Fort Lauderdale Real Estate

Short Sale Questions

Robin Sing-Cunningham — Thu, 11 Mar 2010 14:29:10 +0000

Update: We originally posted this article on September 30, 2008 but we’re getting so many questions we decided to kick back to the top for our readers.

As it seems the bailout in some form or another is imminent, one thing is for certain. Banks are going to be more motivated than ever to mitigate their losses and to dump as many non-performing assets off of their books as possible. This means liquidating REO properties and also settling as many defaulted loans via the Short Sale method as possible.

So I thought it might be important to have somewhat of a quick FAQ refresher on Short Sales.

What is a Short Sale? Simply stated, a short sale occurs when a lender agrees to accept less than what is owed on the mortgage in order to facilitate the sale of the property to another buyer thereby ending the foreclosure process.

Will The Bank Go After The Seller For The Shortfall difference? The bank is attempting to mitigate their losses. What that means is they are trying to make the best out of a bad situation and to recover as much money as they can even though they are going to incur a loss. If you have funds available, of course they are going to seek to collect. However if you can show true hardship, the lender is not going to come after you after the Short Sale as they will be releasing you and satisfying the mortgage.

Don’t listen to hogwash from inexperienced Realtors who have no idea what they are talking about. A short sale is a short “payoff” of your loan. If the bank agrees to a short sale then they are agreeing to paying off your loan. It’s done! Nothing else to collect upon.

Why Do I Have To Provide Personal Financial Information? Well, you applied for a loan and said you could afford it. Now you are saying you can’t. What happened? The information that you provide will allow for a overview of your situation and determine if you actually qualify for a short sale.You just don’t get approved for a short sale because you made a bad investment or your home value plummeted. That’s not the purpose of a short sale. All lenders require a complete short sale package, including tax returns, bank statements, pay stubs, etc, to show that there is a genuine hardship or the need to sell.

I Heard The IRS will 1099 me for the Amount Of Debt Forgiven. The Mortgage Relief Debt Act of 2008 does not permit lenders to issue a 1099 to a borrower for a deficiency balance on a primary residence.Investors, and second homeowners you may be subject to a 1099 but the IRS has other ways for you to avoid taxation issues. Ask your lawyer or accountant about IRS Form 982.

Will A Short Sale Destroy My Credit? No, not paying your mortgage took care of that. However a short sale is not as bad as the dreaded “F” of a foreclosure.. The short sale may not show up on your credit at all. In fact, most mortgage trade lines report “Mortgage Paid” after a short sale. Any late payment history will still appear, as will any Notice of Default filings. What won’t report is an actual foreclosure. A promissory note may prevent the lender from reporting the mortgage as a loss. In today’s credit market, a foreclosure may prevent you from obtaining a mortgage for at least 5 years or more, even longer than a bankruptcy.

How Long Will This Take? That’s the million dollar question! It varies from lender to lender and deal to deal. We have closed some deals in as little as three weeks and some have taken as many as eight months. It all depends. What does move the process along faster is working with an experienced and knowledgeable short sale specialist who has relationships with lenders and can complete a professional package for submission to the lender and subsequently enter into aggressive negotiations on your behalf.

Why Should I accept Such a Low Offer On My Property? Does it matter? This is where some Realtors just don’t get it. What difference does it make to you as the Seller? This is not meant to be harsh but you’re going to lose your home either way. Either to the bank or to another buyer. To sell quickly, you must list the property at or below current market value, not what you wish you could sell for, or what you think the property should be worth.

Do I have To Pay An Agent? You can’t or rather it’s not advisable for you to be personally involved in a short sale. There is no special licensing required by anyone to work on a short sale. Real estate agents, Investors, specialized foreclosure firms, attorneys and we have even heard of Pastors working on short sales. It really does not matter who executes the short sale on your behalf but I would think you would want someone who is obviously experienced and for security I would want someone who is a professional governed by a licensing law . Additionally, the idea of a short sale is to actually SELL the property so it will need to be put on the market in some manner whether by an agent or for sale by owner.

Will This Cost Me Anything? Absolutely not! And if anyone asks you for money, fire them on the spot. Also, make sure that you write into any document that you sign hiring someone that you will “not be responsible for payment of any fees or payments and the request for payment of any fees or payments for your services or any services related to my transaction shall serve to immediately void and terminate any agreement that we have in previously executed”. That’s shark repellent!

Will I Get Any Money From The Sale? Sorry you won’t. Most, if not all banks require that the Seller receive no proceeds as the result of the short sale transaction. Not usually. Most lenders will not allow a borrower to receive any money. If the lender thinks you are getting paid from the sale, they will immediately kill the deal.

If you have any questions about a short sale or if you are in foreclosure and need help or advice on your options regarding a short sale, please feel free to give me a call at 954-709-7461, or you can send me an email at robins@robinashley.com. You can also contact me by utilizing the form below.

Servicers Still Coping With HAMP And Looking to Other Mod Programs Inside Mortgage Finance, on Thu, 11 Mar 2010 08:19:10 -0800 Servicers have been hamstrung by several aspects of the Obama administration’s Home Affordable Modification Program, and as they look for ways to opt out of …

Find out the truth about deficiency judgments. And check out this great resource on deficiency judgments as well.

