Real Estate Investors Where’s the Best Deal?

Writen by Bill Carey

Foreclosure, pre foreclosure, auction, estate sale, out of town sellers, subject to, get the deed, assumable loans there are a whole slew of ways to take over real property. What is the best for you? Don’t overlook buying a house at a discount through the MLS with a Realtor.

1.Gurus and new guy investor trainers across the country are teaching new investors how to buy 2 to 3 or 10 to 15 houses per month using some straight forward techniques and some convoluted inside out upside down tactics to control real estate. For a mere $3,000 to $7,000 you can spend a weekend learning some techniques that seem so easy in class yet nearly impossible when you get home. Unless of course you are willing to take the risk, over come the fear, and dive in head first.

2.Working with a competent real estate agent who is also knowledgeable about real estate investments may be the easiest way to by discounted real estate in every market of yesterday, today, and tomorrow. You can find the deals and they can help you put them together.

3.Knowledgeable agents are hi tech internet savvy they will work with you defining an area and price range you are comfortable with. They can research the MLS every day or every week and email any new listing that comes up fitting your criteria.

4.The biggest question on the investor side is always financing, how can, I put a deal together with no money down? Guess what? There will be in almost every transaction some money down or some money in the deal. The object is to have it not be your money or not much of your money. An investor Real Estate agent will be able to help put you on the path to effective financing.

5.How do you find deals? Become knowledgeable about your market place. Know what properties have sold for, what’s on the market and what price. Be ready to act when a potential property comes up.

6.Don’t be afraid to make offers, you can’t buy a property without first making an offer. Some folks say that if your offer is not embarrassing it’s too high. There is a lot of truth to that. Your best deal is always on the other side of your offer.

7.Join your area REIA (Real Estate Invesment Association) good deals are at every meeting. Some REIA’s have hundreds of members who have properties ready to go that may be just what your looking for.

Bill Carey with over 30 years in real estate sales, investments, and home building offers a unique perspective to the buying and selling process of residential real estate for F*R*E*E consumer information and reports log on to http://www.CharlotteNCExecutiveHomes.com and see “Insider Real Estate Secrets Revealed” …a must read for Home Owners and Renters! It’s a F*R*E*E 12 lesson e course covering more than 20 topics exposing the realities behind buying and selling a home. It Could Make(or Save) You Thousands of Dollars

See http://www.BillCareyRealtor.com and sign up for our monthly e newsletter with tips for buyers, sellers, home owners and soon to be home owners.

(Your Comments are Welcome)

Taking Little Steps to Make Your Property Sell Faster

Writen by Raynor James

Ask most coaches in professional sports what sets the best teams from the also ran’s and they will say sweating the details. The same is true for getting a fast offer on your property.

Taking Little Steps to Make Your Property Sell Faster

In many areas of the country, neighborhoods are built in collective groups. Ostensibly, this means there are other properties in your area, maybe a lot, that are very similar to yours. While you may like or dislike this fact, it does raise the issue of how do you make yours standout when trying to sell?

My friend, the key is in the details. There are a wide variety of little steps that can make your property stick out in the mind of potential buyers. Remember the key is to make your property appear better than the others, even if it is just a bit.

Closing or settlement is the time when everything comes together on the transaction. This is when final papers are signed and there is no turning back. Frankly, it can be a bit stressful and nerve wracking. If you are flexible on closing dates and such, then let buyers know in your marketing material and open houses. First time buyers may not appreciate the offer, but experience buyers will.

Buyers often wait with nervous patience for home inspections to be done. While they may love your property, they are usually wise enough to know they need to rely on a professional inspection to make sure the fundamentals are in order. One way to make your property stand out from the crowd is to get your own inspection done by a certified home inspector. You should then include this fact in any marketing materials and hand out copies of the inspection when showing the property. Doing so is a major step in building credibility and making buyers comfortable with your property. It screams that your property is in good shape and has been taken care of.

Taking little steps is the key to moving your property while others in your neighborhood sit around. If you can handle the above, do so and make sure to include the information in both your marketing material and handouts during open houses or showings.

Raynor James is with the site FSBOAmerica.org FSBO homes for sale by owner.

Don’t Just GET THE DEED The Infamous "Kitchen Table Closing"

Writen by Lou Castillo

Q: Hi Lou, I have a property under contract that I want to resell/flip as is to a rehabber/renovator, but I may have to purchase it quickly and simply record the Quit Claim Deed, without using a closing attorney or waiting for a title exam. I need your advice.

