I tried buying a couple short sales in Florida (for myself; I'm not an investor) and it sucked! This was 2010. You'd wait for months to hear back only to have them counter with a price that was totally unreasonable. I ended up buying a non-short sale house. And don't get me started on foreclosures..... the agent told me people would put concrete mix down the toilets and worse. It was common to see houses with the closet shelving torn out, light fixtures removed, of course no appliances, and AC units either gone or the copper had been ripped out of them. Luckily, the market has recovered, for now.
We bought our house in 84 at an auction. It had been on the market for 9 years. Interest rates were 13%. We paid on a contract with the owner at 10% until we were able to transfer the loan to a local bank. It's an ok house in a great neighborhood.
Regarding foreclosures. This ship has sailed long time ago. Private money is buing it wholesale and fixing and or selling them themselves. Some banks fix up some properties and sell them at market values.
Hi Mark, been a fan of your channel for a while. I know this is a pretty old video but I had a question I wanted to ask-Would a foreclosure be a more ideal situation for a house hack, where you buy a multi-family property as an owner/occupant, then flip or rent it fully after the period that you’re required to stay there has expired?
Thanks for the video mark if you don't look for foreclosures what is the main way that you find your deals? I'm struggling right now to find a house to buy
Mark Ferguson - InvestFourMore I’m just getting started in flipping homes with my family and your videos come off as the most genuine for sure! Keep up the videos and I hope your investments keep paying off!
Do you think its profitable long term, investing in C class areas like those 50k homes in Birmingham?? This guy said people lose money long term in C class areas like Birmingham due to turnover and rehab costs.
C class areas are notoriously management intensive. The question is if you like war zones. How do I know, i live in Chicago. You have extremes between luxury and absolute war torn areas. You will do fine if you concentrate on certain areas that you know. But investing in Chicago comes with high property taxes and regulations. As for tenants , 90% are not qualified because of credit or background issues. It is very common to apply as someone else or try to sublease it. Scary!!!
Bought a first mortgage for 143k and a month before that a buyer bought the second mortgage for 145k. My deed foreclosed out his interest in the property and he lost all that money. He got lucky to get 45k left over but he was still out over $100,000 within a month.
That's what I figured. perhaps I could ask the same question a different way. I watched a home that was on auction.com, for about a year (auction.com conveyed there was a Lis pendens on the property) the home did not sell during this period, and then it disappeared for a while, and came back as a HUD home listed on hudhomestore at auction without the Liz pendens attached to the property and the home sold rather quickly.
Mark Ferguson - InvestFourMore It was, I don't want to be an ass-hole and say I hope it happens again because some people's lives were irreversibly destroyed. But, if it does, I'm ready to buy as much as possible again! It was windfall time for buying real estate for sure!
@@caroleehubbard8380 My neighborhood in AZ built in 2005 has like 25% rental homes because of the crash lol. Other HOAs here have like 33% rentals. It does bring a lot of trash people into the community. A lot of foreigners own propertoes here too and property management companies rent to absolute trash lol. How many did you end up buying?
Patrick I have 1 duplex and 3 Single Family homes. I live in Tucson, AZ. So, yes! It was and is a rental Mecca . I have a good PM though, they rent to only quality renters, I have never had any issues with my renters.
@@caroleehubbard8380 Multifamily is over priced in Phoenix these days. Buying them and renting them out would cause a negative cash flow by 4 or 500 dollars. Not as many deals these days
Do real estate agent's selling these houses get a back end payment? I see one agent in my area (Midwest) who sells REO properties and some of the properties she sells are 20k-50k in the next town over. Doesn't seem like it'd be worth her time unless she's getting some sort of bonus. EG Fannie Mae Homepath Home.
3% for selling broker and 3% for buying agent is traditional but that doesn't mean it can't be different. I have seen low priced foreclosures advertising more than what 3% would be to the buyer's agent but its definitely not going to be much for 20K-50k homes. Some agents are willing to do it others not.
You never want to turn down a listing as an reo agent. You take the good with the bad. On most properties there is a minimum commission of 750 or 1,000. But if you won't take the 25k listing the bank isn't going to give you the 200k listing. They want things to go fast and smooth. That means the agents they work with don't complain, don't pick and choose, and aren't late with tasks
👍👍👍👍👍👍👍. Great INF. I m interested to by house from PNC bank but I couldn't find the list of there. Residential properties I call the bank no buddy knows anything about residential properties. please do you any website that I can find PNC residential properties . thank you
I was involved with an auction in the south east.. one guy got two duplexes and a double wide on 5 acres for 90k. Another guy got a 3/1 SF house for 29k in the city that ended up being a hoarder house. Its still empty many months later. Definitely a craps shoot.
I tried buying a couple short sales in Florida (for myself; I'm not an investor) and it sucked! This was 2010. You'd wait for months to hear back only to have them counter with a price that was totally unreasonable. I ended up buying a non-short sale house. And don't get me started on foreclosures..... the agent told me people would put concrete mix down the toilets and worse. It was common to see houses with the closet shelving torn out, light fixtures removed, of course no appliances, and AC units either gone or the copper had been ripped out of them. Luckily, the market has recovered, for now.
We bought our house in 84 at an auction. It had been on the market for 9 years. Interest rates were 13%. We paid on a contract with the owner at 10% until we were able to transfer the loan to a local bank. It's an ok house in a great neighborhood.