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Fort Lauderdale Real Estate Deal Of The Week – March 9, 2010

Barry Cunningham — Wed, 10 Mar 2010 00:46:58 +0000

Fort Lauderdale Real Estate Deal Of The Week!

You know how people in the real estate business always glorify things as being sooooo good of a home? Well don’t be fooled into thinking that this is hype. This week’s feature property is smoking! All you need is your toothbrush. I’m sure you’ve heard that before! And I apologize for lying. You’ll probably need your furniture..maybe your clothes…definitely some food…and you’ll surely need a television…but not much else! Check out this week’s deal.

Sorry..no video this week. Why? It will take longer for me to make the video than it will to sell this house. Hint..hint..if you want this you had better jump real fast. I am sure we’ll move this in a day or so. But hey..what else is new? These foreclosures are absolutely flying off of the shelves.

What makes this property so much different is it isn’t one of our investor specials. This is one of those rare foreclosures that is in pristine move in condition.

We have been so busy as the market has really taken off down here. If you have signed up for our property alerts, you have seen how fast the properties that we feature end up being sold. Most of the deals that we come across move before we have had a chance to feature them on the deal of the week. Due to the type of market that we’re in, we’ve made some changes and if you want to know what’s hot and what’s moving, then you’ll like the changes.

The big change we have made is to focus on moving Fort Lauderdale foreclosures, Fort Lauderdale investment properties and Fort Lauderdale short sales. Why? It’s what we get the most calls on and the buyers for these properties seem more ready to act. So we all had a meeting and said why don’t we give the people what they want.

So what you’re going to be seeing here on the Fort Lauderdale Real Estate Deal Of The Week are some of the most profitable deals on the market. Also, make sure that you read about our new Real Estate Concierge Service and register for free!

John D. Rockefeller once said that the “Time to buy is when blood is running through the streets“. I think it worked out well for him and the streets in South Florida are looking bright red to us so … What do you say?l Let’s make some money together!

Notice: Here is a Fort Lauderdale foreclosure property that we want to give Investors an opportunity to review. Please be advised that these properties often sell in a matter of days. The last property we featured sold in a few hours. So if you are interested, please act fast. This is not sales hype, these deals don’t need any hype. They are flat out good properties that investors in Fort Lauderdale are looking for. So when they see good deals they move quickly.

All of our Investor properties are offered on the basis of CASH OR HARD MONEY ONLY! No exceptions. If you are going to submit an offer please be prepared to meet the terms as shown in the property details.

This Home Is In Move In Condition!

Address: 5468 NW 45 Way Coconut Creek, FL 33073

Asking Price: Just $199,000.00 OBO

Description: Completely Upgraded home in Winston Park. Incredible brand new kitchen with Granite countertops and stainless steel appliances. Remodeled bathrooms with marble walls and granite counter tops. Located on a cul-de-sac and A-rated school districts. Built in 1991!

Bedrooms: 3 Bathrooms: 2 Square Feet: approximately 1,700

Repairs Needed: NONE!

Click Here To View Map Of Property Location

Terms Of The Deal:$2,500.00 deposit in the form of a cashiers check made out to the law firm of Wesoloski & Carlson. Closing within 20 days. Once you have completed inspections and are ready to make an offer, we will send you the contract for your review and execution. Please return the contract with the cashiers check.

Inspection Period: These Investor properties are sold in “As-Is” condition. No repairs, alterations or improvements will be made. If you need to inspect the property please do so BEFORE you put in an offer. Or email us to make mutually agreeable inspection arrangements.

Code Violations: Most of the investment properties that we feature are distressed properties. This means they are more than likely in some stage of foreclosure or have gone through the foreclosure process. If any code violations exist they are the responsibility of the Buyer to rectify.

Note to Realtors: If you are a Realtor please be advised that we do not pay commission. If you want commission it must be added to the price you quote your buyer. Our price is net to us. For instance if we are seeking $75,000.00 , you will not be paid a percentage of that amount. If you desire to make your customary 3%, you must add it to the price of the property. For instance if we show a price of $75,000.00 and you have a buyer then you would add your 3% to your buyer’s purchase price or in this instance you would quote your buyer $77,250.00.

Disclaimer:These properties are being marketed by Real Estate Radio USA and are not being marketed by any real estate agent associated with the Fort Lauderdale Real Estate Blog. We are a private real estate investment company.

If you have any questions about this property or any other property for sale in the metropolitan Fort Lauderdale area, please feel free to email me or give me a call at 954-709-7461.

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We Buy Ugly Houses, We Buy Houses Fast, And We Buy Houses In Any Condition!

Barry Cunningham — Wed, 03 Mar 2010 15:01:22 +0000

We Buy Ugly Houses Too! We Buy Houses In Fort Lauderdale! We Buy Houses For Cash!

We don’t need any financing and we can close very quickly. We are trying to buy as many Fort Lauderdale foreclosures and short sales as we can get our hands on. We have so many buyers, who are willing to pay cash for these deals that it’s a no-brainer to begin buying again.

