Challenge Scenario for the Pros

dezra profile photo

My cash is invested, my credit scores have fell from 617 to 540 (we made the mistake of stalling our mortgage payments, while waiting for our refi to close escrow) and my goal is to keep buying and selling properties, so that I can build a portfolio to sell myself to a bank to get a WLOC.

My husband and I have decent stable jobs for local county govt and college.
We have $50k and $35k equity in our two homes. I get regular dependable payments on judgments totalling $40k.

We are willing to construct notes for sellers to do simultaneous closings,
pay hard money or private money interest rates and jump through those tedious hoops. We just need to continue to buy and sell homes.

Our area does not have owner carries often, which is what I offer. Lease options are never found here.

What would you do if you were us?

Comments(3)

  • Vern12th November, 2002

    I will tell you what I was able to do. I purchased my first duplex using the equity out of my home.

    I purchased the next duplex using 100% financing through a local bank. I purchased a fourplex using a 80 - 20 deal through mortgage broker.

    I had a credit score of 754 to start. I just met with a mortgage broker on yesterday to discuss a wearhouse line of credit of several 100k.

    This is my first seven months in the business. I am a government employee, so my income is limited.

    I guess I was lucky to locate creative real estate mortgage brokers that were willing to think outside of the box. So get out there and find the company that is willing to do the same for you. It does not cost you anything to sit down and talk with brokers, not all are willing or able to do what you request, keep looking until you do.

  • BillYoung20th November, 2002

    Hi Dezra!

    It is great to see someone out there doing something for a change! so many are afflicted with the paralysis of analysis!

    OK, you are out there bobbing and weaving, shucking and jiving. Now what?

    Don't get all technical, seller created lease options etc. Keep it simple! There are three important points:

    Find distressed sellers!
    Find distressed sellers and find
    Flexible financing sources.

    With distressed sellers, all things are possible. Flexible financing makes them happen!

    If you haven't already, take Scott Rister's course, "How to Find all the Motivated Sellers You Need" available on this site for a one stop fix on this vital subject. I would also humbly recommend you subscribe to our ezine, 1st Foreclosure And Tax Lien Guide, where you will learn something every issue to help your business.

    As far as funding sources, we have recently developed a stable of lending sources most people would give their first born for!

    100% financing for FICO's under 600!
    Purchase and refi's for FICO's as low as 500!
    Lenders who will ignore recent bankruptcies and foreclosures!
    Loans for people in foreclosure!
    Refinances for you even if you just got the deed last night! (No downpayment, buster!)
    Jumbo investor loans of up to $1million with sub-600 FICO's including 100% CLTV

    I think you get the picture. You can now find 'em and finance them for yourself and others. [ Edited by tcimoderator on Date 11/20/2002 ]

  • dezra20th November, 2002

    Verne, with credit scores like that, of course you can get financing as you have!
    So could I.

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