The seller just called me and left a msg on my voice mail stating she did not want to sell to me because she received a better offer. Now I do have it under contract, with a signed purchase and sales agreement from her, and I had her sign a Quit Claim deed, too. I did that because she was fighting with her sister over ownership of this property, which was given to her by her mom who passed away 2 years ago. The deed is in her name alone, not the sister’s, moms or anyone else. I did see the deed and made a copy of it.

So, I thought I should get the Quitclaim deed, just in case I needed to record the deed because of the family issues, and she agreed as well. She said she just wanted to get rid of this property. I also filed at the court house an Affidavit for the property showing I had it under contract, as you all recommended. I’m in the process of getting a title check done by title company.

Now what do you recommend I do? Should I go back to the court house and record the Quitclaim deed or wait until the title search is done and record the deed, or walk away, or what? If I chose to wait and schedule an attorney to do the closing, would they except the title search done by the title company?

Thank you, G.

A: Hi G., what you’re describing is a little risky, yet it’s done pretty often. It’s a VERY good idea to get title exam run first, before doing a “kitchen table closing” and getting a Quitclaim Deed (QCD) from Seller, if you’re not using/hiring a closing attorney to do a formal closing….

Normally we wouldn’t recommend you do your own closing, but since you’re rushing your purchase so you can “preserve” your deal before the other Buyer moves in and buys it, and/or before the sister does anything rash. just be sure that the transaction has been up front, and that you truly intend to move forward as you agreed. I think that I would go ahead and file/record the QCD. I don’t see that you have anything to lose, and a lot to gain.

I would let the seller know that she can not sell to someone else because she already has a binding agreement to sell to you, and you already “technically” own the house (since you recorded the QCD), and that your plan is to review the deal like you had already agreed with her, and if you decide not to do the regular closing as described in your Purchase & Sale Agreement, then you will release the house (ie YOU’D have to sign and record another QCD, canceling the prior QCD from her to you) for her to sell to whomever she likes.

It was great that you already recorded your “Affadavit of Contract”, putting yourself into the chain of title, showing that you have a contract to buy the house. Now if all of this “blows up” and you’re not able to, or choose not to record the QCD for some reason, the Affadavit you recorded will protect you, and allow you to still purchase the house in the future (if the Seller tries to sell to someone else or tries to refinance the house).

By filing the QCD you become the official owner of the property. No one can take the deal away from you. Since you’re buying it “subject to” any loans, you will need to start making the payments on any loans (call the lenders to get a “statement of account” to make sure there are no surprise back payments or penalties you’re “inheriting”). I’m assuming you gave her no/low equity/cash at this point, so you don’t have any funds invested, or at risk with the seller. Now you’ve got time to evaluate all the financials and make an informed decision. If in the end, you do not want it, you can always Quit Claim the property back to the current owner, as you told her earlier.

**Note to all my fellow investors : you don’t want to even play this “kitchen table closing” game, unless you have a strong indication that this is a good deal and you’re 90% sure you’re going to go all the way with this deal. Taking ownership via a quick recording of a QCD, and then bouncing ownership back to the original seller with another QCD later when you’ve “had a chance” to do your due diligence – is not a cool game to play. We’re only walking through it in this example, because the investor is trying to rush to protect his good deal from being “sold again” fraudulently, by the seller to another buyer.

But you also don’t want to suddenly own a property where you have some potentially unknown, overlooked liens that may be attached to the house, that you’d have to pay off before you re sold or refinanced the house, and no ability to insure yourself via title insurance,. So consider these 3 risks you’ve got with a “get the deed, kitchen table closing”

1) You probably won’t have the Seller sign the standard “Owners affadavit” and “Gap affadavit” that attorneys use, where the seller warrants that no other “bad stuff, liens, judgements, etc.” exist against him or the property, other than what the title examiner has found.. AND even though Seller signs those Affadavits, we’ve had some sign knowing they’re lying and committing fraud. Title insurance would cover you, if Seller lied, but you can’t get that (see #3).

2) title examiners are human and make mistakes and overlook title stuff (liens, judgements) b/c they get too busy, too tired, etc.

3) You CAN’T get owner’s title insurance to cover all of the above issues if you close the deal yourself at a “kitchen table”, because an attorney at a closing can sell that policy to you and you DO need to buy one.

We have had several instances where either the seller has lied about other not yet filed judgements and loans (see #1), or title examiner has missed a significant lien during the title exam (see #2) and we’ve been covered by our title insurance policies.

If you have those types of title problems and NO title ins. policy, you’ve got to pay all the legal fees and/or pay off the liens, etc. before you can re sell the property. Soooo, unless you’re a serious gambler : ) close with an attorney so you can get the Seller to sign the 2 Affadavits and get yourself an Owner’s Title Insurance policy.