If you own a home in South Florida that you need to sell quickly and without a hassle then you need to give us a call as soon as possible. We are CASH BUYERS! If you’re a Realtor with a home in the Fort Lauderdale area that needs to be sold quickly to avoid foreclosure and you have a short sale that’s just sitting there…then you need to give us a call!

As the Fort Lauderdale real estate market is beginning to sizzle, the investment side of our business is really picking up and we are buying property again. We keep quoting John D. Rockefeller because what the Captain of Industrialism said is indeed so very true. “The time to buy is when there is blood running through the streets.”

Well like Eddie Murphy and Dan Ackroyd in the movie Trading Places, we waited, and waited to the point of where everyone is selling and now feel that it’s the right time to begin buying again.

So if you have a house that you need to sell, and need to sell fast, then give us a call or send us an email and we’ll get you an offer right away

Is your home for sale? Are you a Realtor with a listing about to expire? Are you a bank asset manager that has an REO property that you need to dispose of quickly? Then we can help!

There are many reasons that someone may need to sell a home quickly and without any hassle. Whatever the reason is that you need to sell, we and investment buyers in our network, are ready willing and able to make your house selling experience a successful one.

House selling has never been easier, thanks to the Fort Lauderdale Real Estate Instant Offer system. If you are truly motivated and if you really need to sell your property, then our Instant Offer system may be the answer you have been waiting for.

We can work with homeowners directly or through a licensed Realtor. Either way, our objective is to get the deal done.

If you would like an offer on your home, or if you are a Realtor who would like to receive an offer…your fast, free, no obligation offer is just a click away.

We will look at property in any location, in any neighborhood and in any condition

Simply fill click here to fill out the Fort Lauderdale Real Estate Instant Offer Request Form and we will send you a free no obligation offer on your property within 24 hours and often within just 30 minutes or less subject to business hours and demand.

By submitting this information you are not committing to sell and any response, verbal or written, is not a commitment to purchase. An obligation to sell and an obligation to purchase will be determined by the mutual execution of a valid contract for purchase and sale of real estate as negotiated between you the seller and our company and or our assigns as purchasers. Any real estate commissions that may be due are the responsibility of the seller unless otherwise agreed to in a valid contract for purchase and sale of real estate as negotiated between you the seller and our company and or our assigns as purchasers. Any such offer and acceptance will be subject to the laws of the state in which the subject property is located. If we are not able to come to an agreement regarding the terms and condition of the sale and purchase of your property, then neither party shall have any obligation to the other pursuant any exchange of information that is the result of your submission on this website.

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Fort Lauderdale Real Estate Deal OF The Week – March 1, 2010

Barry Cunningham — Tue, 02 Mar 2010 04:37:13 +0000

Fort Lauderdale Real Estate Deal Of The Week!

Well… it’s baaaack! The hugely popular deal of the week is back! We have been so busy as the market has really taken off down here. If you have signed up for our property alerts, you have seen how fast the properties that we feature end up being sold. Most of the deals that we come across move before we have had a chance to feature them on the deal of the week. Due to the type of market that we’re in, we’ve made some changes and if you want to know what’s hot and what’s moving, then you’ll like the changes.

The big change we have made is to focus on moving Fort Lauderdale foreclosures, investment properties and short sales. Why? It’s what we get the most calls on and the buyers for these properties seem more ready to act. So we all had a meeting and said why don’t we give the people what they want.

This Property Is A Veritable Cash Cow!

Address: 709 SW 15 AVE FORT LAUDERDALE FL 33312

Asking Price: $170,000.00 OBO

Tas Assessor’s Valuation: $261,000.00

Description:This four plex consists of Four separate 2 bedroom / 1 bathroom units. Each unit is approximately 750 square feet and should rent for a minimum of $800.00 per month. If you choose to rent to Section 8 tenants you can get even higher rents.

Monthly Income Potential: $3,200.00 +

Annual Income Potential: $38,400.00 +

Repairs Needed: Each unit would need a new kitchen and a new bathroom. Repairs needed and recommended to the entire property would be estimated to be approximately $30,000.00.

Here’s a short video on the Deal of The Week!

[See post to watch Flash video]

Click Here To View Map Of Property Location

Terms Of The Deal:$2,500.00 deposit in the form of a cashiers check made out to the law firm of Wesoloski & Carlson. Closing within 30 days. Once you have completed inspections and are ready to make an offer, we will send you the contract for your review and execution. Please return the contract with the cashiers check.

If you have any questions about this property or any other property for sale in the metropolitan Fort Lauderdale area, please feel free to email me or give me a call at 954-709-7461.

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SPECIAL ALERT: Investor Property For Sale – March 1, 2010

Barry Cunningham — Mon, 01 Mar 2010 14:12:47 +0000

$5,000.00 Bonus To Any Realtor That Brings Us A Buyer Or $5,000.00 Cash Rebate To A Buyer Who Comes To Us Directly!

