I'm going to kick some serious butt in 2010!

I got 1 response from an email I sent the other day regarding private money. He wanted to know what kind of return his investors could expect. I quickly emailed Shae and looked up some info in the flippinghomes.com archives. Both Shae and the archives gave me some great info so this is how I responded:

"Good Morning Gary!

8-10% annualized. I'm looking at a 3 month term for starters with interest only payments being made at the end of the term. The investor would be in the first position and their investment would be secured by the real estate.

I also have another property coming up that you may be interested in. It is across the street from Wind Lake - 3BR/1BA needing the typical work but no basement. The address is 26215 S. Wind Lake Road if you wanted to take a look - $69k if you can close quickly.

Let me know on both or if you need more information."

I know I didn't give a ton of info but I intentionally kept it brief. I hope it will pique his curiosity and get them thinking! So now I really feel like I can continue down this path and make things happen in 2010. Not that I didn't think I could make things happen before but I just see more doors opening for me with private funds. We'll see how this goes and if they're even interested. However, now I know that people will at least check out my program. I need to invest in the www.privatemoneyblueprint.com system to really get going!

Hopefully I'll have some type of update later today!

Got my Pre-Approval!

My realtor came through in the clutch and got a lender to provide the pre-approval for our next HUD property. This one will most likely close in late March/early April provided we attain funds for the closing! I'm crossing 1 bridge at a time here...

Trevor from www.privatemoneyblueprint.com answered some questions I had on my last post. I thought that was pretty great.

Neither investor replied to the emails I sent regarding loaning private money. They're usually pretty good about saying yes or no about something so I'm hoping they are "thinking it over" : )

Our 1st HUD of the year closes Feb 11th. I sent an email to my buyers list not expecting anyone to reply since it's in a different county but lo and behold someone wants to take a looksy. They are actually going to do a drive by today and let me know if they want to go in. Man, would that be awesome to have a contract prior to closing! What a concept!! heehee.

That's it for now, talk soon!

May lose my first deal due to funding... MAYBE

And so it goes, the HML decided not to fund my next contract. As I said in my last post he likes the "warm and fuzzy" of knowing that the person he lends to will be able to get re-financed out of his hard money loan if the house doesn't sell. If someone can get financed by a regular bank why in the he!! would they need a hard money guy??!?! But I digress... So Shae has really got me thinking about private money. I don't think I will be able to go as far as I want only using local banks. Don't get me wrong they are great and I will most likely always use them but they change their policies/procedures so damn often that I am constantly having to run around trying to find another lender. I know, it's the way it goes for a lot of investors it's just annoying!! So I signed up at www.privatemoneyblueprint.com and have been trying to watch their free videos. I was hoping they had a download so I could listen to it on the way to work but I couldn't find one anywhere. So I tried watching a video last night at home and it (my computer) is so slow! It has to load up 45 seconds worth of video every minute or so. Uuurrrggh. I was trying to see how they structure their loans. I might just buy their system, I don't know. I need to do something though! I want to thank Shae again for bringing this to my attention!!

In the meantime I sent 1 of my buyers an email saying I was on the lookout for people who want to invest their money in real estate. He is in the mortgage industry and may know someone. Hey, it's a start.... I also sent an email to another one of my buyers who I KNOW has a lot of cashola about this new HUD property. He invests in this specific county and may be interested? I sent the email only to him in hopes he would at least want to take a look. If he wants the house my funding should not be an issue. If he doesn't want the house I am going to approach him about investing in ME!

Finally my realtor is supposedly getting a lender to get a HUD pre-approval written up for me. This will get the contract solidified BUT I will still need to find the money over the next month or so.

That's it for now. Hopefully some good news will be a comin' soon!

Have not heard anything yet

I'm still waiting to hear back from the HML about funding my new HUD contract. I will be surprised if he passes but you just never know. This is the guy that has been burned in the past with people defaulting on his loans. I can't say I blame him for being gunshy but I'm hoping he'll get all warm and fuzzy when he drives by the place. It is the typical ugly house surrounded by nice houses scenario. I guess we will see though...

The lady at the other bank said she could not fund this deal. She did however tell me that if I refinanced our rental unit with another bank we would open up our line of credit for more properties. What?! I was kind of surprised (in a good way) to hear that. Soo, I am calling another bank Monday to see if they would be able to do that for me.