According to you what's the best way to find a good deal on real estate ? Love your videos . Thanks
Regarding foreclosures. This ship has sailed long time ago. Private money is buing it wholesale and fixing and or selling them themselves. Some banks fix up some properties and sell them at market values.
Any advice on finding deals that are not foreclosures? I'm struggling to find a deal
@@Gooselip wholesalers, direct marketing, estate sales, even mls regular sales, ua-cam.com/video/35n-HqBky3Y/v-deo.html
Hi Mark, been a fan of your channel for a while. I know this is a pretty old video but I had a question I wanted to ask-Would a foreclosure be a more ideal situation for a house hack, where you buy a multi-family property as an owner/occupant, then flip or rent it fully after the period that you’re required to stay there has expired?
I don't think it matters if it is a foreclosure or not
Thanks for the video mark if you don't look for foreclosures what is the main way that you find your deals? I'm struggling right now to find a house to buy
Have you seen this video? ua-cam.com/video/35n-HqBky3Y/v-deo.html
Thank you. Any tips on obtaining “Title Search” on upcoming Courthouse Auction home?
i guess Im quite off topic but do anybody know a good place to watch new tv shows online?
is this advice still valid now that people are starting to go in default?
yes
Thank you!great information !
Glad it was helpful!
Mark Ferguson - InvestFourMore I’m just getting started in flipping homes with my family and your videos come off as the most genuine for sure! Keep up the videos and I hope your investments keep paying off!
Do you think its profitable long term, investing in C class areas like those 50k homes in Birmingham??
This guy said people lose money long term in C class areas like Birmingham due to turnover and rehab costs.
C class areas are notoriously management intensive. The question is if you like war zones. How do I know, i live in Chicago. You have extremes between luxury and absolute war torn areas. You will do fine if you concentrate on certain areas that you know. But investing in Chicago comes with high property taxes and regulations. As for tenants , 90% are not qualified because of credit or background issues.
It is very common to apply as someone else or try to sublease it. Scary!!!
The are hard to finance and that is one of the huge advantages of real estate
Bought a first mortgage for 143k and a month before that a buyer bought the second mortgage for 145k. My deed foreclosed out his interest in the property and he lost all that money. He got lucky to get 45k left over but he was still out over $100,000 within a month.
24:08 how does a home purchased with conventional loan (non FHA) eventually end up as a Hub home offered at auction.
They don't. Only FHA loans become HUD homes. Others are sold by the banks
That's what I figured. perhaps I could ask the same question a different way. I watched a home that was on auction.com, for about a year (auction.com conveyed there was a Lis pendens on the property) the home did not sell during this period, and then it disappeared for a while, and came back as a HUD home listed on hudhomestore at auction without the Liz pendens attached to the property and the home sold rather quickly.
Where do you find the terms for REO in your state.
Excellent video thanks Mark!
Every house I own was a foreclosure or short sale. But, I was buying durning the housing crash...banks in AZ were almost giving them away!
Back then was so different!
Mark Ferguson - InvestFourMore
It was, I don't want to be an ass-hole and say I hope it happens again because some people's lives were irreversibly destroyed. But, if it does, I'm ready to buy as much as possible again! It was windfall time for buying real estate for sure!
@@caroleehubbard8380
My neighborhood in AZ built in 2005 has like 25% rental homes because of the crash lol. Other HOAs here have like 33% rentals.
It does bring a lot of trash people into the community. A lot of foreigners own propertoes here too and property management companies rent to absolute trash lol.
How many did you end up buying?
Patrick
I have 1 duplex and 3 Single Family homes. I live in Tucson, AZ. So, yes! It was and is a rental Mecca . I have a good PM though, they rent to only quality renters, I have never had any issues with my renters.
@@caroleehubbard8380
Multifamily is over priced in Phoenix these days. Buying them and renting them out would cause a negative cash flow by 4 or 500 dollars.
Not as many deals these days
Do real estate agent's selling these houses get a back end payment? I see one agent in my area (Midwest) who sells REO properties and some of the properties she sells are 20k-50k in the next town over. Doesn't seem like it'd be worth her time unless she's getting some sort of bonus. EG Fannie Mae Homepath Home.
3% for selling broker and 3% for buying agent is traditional but that doesn't mean it can't be different. I have seen low priced foreclosures advertising more than what 3% would be to the buyer's agent but its definitely not going to be much for 20K-50k homes. Some agents are willing to do it others not.
@@ectorcab its actually lower for many reo agents. Hid pays 3% but many banks pay the listing broker 2.5 or even 2. It is a volume game.
You never want to turn down a listing as an reo agent. You take the good with the bad. On most properties there is a minimum commission of 750 or 1,000. But if you won't take the 25k listing the bank isn't going to give you the 200k listing. They want things to go fast and smooth. That means the agents they work with don't complain, don't pick and choose, and aren't late with tasks
👍👍👍👍👍👍👍. Great INF. I m interested to by house from PNC bank but I couldn't find the list of there. Residential properties I call the bank no buddy knows anything about residential properties. please do you any website that I can find PNC residential properties . thank you
Good information, thanks Mark.
👍
Buying via auction sales seems a bit harder/riskier than if the house is sold and listed on MLS. Less homework to do.
agree
I was involved with an auction in the south east.. one guy got two duplexes and a double wide on 5 acres for 90k. Another guy got a 3/1 SF house for 29k in the city that ended up being a hoarder house. Its still empty many months later. Definitely a craps shoot.
For sure
How dose someone brrrr forcloser
not sure what you mean
haha I just stumbled upon a question you answered on Quora