Notice: Here is a Fort Lauderdale foreclosure property that we want to give Investors an opportunity to review. Please be advised that these properties often sell in a matter of days. The last property we featured sold in a few hours. So if you are interested, please act fast. This is not sales hype, these deals don’t need any hype. They are flat out good properties that investors in Fort Lauderdale are looking for. So when they see good deals they move quickly.

All of our Investor properties are offered on the basis of CASH OR HARD MONEY ONLY! No exceptions. If you are going to submit an offer please be prepared to meet the terms as shown in the property details.

Address: 1433 NW 7th Ave. Fort Lauderdale, Florida 33311

Asking Price: $52,000 OBO

Description: Great Property to hold for a rental. This house will fetch over $1,000.00 per month on a regular rental and Section 8 offers even higher rental rates. The ROI on this house presents the property as an incredible bargain.

Bedrooms: 3

Bathrooms: 1

Other: Laundry room inside and Terazzo flooring in place. CBS construction and the roof is only about 6 years old.

Property is being sold in as is condition. Refrigerator and microwave are not included.

Very light rehab needed:

kitchen cabinets
painting

Just under 2 miles to the beach, close to I-95 and Wilton Manors. Room for a pool. Fenced backyard. Working fireplace. 3rd bedroom converted into family room easy to convert back. Buyer to use seller’s title company.

Click Here To View Map Of Property Location

Terms Of The Deal: $2,000.00 deposit in the form of a cashiers check made out to the law firm of Wesoloski & Carlson. Closing within 14 days. Once you have completed inspections and are ready to make an offer, we will send you the contract for your review and execution. Please return the contract with the cashiers check.

Inspection Period: These Investor properties are sold in “As-Is” condition. No repairs, alterations or improvements will be made. If you need to inspect the property please do so BEFORE you put in an offer. Or email us to make mutually agreeable inspection arrangements.

Disclaimer: These properties are being marketed by Real Estate Radio USA and are not being marketed by any real estate agent associated with the Fort Lauderdale Real Estate Blog. We are a private real estate investment company.

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Introducing The Fort Lauderdale Real Estate Buyer’s Concierge Service

Barry Cunningham — Sun, 28 Feb 2010 23:59:14 +0000

We’re introducing a new service that caters to our serious buyers. Our Real Estate Concierge service will allow you to have the properties that you want to see, delivered directly to your email inbox. Check out the video for more information.

E-mail Address: *
First Name *
Last Name *
Are You A Cash Buyer? *
Will You Need Hard Money?
Do You Have Your Own Financing?
What Areas Of Fort Lauderdale Interest You?
What Type Of Property Are You Interested In? *
Are You Interested In Foreclosures Or Short Sales? *
Are You Buying As Personal Residence Or Investment? *
Would You Be Interested In A Property That Needs Rehab? *
What Is Your Time Frame To Purchase? *
What Is Your Price Range? *
Are You A Real Estate Agent? *
Are You Working With A Real Estate Agent? *


* Required

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Do You Know How Easy It Is To Stop The Foreclosure On Your Fort Lauderdale Home?

Barry Cunningham — Tue, 23 Feb 2010 17:22:54 +0000

February 22, 2010

Most Homeowners In The Inner City Neighborhoods Are Never Contacted To Have Their Options Explained To Them

FORT LAUDERDALE, FL. – Drive through an inner city neighborhood in Fort Lauderdale and you see little activity in the form of homes for sale, yet check the public records and there are hundreds, if not thousands of homes in some stage of foreclosure.

In the Progresso subdivision of the city there are presently over 500 homes mired in the foreclosure process yet there are only 76 homes for sale. Many of the homes are tenant occupied and the owners are simply walking away.

One such owner, who wished to not be named, said he owed over $400,000.00 on a new townhouse he bought in 2007 only to find it worth less than $150,000.00 in today’s real estate market. “It’s just not worth it, with what I owe, and the taxes, insurance and upkeep, it just doesn’t make financial sense to pour good money after bad.”

Most homeowners in his situation say that loan modification programs don’t work, principal reductions aren’t being offered, and giving the home back to the bank can be an ordeal if there are other encumbrances on the property.

What these homeowners seem not to understand is the viability of something called the short sale. A short sale is a method that will help the homeowner avoid foreclosure. The process involves negotiating with the bank to take less than what they are owed in order for the property to be sold.

Although the sale will mean the homeowner will have to vacate the property, it is a classic “win-win” for both the homeowner and the bank.

A recent survey by Washington, D.C.-based business research firm Campbell Surveys and mortgage industry publication Inside Mortgage Finance confirms this.

“Short sales typically result in lower lender losses and houses left in more saleable condition. Moreover, borrowers that agree to a short sale can often buy another house with mortgage financing after only two years. For borrowers going though the foreclosure process, mortgage financing can be unavailable for a period of five to seven years,” said Thomas Popik, the survey’s research director, in a release.

“Banks don’t want to own houses. They want their money. A short sale allows the bank to recoup a good portion of their investment without having to pursue a costly foreclosure,” said Barry Johnson of Real Estate Radio USA host of a real estate focused talk radio show.

“If more homeowners knew how easy it was to get out from under a foreclosure you probably would see a lot less bank owned properties hitting the market and driving values down.”