I was also reading the paper today and came across an ad that said something along the lines of "Need money to buy houses, no credit, no problem". Me being the skeptic I am I think it is a scam. However, I will be calling on the off chance that they have millions to lend out. Once again, you just never know : )

Also, lovely Shae gave me a couple websites to visit and see if I can get some tips on recruiting private money. I am SOOO bad at that stuff though. This is the kind of thing my husband is great at. Maybe I should make him the money guy?!?! hmmmm.

Alrighty nothing more to report. Hopefully Monday I'll have some good news!

Another HUD under contract... maybe...

More roadblocks and more roadblocks and more roadblocks.....

A new HUD property was listed about 2 weeks ago at a great price so I went out to take a look this past Saturday. On Monday it was open for investor bidding and I wanted to be sure it wasn't falling over before submitting a bid. I also wanted to submit a "real" bid since I suspected someone would pick it up quickly. Anyway, I submitted an offer that I thought might be rejected or might be accepted, I didn't know. It was accepted - YEAH! This is in a fabulous, well established neighborhood. It's close to schools, parks, expressways, etc, etc. The sold comps for other foreclosures in the area are high $90's - low $100's on the market for 2 weeks or so. The current listings have nothing under $122k. We got the property for $85k. It is in very good shape as HUD's go and should sell quickly.

The problem: The new bank I was using changed their policy as of Jan. 1st to lend in ONLY 1 county. As you might have guessed that county is NOT the county my new property is located. So now I have to ask the other bank I work with to provide my pre-approval. I do not think she will do this since we have another HUD under contract with her and she is SUPER conservative. My final person to reach out to is the mortgage guy I've used in the past to see if his hard money guy will lend to me. This is closer to his area so it may not be a problem but it is obviously way more expensive. HUD is requiring this pre-approval within hours of signed contract so it's really hard to delay. Urgh. I need some cash partners.

On a brighter note my goals are going pretty well. It's not perfect but I'm just trying to be consistant.

I've got more to say but I gotta run! Wish me luck!!!

No new HUD contract

My husband went to look at the HUD I blogged about yesterday and he really liked it. Of course it needed the inevitable cosmetic work - flooring, carpet, patch work, etc - and we were also calculating in a new roof since it was convered with snow. We submitted another offer yesterday and when I looked today it was sold... not to me. An owner occupant got it in the high $90's. This person got a great deal! It sucks we didn't get it but I will definately keep an eye on it since a lot come back on the market (especially if they will not be able to prove they have their downpayment!).

The HUD we are closing in Feb. has the foundation inspection today. Hope all goes well!

Have a great day!

First post of the New Year - Here's to a Fabulous 2010!!

Happy New Year everyone! We had a great Christmas and New Year. I was on call at the hospital for Christmas so I only made my in-laws on Christmas day. Later in the day my husband took our kids down to my parents for dinner. They all had a wonderful time and have enough toys to REfill our toy room. New Years eve was fun too. We ended up having small party at the last minute and I was over served : ) We had a wonderful time dancing, singing, playing dice/cards, etc. Anyhoo, it's back to business now.

I've been working on my goals for the new year and I'm doing pretty good. I now need to put an action plan into place. Honestly, I'm not really sure how to do that?? I know the basics but I'll have to read up on that.... BTW, I finished Brian Tracy's book for Steph's book club (go to www.flipthiswholesaler.net on the 7th to join in!). This book had some quality information but I wasn't crazy about his writing style. I'm looking forward to her next pick.

Right now we have 2 HUD's under contract so far for the year. One will be closing on 2/11 and we do not have a closing date for the other yet. probably the end of February or the beginning of March. There is another HUD my husband is going to look at today that could be another great deal. It's comping out at an easy $160k and we can get it right now for $90k (which I think is still too high - it's due for a price reduction soon). It doesn't sound like it needs a lot of work but that's why we need to go look. I'll keep you all posted.

I looked at 4 houses this past weekend and I will make an offer on at least one. These are regular REO's but we are VERY far apart on numbers so do not think there is a deal there - yet! I'm staying very focused on HUD's too. You know they changed their policies a little. You now need to show proof of funds for you downpayment monies. So if your bank gives you a pre-approval for 80% of your loan you now need to send them a bank statement (or something) showing you have money to close the deal. It is a pain in the ass but I know why they are doing it....

I have to run. Today is my daughters 5th birthday! I can't believe she is 5 already!! She acts like she's 15 though..... heehee!