Investor To Buy Property And Give Me A Wrap.
Does anyone know how an agreement should read that will do the following:
1) Investor will buy a property that I want to hold.
2) Investor will give me the deed via Wrap Mortgage.
3) I will refinance within 90 days and give him back the orignal amount of the first loan plus our agreed upon fee for his help.
Obviously, this agreement will have to supercede deed transfers and the like.
Does anyone know of a better way to accomplish this (I cannot purchase any more properties right now but I can refi them).
JohnCl
[ Edited by JohnCl on Date 08/03/2004 ]
I didn't realize the deed transfers in a land contract/agreement for deed. I was thinking it was in escrow, with the buyer getting the tax benefits and the seller knowing the buyer cannot walk with the deed until he performs?
JohnCl
Deed doesn't transfer but most lenders will consider it a refinance anyway.
Below is a good way for you to know if someone could be misleading you about a loan and its costs to you. Just because you answer "yes" to these questions does not mean you are or have been a victim of mortgage fraud or predatory lending. But, if you answer "yes" to some of the questions, I recommend you contact the appropriate state agency
Just watch out for any of the following issues to avoid mortgage fraud:
You are offered a fee to use your name and credit information to obtain a mortgage.
You are encouraged to include false information on a loan application.
You are asked to leave signature lines or other important areas of a loan application blank.
The amount of the mortgage is higher than the value of the property.
The mortgage has gone through a series of refinancing and in each instance the amount of the mortgage has increased.
Do your documents reveal that your interest rate calculation will change to require you to pay "daily interest" in instances when your payments are late?
Check your loan file. Are any of the following disclosures missing?
Good Faith Estimate
Special Information Booklet
Truth in Lending
HUD-1 Settlement Statement
Unless there's a glaringly obvious reason to use the existing llc, my suggestion would be to start a new one. If your LLC gets sued, then they can get your current business also, but if you started a new one, they could just go after that one.
Just a thought from me, and I'm sure the experts on this board have many much better qualified answers for you...