The statistics support Johnson’s statement. In fact stopping foreclosure by the means of a short sale are about to get even easier. While short sales have traditionally taken months to settle, new federal guidelines that go into effect in April require banks to respond to short sale offers within 10 days.

However that’s only part of the problem. Most real estate agents who are needed to help with the facilitation of a short sale, don’t like to do short sales, and those that do want to do short sales won’t do them in the inner city neighborhoods.

Many agents feel that the commission that they receive isn’t worth the effort. As the homes in the inner city Neighborhoods of Fort Lauderdale may fetch prices as low as $40,000.00, an agent would only stand to earn $1,200.00 and many just see that as not worth the hassle.

“We find that to be intolerable”, said Johnson, “so we’re teaming up with a local real estate agent, and a prominent foreclosure defense attorney, and we’re going to help any homeowner who wants to stop their foreclosure and it won’t cost the homeowner a dime!”

Not only will it not cost the homeowner any money, in some cases the property owners will actually receive a cash payment.

“I have cash buyers waiting for deals to buy and these inner city neighborhoods are actually where they want to buy”, said local Fort Lauderdale real estate agent, Robin Sing-Cunningham of Access USA Realty.

“My buyers email me and call me asking specifically to see distressed properties in these neighborhoods and it’s hard to find the inventory. Most homeowners have not sought out the help and I think that we have to reach out to them as the buyers are definitely out there.”

According to renowned market analyst Jack McCabe of McCabe Research and Consulting in Deerfield Beach, residential foreclosures and other distressed sales have become the barometer and standard driving residential prices the “tsunami of foreclosures” will continue in South Florida for at least the next two years, possibly longer.

“We feel that we are seeing a unique opportunity in the Fort Lauderdale real estate market”, said Johnson of Real Estate Radio, “that opportunity is that homeowners can be helped, and the wave of foreclosures in these areas can be remedied”.

Next week Real Estate Radio USA will be announcing “Operation Short Sale”.

“With our expert team of short sale professionals we are going to offer inner city homeowners the opportunity to stop their foreclosure and sell their home via the short sale method. All they have to do is sign up and our team will handle the rest.”

“I look forward to working with Barry and Robin to assist those homeowners who have been ignored and who need the help to have their foreclosures avoided by expertly facilitated short sales,” said prominent foreclosure defense attorney, Erik Wesoloski of the Miami based law firm of Wesoloski Carlson.

“What really makes the banks stand up and take notice is short sale buyers with cash,” said Sing-Cunningham, and we have no shortage of cash buyers to make these short sale transactions go smoothly.”

If you are a homeowner in Fort Lauderdale and want to take advantage of this opportunity to have your foreclosure stopped by participating in a short sale, simply go to the Fort Lauderdale Real Estate Blog at www.robinashley.com to register or for more information send an email to shortsales@realestateradiousa.com

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Buying Investment Properties Like A Jedi Master!

Barry Cunningham — Sun, 14 Feb 2010 16:07:11 +0000

A good buddy of mine recently penned an article describing how easy it was for him to buy a property hundreds of miles away without ever seeing the property. He sent me the article and if you are interested in buying investment properties you need to check this out. I found it very eye opening and informative. check it out:

Can You Really Buy and Sell Real Estate Remotely?

Every once in a while I get a call from an investor or homeowner who has a property for sale and their question is almost always the same, “Will you buy it?” The issue is that the property is usually in another state. While the price may seem like a killer deal, usually they aren’t. For years we referred these sellers to local Real Estate Investment Clubs (REIAs) and hoped for the best – meaning we expected a referral fee or even a “thank you”. After 20 or 30 referrals I never got a call back that the deal had been sold/purchased, even after I called back to follow-up. That’s how you live and learn.

WARNING – There are vast housing developments in Florida, Arizona and Las Vegas where developers went wild and really, really over-built huge sub-divisions. The prices for these, often never lived-in homes, seems unbelievable. These properties can be purchased at or below land values and the structure (home) has no market value, even while its replacement cost would be $70 a square foot in today’s market. Why so cheap? No buyers, no economy, no tax base, too many homes for rent, gross over-speculation, and on and on. What I am saying is just because a home in one area is super, super cheap compared to where you live it does not mean it’s a deal.

Anyway, some time back when I got the next call for a property for sale in Georgia, instead of calling the REIA for the area like I did the previous time, I started emotionally “pretending” the deal was local and proceeded to do all the work I needed to get the deal done. Here is a shortened outline of what happened:

1. I looked at Zillow.com for closed sales (I know it’s inaccurate for estimated property values) and Realtor.com for active listings to find properties listed in the same area and in this case, the actual same subdivision.

2. I determined my offering price as a wholesale deal and only wanted to wholesale the property to a cash buyer.

3. I negotiated a final price with the seller and sent a contract with a 30 day inspection period and “Contract subject to final approval by Buyer’s Partner before closing” clause. Hint – I did call the local REIA for a referral to a real estate attorney and actually got him to write the contract so I didn’t have to be concerned about contracting clauses or issues in another state. The clause that I hate in Georgia is that the seller is allowed (as is usual and customary) to stay in the property for 3 days after the closing! Not so in my contract! Can you imagine sellers staying in the property they sold and leaving when they chose? Definitely a state that is more “trusting” than most others.