And yes, about 50% of the time attorneys will buy a previously done (must be within last 30 days usually) title exam and use it for the closing just ask your attorney in advance.

Now, if the new Buyer stills wants the property, they can buy it directly from you. The current homeowner, is of course, going to be upset and is probably going to say you did something illegal.

Q: Can the title company issue a Limited Warranty Deed, if not who provides a limited Warranty Deed that I have seen other wholesaler issue to the rehabbers?

A: The closing attorney can fill out a Limited Warranty Deed on your behalf as the seller (when you resell the property), saying basically that you warrant that ownership of the property was “valid” during the *limited* time period that you owned the house.

Best of success & abundance,

Lou Castillo

About The Author
Lou Castillo FREE! Real Estate Investing Secrets To Earning $100,000 Your 1st Year! 11 Overlooked Real Estate Statregies That Will Turn Your Investing Business upside Down And On The Fast Track TO Success…Guranteed! Plus A Bonus Track With A Secret So Successful It Can Double Your Investing Income Overnight! http://www.InvestorSuccessTactics.com

Time Share Types

Writen by Stephen Kreutzer

Time shares are one area of real estate that people like or hate. Time shares have often gotten a bad reputation, especially since there are a variety of types of time shares and they are usually grouped under the name time share when being described as a bad idea. Before deciding against a time share, a person should look into the types of time shares. They may be surprised that not every time share is the same. They may even find one that suits them.

Time shares are real estate investments where a group of investors all own the property. The time share is shared amongst the group with each individual allotted a specific time when they get to use the property. Most time shares are used as vacation spots. The upkeep and maintenance responsibilities are also shared among the time share ownership group. There are many variations on the time share.

Types of time shares differ in many ways. Some have different ownership rights while others have different usage rights. The differences may seem subtle, but they can also mean the difference between a time share working well for a person and not working for a person. The following outlines each type of time share and the main characteristics of each.

Fixed week time share: Each buyer owns the rights to the property for a specific set time period and date each year.

Floating time share: Buyers choose when they want to use the timeshare. Unlike the fixed week time share, this type of time share is not contracted out.

Right to use time share: This type of time share is not owned by the individuals, instead the “buyer” actually rents the property for a specific time each year. A contract stipulates when and for how long the rental agreement stands.

Points club: This is where various groups of time share owners participate in a points earning club. These points can be used to use timeshare property of group members based on reservations.

Time shares are not the useless real estate that some make them out to be. In fact, if a person does not want to get tied down to a piece of real estate there is the right to use time share option. Time shares are a great for people who vacation on a regular basis. Even if it isn’t to the same spot a time share like the points club time share, might still benefit them. There is a time share for everyone, so the best advice for anyone considering a time share is to look into the options before writing it off as a bad investment.

About the author: Stephen Kreutzer is a freelance publisher based in Cupertino, California. He publishes articles and reports in various ezines and provides time share resources on Just Time Share!

Rent to Own / Lease Option Your New Florida Home: Scam Alert Part 6

Writen by Mike Payne

Do You Know The Future Purchase Price?

Where in the contract is the future purchase?

Get the future purchase price locked in and in writing in the contract! Do NOT sign a contract with a floating future purchase price, unless you know exactly how the future price will be determined and you agree to the method used to determine the future purchase price.

SAMPLE:

Purchase Option.

A. Tenant shall have the option (hereinafter “Purchase Option”) to purchase the Premises as follows:

(1) Purchase Price. The total purchase price for the Premises shall be $265,331.00 and 00/100 DOLLARS and shall be payable as follows:

**Both parties know exactly what the future purchase price shall be, and presumably both parties know that the buyers can afford the home at the future purchase price.

Non Refundable Option Payment. A non refundable option payment of $7,050.00 and 00/100 DOLLARS shall be due and payable upon full execution hereof of this option agreement, with $7,050.00 being applied 100% to the future purchase price.

(2) The balance of the Purchase price shall be payable in cash at closing.

B. In the event Buyer is unable to obtain financing at the end of the fourteen month lease term, Seller will extend this Lease Option agreement for an additional term provided Tenant has paid all rents on time, maintained the property according to the Agreement, and improved condition currently preventing financing.

C. In the event the property does not appraise at end of the lease term, Seller will extend the lease term with no increase in purchase price or monthly payment in order for the property to appraise, provided Buyer has complied with all terms of this Agreement.

**Both parties have tangible, measureable guidelines for determining whether Tenant/Buyer receives automatic lease term extension.