Tonight I am getting my mls access, I think. I know we are going to go over my options, costs, if I will be an licensed assistant or actual realtor, etc. I'm very excited. However, I can see myself spending hours and hours on the mls checking things out... all the time. I'm sure it will be that way in the beginning but will taper off.
I spoke to my buyers lender and he seems confident that this FHA loan will go through. He said he's been doing this 8 years, knows his stuff and it's a solid loan. I told him I knew FHA lifted their 90 day rule but then imposed a cap on how much an investor can make. He said yes, some FHA lenders have that cap but the one he is using allows 50% profit. I will be making less than that so everything should be ok. I'm still a little skeptical because of everything you hear but it will be interesting going through the process to see, first hand, how it all works! One other thing I'm a little worried about is the appraisal. If you read my previous blogs you'll know that my appraisal for this property came back at $65k. But this took in to account a $25k POS house. Hopefully the next appraiser will be a little more mindful of the definition of "comps"... you know, comparable properties.
Next week we close on another HUD in a town called Waterford. I've had some interest from my CL ads and I just got an email today from one of my buyers. Haven't heard from this guy since I tried selling a short sale back in the day. See, never write someone off unless they ask to be written off. Who knows if it will work out but now I know he is at least reading my emails : )
The 3rd HUD we're closing 3/16 is in a town called Menomonee Falls. This is the one where we didn't have financing (my realtor found a lender that would send in our "HUD approved pre-approval letter"). I have been trying to get this thing financed by myself but was not having much luck. Two weeks ago my realtors broker said he would finance the property. Cool, right? Terms... I get 20% of the profit. YEP, 20%! Nice! You get totally screwed when you don't have any money. I've known about this for 2 weeks but was unable to type it out because it infuriates me so. I know, I know, I should be grateful he is willing to loan me the money. I should be grateful that I am not losing $1k of my EMD. I should be grateful that he is taking the risk. Yes, I should be grateful. And I AM grateful. But 20%, really? Oh well, something is better than nothing and I'm certainly not going to say no and let the deal fall apart!! Now with that said, I spoke to the lender today that changed their policy to only work in their county. I told him we have a contract on the Evansville house (they have the loan) and if they would consider lending on Menomonee Falls? I kind of asked tongue in cheek but he said it's already on the agenda to talk about at their Thursday meeting! I'm not counting on getting them to loan it but if they can that would be great! I am going to see the broker tonight so I'm going to talk to him about this and see if we can work something out if the bank finances me. Maybe I'll give HIM 20% for helping me out!?! We'll see how it pans out.
P.S. Remember... head on over to Stephs blog for my interview. I'm pretty proud of it myself. I didn't sound like a complete idiot!!
P.S.S. Everyone have a good day!!