4. As soon as I got the contract signed, I deposited the $100 deposit with the closing agent (my attorney of choice) and started marketing it on Postlets.com (a referral site to Craigslist.com and a couple of other related sites) with the pictures the seller sent me. If you use Craigslist you should learn how to post 2 very specific times every day (yes, it can be done legally) which are two one-hour periods where you’ll get you 80% better results, otherwise you’ll be in the pack of other random posts.

5. I stepped out of the norm a bit and had an inspection done on the property for $200. I advertised this was available to perspective buyers before their signing a contract. The inspection showed about $3,800 in needed repairs.

6. As the offers were coming in I had the attorney do the title work and I choose one of eight offers over the course of the next 5 days. I gave the lock box to the interested parties as the property was vacant (seller transferred to a new job out-of-state). I choose one buyer who came through a realtor. He sent a signed contract and the required deposit of $3,000 to my attorney in Atlanta. Of the two realtors who called about the property this one added his commission to my offering price so he made almost twice the 5% he was expecting and he had a cash buyer ( no seasoning, etc.), which is always my primary prerequisite for a buyer.

7. We closed in 15 days (cash buyer) after my signing the original contract and the closing was done as a “Mail Away” and the $8,230 profit was wired to me the next day. Never did see the property so can’t say if it was a steal or what, and I did a double closing because of the profit margin.

Was it all that easy? Actually, except for two dozen phone calls, I had all the work outsourced by referrals from the attorney. If we didn’t close, he didn’t get paid and the realtor had the same motive – no closing – no getting paid! I gave the attorney a Letter of Authorization (“LOA”) to pay the realtor’s commission directly out of the gross proceeds so his broker was not involved in the transaction. I was able to do this because the realtor signed a Partnership Agreement so he had an equity position in the deal.

If you do this, make sure your contract with your buyer stipulates that you will get the deposit if he defaults – sometimes they decide to go directly to the seller and by-pass you. Check with the proposed closing attorney ahead of time to make sure he will disburse your escrow deposit if the buyer reigns, instead of having the buyers sign a Release of Deposit Letter. Getting a buyer to release his deposit to you is similar to missing a nail and hammering your finger – it hurts! And think about this “Why should the buyer release your deposit?”

In summary, it is completely possible to do remote deals with the proper people in place and the appropriate buyers list in place. Both of these can take much less time than you might imagine but there is work and a leap of faith involved. These same tactics can be used locally for doing deals just outside of driving range, such as 4 – 5 hours each way, if you have the buyers list and the closing agent and his referrals in place.

As a side note, in the past couple of weeks I wrote what I believe is the definitive guide to building a super buyers list in just weeks and I included how both realtors and investors can build buyers list for anywhere in the world. Think about this – “If you have a buyers list, how hard would the next step be to look at all the sellers online and start making offers? There will be more to come on this arm-chair investing technique in coming “insights”.

To your limitless success,
Dave Dinkel
Broward Real Estate Investors Association

Now to me, that’s how you go about buying investment properties. If you’d like to know more about how to buy Fort Lauderdale foreclosures, Miami foreclosures or investment property here in South Florida, please register for our VIP Buyer’s list by submitting the form below.

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There’s Great Opportunity For Profit In Buying Miami Foreclosures

Barry Cunningham — Sun, 14 Feb 2010 15:14:30 +0000

There Are Some Really Profitable Opportunities For Investors In Buying Miami Foreclosures And Miami Investment Property !

There are lots of opportunity in buying Miami foreclosures and Miami investment property. Recently we have been getting a lot of calls and emails from our readers who have been finding out about the many deals on homes and condos in the Miami area.

The median price for a property in Miami is now just $155,000.00 which represents a whopping 22.5% drop from the preceding year and almost 47% from 2007. So I think you can assume that there are some pretty good deals out there.

The prices in Miami have steadily declined over the last 24 months. However, don’t expect them to continue to decline much longer as with these unheard of prices, a lot of savvy investors are getting in and taking down some pretty good deals.

For pre-owned condos, the median price in December was $105,000, same as the price in November but marked a 24-percent decrease from December 2008 and down by 55 percent from the $219,000 peak median price in July 2006. The lowest median for resale condos – $99,000 – was posted in September last year.

The median price for single-family homes increased slightly to $188,000 from the $184,000 median in November, but marked a 14.5-percent drop from December 2008 and a 44-percent drop from the $340,000 peak price in June 2007.

The low prices of distressed real estate properties pulled down the median prices and pushed the sales volume for houses priced between $50,000 and $150,000 by a stunning 99 percent compared to December 2008. Sales volume for this price range accounted for 48 percent of all house sales in December, a jump of 34 percent from the December 2008 percentage and an increase of 15 percent from the percentage in December 2007.

This year, investors can still find bank foreclosed homes at affordable prices because the pace of Miami foreclosures and tax deed sales continue to rise.

