OfflineI am currently working on my first deal and Im just wondering if I should be concerned about anything. There is a beautiful home in Queens that is worth in comparison to the homes similar to that one in the mid 500 thousands. The owner is about to hit foreclosure and he is willing to transfer the title to me for 11k and the bank would be willing to settle the mortgage with me in the mid 300 thousand range. Does this sound feasible? Should I be concerned about anything?
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Sounds like you could be in line to pick up a huge chunk of equity. You would want a title search done, especially if the owner is about to hit rock bottom. What does the house appraise for? Make sure you are not looking at this deal being upside down, meaning he owes more than the house is worth. Keep us informed, sounds interesting....Jan
So what do I do? How do I go about doing a title search and what king of info will I get by doing the search?
As part of your team you should have a title agent who can do title searches. I use one title agent and when the deal is succesful he is rewarded as I also use his organization to finalize the deal and pay them their fees as well.
The fees should not be exorbitant. Contact a few and build a rapport with them.
Please note. Very Important.
Do not attempt to do a title search on your own. There may be hidden fines (not liens) such as taxes, state, county, city that may be attached to all properties of the owner that will NOT show up with a basic review. My title agent saved me from $1,5000,000 (one point five million dollar) fine that the city had levied against the properties. So the next owner pays these fines. The price of this property $6.7K. I was still able to purchase the property and my title agent and his team had the city remove the fines on the property.
The greatest force on Earth, compounding interest. - Albert Einstein