Financing and Credit

Greetings To Everyone,

I'm looking to get started in investing but I'm very unsure where I should start. The information on this site is absolutely phenomenal and I'm absorbing it all in the best I can. Any insight would be wonderful and hopefully some of you can help me see the light where I may not be seeing it at. I'm one of the ones from the small town thinking this may not work but trying very hard to see past that. Again, any insight would be very very helpful.

Chris

There are many issues that a lender has to deal with when making a decision to foreclose on a homeowner. One thing that becomes a big issue when making this decision for a lender is mortgage insurance. If the home owners are paying PMI (private mortgage insurance), the lender stands to lose much less with going through with the foreclosure. This insurance makes up a portion of the loss to the lender. Because of this insurance, the lender’s motivation to work out a deal with the homeowner via loan modification and keep them in their home is diminished by the mortgage insurance.

i am wanting to place ads for investors...BUT.... what are the ins and outs of private investing so that it is a good deal for them and me.

SPECIFICALLY
say i find investors that want to just invest for a great return say 12 -15% anually with a $10,000 or more investment...

EXAMPLE: investor puts up $50,000@ 13.5% for 2years at the end of the 2 years his return would be $17,500 per year???? (plus his 50000 of course) AM I THINKING CORRECTLY OR CAN SOMEONE PLEASE EXPLAIN OR HAVE OTHER DETAILS ???????????????

PLEASE HELP

Contract for Deed

I was talking with a client today who is controlling a property by using a contract for deed. These are referred to in some areas as a land contract. The owner was in default on their mortgage and had moved away. The owner was willing to sell the property on a contract for deed for the amount owed on the first mortgage. The buyer began making the monthly payments and had leased the property after doing some repair to the property. He had nice monthly cash flow after making the contract payment to the seller’s lender.

I am trying to understand the costs of using a hard money lender. Can someone tell me if this is correct (all numbers are estimates);
Purchase price: 100,000
HML rate: 12.5%
HML loan%: 70%
Points: 7

So at closing my costs would look like this,
30 % of the loan: 30,000
HML points: 4,900
Closing Costs(estimated 7%) 7,000

Total cost to close 41,900

And holding cost would be around 700 a month plus taxes and insurance.

Was wondering if anyone new what this meant: HomePath Mortgage & HomePath Renovation Mortgage Financing. I am finding some properties 4/2 and 3/2 for under $50K, over 1800 sq ft. beautiful homes. however, i haven't finished dean's book, nor completed all research for the area. Should I try to make a deal for these properties? Or is it still too soon? Any comments are appreciated.

Good morning all,

I just found this place and wondered if anyone has had any dealing with them? If they are legit, they could come in handy in funding some deals.

http://www.onedayfunding.com/index.html

Vincent

I need info advice on placing an ad for investors. i want to seek to have investors invest into a pool that i could use to purchase killer deals. any legalities advice or is it legal???? NEEDING ADVICE OF LEGALITIES or should i just seek out ivestors individually

There are many benefits for doing an owner-carry sale as opposed to conventional financing for both the buyer and seller. In most cases the transaction is “Win/Win” for both parties. As an investor, you can rent, sell or live in the property.
Seller Benefit

Happy Friday!
I am working on a wholesale deal. This is an REO and I need to give $1,000 deposit and must show proof of funds before they accept my offer. I can't get proof of funds until I have buyer contract. I can't get buyer contract until I lock up the deal. I have a very qualified buyer in mind for this.
But this is where I always get confused. Which comes first?
Thanks,
Brenda