In 2009, the Miami-Dade metro area had 7.2 percent of all its households or a total of 172,894 homes put into the foreclosure process, marking a jump of 44 percent from filings in 2008 and an increase of 198 percent from filings in 2007.

In Florida, the foreclosure pace stepped up in 2009 by 34 percent from 2008, with a total of 516,711 mortgage borrowers given delinquency and foreclosure notices. This figure represented almost six percent of all homeowners in the state. Just like in other states, unemployment is the major cause of continued foreclosures. In December last year, the unemployment rate in Florida hit 11.8 percent, up from the November rate of 11.5 percent.

With the continued rise in defaults and foreclosures in Florida and with the continued popularity of Florida as a destination state for tourists and second-home owners, people have more reasons to find bank owned homes in Florida and invest in them.

In that regard many investors are looking at South Florida and in particular they are looking at Miami foreclosures, and Fort Lauderdale foreclosures.

If you’d like information on investment property in either of those areas then sign up below for our alerts on the most profitable properties to hit the market, as soon as they hit the market.

Over 1200 Fixed Miami Foreclosures for Low Income Families International Business Times, on Thu, 28 Jan 2010 09:07:12 -0800 By John Cutts | 28 January 2010 @ 10:44 am EDT Over 1200 Miami foreclosures will be purchased, rehabilitated and rented out or sold to lower-income families …

Housing Transactions Up, Prices Low in Miami says MDA DataQuick Housing Wire, on Wed, 10 Feb 2010 17:05:23 -0800 In December, 8259 new and resale houses and condos were sold in the three-county Miami market. That’s an increase of 19.1% from November and an increase of …

Miami Foreclosures are an excellent deal and have uncomplicated procedure of … International Business Times, on Mon, 25 Jan 2010 09:20:14 -0800 By Iwona Filetti | 25 January 2010 @ 10:53 am EDT Miami foreclosures are the excellent deal to buy, if one is contemplating on buying a home for the first …

FAR: Home, condo sales up across South Florida Bizjournals.com, on Thu, 11 Feb 2010 13:05:40 -0800 Miami condo sales rose 68 percent, to 2022 from 1203. The median sales price for an existing condo fell 21 percent, to $145400 from $183700. …

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So You Want To Start Flipping Houses?

Barry Cunningham — Tue, 09 Feb 2010 17:54:21 +0000

Flipping Houses In Fort Lauderdale … Or Buying And Selling Fort Lauderdale Investment Property And Foreclosures

It looks like we are beginning to emerge from the foreclosure and credit crisis. How do I know this? Because real estate investors are starting to come back to the Fort Lauderdale real estate market looking for deals. People I have not heard from in 2 years are starting to call and email asking if I knew of any deals out there. I know about TONS of deals out there.

Inevitably there will be new investors entering the market who are looking to get started in real estate investing by flipping houses. Whether these new investors are going to try to rehab the property, sell it to a buyer they already have, or hold the property long term and decide to be a landlord, this may be the best time in history to dive in and get started.

Almost every new investor I have worked with has many questions when it comes to doing their first real estate deal. It is quite natural to be a bit nervous when you do something for the first time, but when you are working with people who experts in the field, it makes the process much smoother. I am going to answer ten of the most frequent questions we are asked by new Fort Lauderdale real estate investors when looking to buy Fort Lauderdale investment property.

Where do I find the properties?

Most new investors in the information age get new property alerts by email from wholesalers in their area. This is by far the easiest and most used method.

There are several advantages to getting your properties this way. It is immediate. You can get property alerts the moment they are happen. You can even get the on the go if you have a capable cell phone. An expert has usually looked over the property and valuated it. Lastly, you will usually get all the information you need about a specific deal without ever leaving your home.

How do I know a good deal?

A good deal to one person could mean something totally different to another. You have to know what you want you want to accomplish and then see if that deal does it for you.

For instance, if I were going to rehab a property I would need the deal to be priced in such a way that I have spread for my purchase, repairs, holding, selling costs, and profit. If the deal fits those criteria then it would be a good deal.

If I were going to hold a property as a landlord, I would look into how much cash flow the property generated and make my decision based upon that if the deal was a good one for me.

What do you look for when previewing a home?

Again, based upon what you what want to do with the property, the answers to this question would be different. However, unless you are a developer looking to knock down the property, most investors look at the basic building blocks of the property. There are usually 5 things that most investors focus on.

Roof: First thing we want to know is does it leak. If it is watertight then we are in business. Even if it is not watertight, that could mean a great big discount and ever larger profit margins if you are going to rehab. If we are going to hold it we want to know how old the roof is so we know when we will have to replace it.

Foundation: Are there any large cracks in the walls or near the base of the walls? You need to look on the interior and exterior of the building for these. Is the floor level and are there any large cracks in the floor? We want to know that the home is stable and not going to fall in a sinkhole anytime soon.

Electrical: Is the home on fuses or circuit breakers? How many amps of service does the panel accommodate? There are some electrical problems that are fire hazards and will need to upgraded. You might also want to change the service if it is not on par with comparables.

