Subject To Existing Financing/probate

Comments(7)

• 
  sire18th February, 2005

  Yes you can use the Landtrust. This way the Roth done not take on debt which is illeagal. You might want to look up a truely self directed IRA for details. If you are over 59 this is a great way to pay yourself without paying taxes.
  Best to you
  Sire

• 
  InActive_Account11th February, 2005

  8-) J.B. Sounds like a winner here and some good advice from the other posts as well.
  
  Always make the balloon to your buyer less than what you have with your seller. You could advertise with a 4 year balloon or even 3 years, to your buyer and that will give you some time until your balloon is due your seller, to either give your buyer more time, or get another buyer.
  
  There is nothing wrong with balloons and if they are out far enough and there is still a positive cash flow for your self and a back end profit, why sweat it?
  
  Credit is huge on your buyer and even if they have some dings on their report, 3 years is usually plenty of time to clean up credit.
  
  Lots of options here and this should be a winner for you as long as the buyer has good job history and decent enough credit. Good luck to you and hope this helps.
  
  
  [addsig]

• 
  jfmlv195019th February, 2005

  Hi dominicd,
  
  It is always good to meet another out-of-the-box thinker.
  
  Sales price has no bearing on the deal. I say again Sales price has no bearing on the deal. BECAUSE it has to do with the motivation of the seller.
  
  I recommend you read the following two articles to see if they will apply to your deal and your current investment strategy .
  
  http://www.thecreativeinvestor.com/modules.php?name=News&file=article&articleid=146
  
  http://www.thecreativeinvestor.com/modules.php?name=News&file=article&articleid=266
  
  Hope this helps
  
  John (LV)

• 
  ZinOrganization17th February, 2005

  oh and if i do decide to flat out get a new policy with me as main insured, if the ins. co. askes who owns should i tell them i do.
  
  also i have heard that i better get the bank thing right. i name them as mortgagee? and something about getting the same mortgage clause from the old policy into the new one so as to not alarm them. how do i go about doing that?
  
  if im using a trust and my company is beneficiary and im the trustee. isnt the owner supposed to be the main insured, and if thats the case it would be my co. and be impossible to get a decent policy correct? or would the deeded owner be me as trustee?
  
  anyhelp would be delightful. thanks
  
  i will also ask my attorney on tuesday what he thinks.[ Edited by ZinOrganization on Date 02/18/2005 ]

• 
  ZinOrganization18th February, 2005

  i believe John keeps the original policy in place, and his letter basically states that the policy be changed to landlord and that he is now the property manager and all claims, premiums,info, and proceeds will go to him as property manager.
  
  this is part of what my trust doc. states - "the trustee shall have the authority to hold the legal title to all of the trust property, and shall have the exclusive managemnet and control of the property as if he were the absolute owner thereof, and the trustee is hereby given full power to do all things and perform all acts which in his judgment are necessary, etc."
  
  so basically if i were to go the proper route and get a new policy, i as trustee would be the main insured, and not my company? the mortgage co would remain as mortgagee along with the proper clause? and the old owner would be additional insured, is that correct?
  
  to get that old mortgage clause in the new contract i would just tell them to damn well make sure it gets in there?
  
  thanks your a huge help. 1000+ properties is alot.[ Edited by ZinOrganization on Date 02/18/2005 ]

• 
  norrist18th February, 2005

  Quote:
  On 2005-02-18 21:09, ZinOrganization wrote:
  i believe John keeps the original policy in place, and his letter basically states that the policy be changed to landlord and that he is now the property manager and all claims, premiums,info, and proceeds will go to him as property manager.
  
  The original policy is no longer valid as the property is now non-owner occupied. He must get a new Landlord policy...if not, he needs to do this...
  
  this is part of what my trust doc. states - "the trustee shall have the authority to hold the legal title to all of the trust property, and shall have the exclusive managemnet and control of the property as if he were the absolute owner thereof, and the trustee is hereby given full power to do all things and perform all acts which in his judgment are necessary, etc."
  
  so basically if i were to go the proper route and get a new policy, i as trustee would be the main insured, and not my company?
  
  Whatever entity OWNS the property is first-named insured. If a trust, the Trustee simply adheres to the trust language, but the TRUST itself should be the first named insured.
  
  the mortgage co would remain as mortgagee along with the proper clause? and the old owner would be additional insured, is that correct?
  
  Yes and Yes.
  
  to get that old mortgage clause in the new contract i would just tell them to damn well make sure it gets in there?
  
  Make sure you get the CORRECT clause. Many times the old one is outdated. No sense creating any havoc with the mortgage company...
  
  thanks your a huge help. 1000+ properties is alot.
  
  No problem at all. Have a great weekend!
  
  <font size=-1>[ Edited by ZinOrganization on Date 02/18/2005 ]</font>

• 
  ZinOrganization18th February, 2005

  thank you for your detailed response, its all coming together for me now.
  
  yes johns letter stipulates that the policy be changed to a landlord policy or if it cant be done then a new landlord policy be made.
  
  so how would i go about getting an updated clause into the new policy? i definetly dont want to stir things up with the mortg. co.
  
  thanks again.