Texas Foreclosure?
I currently gave a 2nd mortgage of 20K (for rehab) to an investor for a property. The note was for 3 months, with a 3 month extension if necesary. The note started on January 30, 2007. I was paid 3 months of prepaid interest up front, and was suppose to have my first payment given to me on May 1st. I have not received any payments and the balloon is ending on July 30. What happens when the note ends on July 30th and I have not been paid? Is there anything I can do now to get the process rolling instead of waiting until july 30th.
I am very worried since this is a lot of money. any help would be greatly appreciated!!!
Aron
Hold on, there is no more evidence or likelihood of a new owner doing something to the roof than the old one.
If fact, this property was a dump and I invested $20k in fixing it up.
So far as I know, termite warranties and other kinds are transferable. If it is not explicit in the warranty, how can it not be? For $10k, the roof should covered for more than 14 months.
I have replaced roofs at other properties and been told, as a matter of course, that the warranty goes with the property, not the owner.
Thanks for the reply though.
Our warranties clearly state they are not transferable. The roofer cannot say 95% are non transferable if that is not stated in the warranty docs or contracts.
Call Dept of Business and Professional regulation or go to www.myflorida.com and file a complaint. You will be surprised how fast they respond
Have you attempted to resolve this w/ the previous owner? He should work with this roofer to accomodate you.
I understand the roofers stance on this. He does not know you from Adam. Why would he want to spend time/resources investigating a problem that for all he knows is not a result of inferior work.
However he has had a working relationship with the previous owner and may be more apt to take care of his customer.
If this doen not work I would then take the approach of reporting his company to the state licensing board.
We are GCs and we used licensed subs or regular employees and while some are immigrants they are all legal (as far as we know via checking their docs and confinming with SS).
I can say that making money in this industry is difficult unless you are willing to pay folks under the table and use illegals which we do not do. As a result our prices tend to be higher than most but we warranty our work for at least one year.
Most of the work we are doing these days is for folks who turned down our proposals, got the super cheap later and got buildings that cannot pass code. For those folks we charge 4 times our normal hourly because it is a major hassle and those jobs carry no warranties because they often do not want to pay for us to fix the defects thoroughly.
Our warranties are not transferable although we do make exceptions. Usually if the job is less than 90 days completed we will allow transfer.
We did a lot of roofs in 2005 and 3006 and we have had to go back on only 3 and 2 we would not cover under warranty because the homeowners had other folks messing around on the roof before they called us.
Not everyone in the construction industry is a shyster but the industry does make it hard for the legitimate folks who want to work fully within the law.
You should also call the BBB and check to see if they were licensed locally when they did they work. Leverage is the name of the game. I want to reiterate that if the contract does not say it is non-transferable then they have to back it up.
"I want to reiterate that if the contract does not say it is non-transferable then they have to back it up."
I agree. The question is whether I pay an attorney to force the company to address this minor problem now. If I fix it myself, by definition, I will have violated the terms of the warranty that they are saying is non transferable.
This is why I like the strategy of the BBB and DPBR first. I fully expect them to ignore me, then at least I have exhausted all options before a costly legal battle.
Unless everybody wants to go to Orlando with me to picket...
Thanks for the information, gentlemen.
The latest:
I made a complaint with the BBB of Orlando. Surprisingly, and rapidly, the company replied through the BBB that they never received any communications from me. I emailed them multiple times through their web site and faxed to numbers on the warranty, receipt and their website.
They just called me now and said they sold the South Florida office and that they are having many problems. (I would say since their numbers are either disconnected or not being answered). The warranty says the name of the company in Orlando in the body but says to refer inquiries to the Pompano Beach office.
Stay tuned.
What about the eviction process in FL? Once you have title it would seem that an eviction might be easy since he was never your tenant.
You have to file an ejectment. Once the title is quieted. The attorney doing the quiet title should know that as it immediately follows the quiet title process on the rules of procedure
Disclaimer: I am not an attorney.
Went by the home today and the previous owner was there with his daughter. Said he has no intention of leaving, according to him the paperwork the county sent him said he had until the 8th of January to get this paid up, when he showed up on the 8th they told him his house was already sold. (I purchased at auction on the 7th).
I asked him to send that paperwork to my lawyer, he said he would. If that turns out to be true - would it invalidate the sale? What would happen at that point?
Nick
If he has a letter that states what he said it invalidates the sale. However, you cannot pressure him out if the property as that is illegal. You can go to the County Clerk Tax Deed and check the file for the property. That will have copies of all letters and notices.
And as I already said - You need to file an ejectment after the title is quieted.
is the cost of operating and forming LLC worth the shelter tht it that it provides?
My first thought is take it out of your own name and put it in a trust.
I hear you. But what kind of trust, and what issues do you run into with the mortgage company when you do so? To do it right, a new deed in the name of the trust needs to be recorded, and once that is done, the mortgage company would be notified. Also, the insurance and tax bills need to be changed.
- Joe
Joe,
A trust would probably do little to protect you. If you are sued, the first thing an attorney will do is run your name through the courthouse records computer. A lien from your mortgage co. will be recorded with the original amount -- evidence that you probably still own the property.
When you show up in court, the judge will ask if you have any assets in trusts, corporations, etc. Since perjury is not an option, the game is up.
Does an umbrella policy protect against only issues arising from damage related to the house or property, or does it also give you protection if one is sued for other things?
- Joe
I’ll rephrase my previous post… my attorney recommends putting just about everything in a trust. And depending on your personal situation, some assets may need to be in a revocable trust, some in an irrevocable trust, etc. But the best way to structure things really requires legal advice -- which I can’t give.
talk to the atty about the concept of equity stripping.
http://www.assetprotectionbook.com/equity_stripping.htm
http://www.alperlaw.com/equity_stripping.htm
http://www.rjmintz.com/equity_stripping.html
IN a state like Florida homestead is one of the best protection. That followed by having Joint tenant in entirety (only applicable if Husband and wife in full marriage terms) in pretty solid.