Plumbing: Is the home on a septic tank or hooked into the sewer system? Are the pipes cast iron and rusted through? Any evidence of leaks or backups? Most plumbing problems are hard to spot as they are in the walls or buried so it is a good idea to flush the toilets and run the faucets and baths.

Obvious Defects/Problems: I am referring to things such as fires, major water damage, or extensive termite damage. Believe it or not, these types of properties sell very quickly because they are absolute goldmines. I usually do not recommend these for beginning investors, but for someone with knowledge and experience, they can make an absolute killing with these properties.

How long do I have to decide if I want the property or not?

Not long! Wholesalers usually only send out properties they have looked over and know that it will be a deal someone wants, otherwise, they would not even waste their time. Once a property is emailed, responses come back within 5 minutes or so.

Sometimes, if it matches an investors exact buying criteria, they have been known buy the property on the spot. The point is, know what you want up front and if the deal matches what you are looking for, BUY!

If I want the property, what is the process to get started?

The first thing you do is let your wholesaler know you want to buy. They will instruct you on exactly what you need to do to lock up the deal. The usual process will be to meet and sign a contract and deliver a deposit. Sometimes you will be able to do it by fax and just wire the deposit as well.

Whatever the process, be aware that until you have a valid, signed contract and recognized deposit, the property is still for sale and can be purchased by anyone.

Do you work with a real estate agent?

Most wholesalers I know do not work with real estate agents. That does not mean that real estate agents are not involved in the deal, many of the buyers I work with are also real estate agents buying for their own investment purposes.

If you are real estate agent looking to earn a commission and not looking to be a principle, be aware that you will likely be looking for a long time. Most wholesalers do not need the services of a real estate agent to either find the properties they wholesale, nor to sell the properties that are advertising.

If a real estate agent tells you it is illegal to buy or sell a house without using the services of a licensed real estate agent, you can tell them to call me and we can have a good laugh.

What if I do not have cash to cover the whole purchase?

As long as you know that you will need to use some of your own money, financing for investor purchases is still available. The days of no money down buying a home are over, you have to have some “skin in the game”. That means you will have to put in some of your own cash.

As an investor, you will most likely be using a hard money lender because not only can they close quickly, they also will lend on properties that need repairs where traditional lenders may balk. Be prepared to pay at least 20% of the purchase price out of your own funds. As you develop a relationship with your hard money lender, the out of pocket amount often changes.

How long does it take to close?

Most investor properties close very quickly. Be prepared to close on the property in one to five days. Often, the title work and all closing paperwork is prepared in advance and waiting on the buyer.

The only holdup after contract is signed is likely on the buyer’s side. The only reason a buyer would need any extra time would be so that their hard money lender could get their own paperwork in order.

Can I put a Section 8 renter in this home?

Unless an HOA or community association mandates in their bylaws that a property cannot be rented at all, you can rent to a Section 8 participant.

If you decide to rent Section 8, the property will need to pass an inspection. The inspection is based on standard FHA guidelines. You can find a checklist for Section 8 here. http://www.orangecountyfl.net/cms/business/section8/propertyreadinesscheck.htm

What kind of income can I realize from rents / Section 8?

Usually the wholesaler you are working with can give you some of this basic information. There are also a number of websites you can use to do some research from home of you are not familiar with the specific area.

The best way to find out what things are renting for is to drive to the area and call on some For Rent signs. Ask them how many beds and baths and how much per month. Do this until you have about 3 or 4 prices that match your property type and you will have your answer.

For Section 8, the process is even more straightforward. The amounts paid out are set by number of bedrooms and baths, and then published. You can contact the housing authority in your area for these rental rates.

If you are a new investor looking for your first deal, or an investor looking to do more deals, we hope that you have learned something from this article. The main thing to remember is that when you work with a wholesaler, you have an invaluable resource with a wealth of investing knowledge. If you are serious about buying, do not be afraid to ask questions, most of us like helping out those just getting started.

If I can leave you with one piece of advice, you must ACT. You can ask every question in the world, inspect the property from top to bottom, have all the money in the world, but if you are not ready to get into the game, don’t waste your time or ours.

Flipping houses can be very profitable but make sure you know what your doing and you will find that investing in Fort Lauderdale foreclosures is a lucrative endeavor.

Real Estate Pros Meet Up With Home Buyers, Sellers and Owners at RealtyJoin
CBS MoneyWatch.com (blog), on Tue, 09 Feb 2010 08:39:10 -0800 By Ilyce Glink | Feb 9, 2010 | Andy is an Atlanta-based real estate investor, a real estate investing book author (I reviewed his book, Buy Low, Rent Smart, …

Broward Real Estate Investors I would like to welcome all of the current Broward Real Estate Investors to our site and invite anybody else who might be looking for a great deal in the Fort Lauderdale real estate market. In fact our expansion is including a branching out to include investors in Palm Beach …

Willie Green: Foreclosure without a court hearing would be a grave injustice
The News-Press, on Tue, 09 Feb 2010 09:39:57 -0800 A proposal by the Florida Bankers Association to allow foreclosures without a court hearing is not just arousing violent sentiment but it has caused those …

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