turn in, including our personal sales. Of course, the hope is that the buyer will use them to close but there is no obligation. Good marketing tool for us.
Jim[ Edited by jimandlacy on Date 05/03/2006 ]
You guys that have a title company doing searches for free, must not be doing multiple deals a week. If so, then you are not going to close on every deal. In other words, if you have 5 deals that you are working on, consistently every week. Then no title company is going to do 20 searches in a month if you are only going to close 1 or 2.
If they do, then goodluck. If not, then go down to the recorders office once a week and do your own searches.
Thanks Ypochris for your great reply.
Some of the things u said were just what I was thinking, to draw up our own agreement and have it notorized. I think we both have the same thoughts and goals about the property, so the agreement would work.
I welcome anymore good ideas.
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"Problems Are Solutions Dressed In Work Clothes "[ Edited by rbjj on Date 04/10/2006 ]
UPDATE !!!!!!!!!! ,
First of all Thanks for all the good advice I have gotten here.
Well I am going to partner with my Godson on this deal. We will be meeting with the realtor today to put in the offer. I know some of u think I should not split 50/50 , but that is what I first told him, and I am not a person to go back on my word. If the opportunity comes up again for us to do another deal, mabe I will structure it different.
I have been struggling with an offer price to make, and hope some of u can help me with this. I thought I read somewhere that Hud usually will accept 87% of the asking price. Although this is not a Hud property and it is bank owned, I thought of making my beginning offer at 87% of the asking price, and my ceiling offer at 90%.
Please let me hear your advice.
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Thanks Ruman for your reply.
The realtor told me the bank is ready to get rid of this property. It has been vacant for a year and a half. The bank has had it back for 9 months, and has dropped the price once. I think the reason the house has not sold is because there is no sign out, and it looks occupied.
So are u saying go in with my top offer right off the bat, or start low and wait for the bank to come back ? . There is a good profit in it even at their full asking price.
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Thanks Panicfilms, for the Encouragement.
I will post my updates.
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I have purchased property from a couple banks before. They are motivated to get this property off the books (sell it) or to the other side of their balance sheet (finance it), meaning from a liability to an asset. Non-performing loans are liabilities that restrict their borrowing power from the Federal Reserve and increases the amount of cash they must keep in the vault. They seem to be extra motivated to sell or finance by the end of a quarter. If they counter, you should have time to assure them this will be closed by the end of the 2nd quarter and not have to come up too much, if at all. On one 9-family we purchased, the bank was in it for over $318k plus $80,000 in fix-ups and we got it for $250,100 because we closed by Sept 30. They even financed it.
I like the idea of multiple offers as stated earlier. I do this through a letter of intent. If they verbally okay one of your options, have an earnest money agreement drawn up. They respond better to earnest money agreements than standard broker P&Ss. Bone up on your banker speak and put together your personal financial statement at least for next time. Happy REO ing!
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maybe there is a bidding time limit. All offers accepted until a certain, then the bank takes to highest bid.
Update !!!!!!!!!!,
Bank counter offered yesterday at 76k. I think I am going to accept their counter, because 4 offers have been submitted to the listing agent this week, and I am afraid if I try to counter them again I might lose out. I think it is still a good deal, just less profit on the flip.
Any other suggestions will be appreciated.
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Update !!!!!!!!!
Another update. I received the papers that the mortgage co. faxed to the listing agent with the counter offer, and found that the listing agent has had them for 1 week. The date the bank had on them for accepting the counter offer expired 2 days ago.
We signed and accepted the counter, but I am wondering what the mortgage company will do since the deadline for accepting the counter expired.
Anyone ever have this happen to them.
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Well said!
If the mortgage broker would allow it. You should go on the deed once the deal is closed. Why wait?
I will re-check with the broker and make sure that is what he reallt meant, and if so I will go on the deed when the deal closes.
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