The Land Trust and the Short Sale

The Land Trust and the Short Sale

The Land Trust and the Short Sale


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The Land Trust and the Short Sale

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The Land Trust and the Short Sale

By: Jodi Funke

About the Author

Jodi Funke is a transactional lender who understands this dilemma. “Lack of funds is the number one reason most real estate investors cannot close a short sale deal,” said Jodi. “We provide one-day funding for the investor to buy the property and our nationwide team of closing professionals, attorneys and title companies are experienced in doing back-to-back transactions so the investor can fund the deal and resell the property the same day. It’s a win-win deal for all parties involved.” Learn more about wholesale funding at http://www.cashforshortsales.com

(ArticlesBase SC #1245145)

Article Source: http://www.articlesbase.com/The Land Trust and the Short Sale





The Trustee is the owner of the property, not the Trust itself.

The Beneficiary has the power to direct the Trustee to deal with the title and proceeds of the property.  They also have the right to manage, possess, use, control, sell, rent or mortgage the property.  The beneficiary has an economic interest in the property.

When a homeowner puts a property into a land trust they convey fee simple absolute ownership to the Trustee.  The land trust will state that legal and equitable title is vested soley in the Trustee with the homeowner named as the beneficiary.

The beneficiary can direct the Trustee to manage the property.  Any liens remain in place but do not get paid off at this time.  The land trust protects the property from other creditors by making sure no more liens are placed; this is good information for the short sale lender to know.

The homeowner will also sign a purchase agreement with the investor’s company as the buyer.  The trustee is not named as the buyer.  Once the trustee owns the property, a purchase agreement can be signed with the Trustee as Seller.  Once the contract is accepted, the buyer’s lender will order a title search and find that the Trustee is the owner of the property and has the right to sell.  This is the part of the process that typically stops the transaction.  It all boils down to how the underwriter interprets the FHA guidelines.

Lenders (notably FHA and nonconforming) instituted an underwriting requirement that title must be seasoned for varying lengths of time (3 months etc). The rationale is based upon an observation that where properties were sold multiple times, within a short period of time, the loans had a higher default rate and tended to have artificially inflated appraisals and various other forms of loan fraud. Thus, the seasoning requirement was born. Note the key term “sold”, not transferred. The transfer of the property from the Seller to the Trustee is without consideration and constitutes a mere change of identity and therefore, does not reset the title seasoning clock.

Transferring the ownership of the Land Trust is akin to a corporation selling its shares to someone else, while selling some property that it holds title to – it has no bearing on the transaction contemplated between the Trust itself and the bona fide purchaser for value. Nor is there any reason why a personal transaction, that does not affect title to the premises, would be presented to the purchaser’s Lender. Again, it is the Trustee who holds legal and equitable title and is empowered to convey the premises not the beneficiaries who merely have a beneficial interest in the land trust – personally not realty. New York State, for instance, considered such interest to be an economic interest in real property thereby creating a blend of the two interests – a quasi real estate interest that does not rise to a fee simple interest – so that it may collect transfer taxes upon the transfer of such interest.

Once financing is in place, a qualified real estate attorney can help you proceed to purchase the beneficial interest in the property.  Beneficiaries have economic interest in real property; therefore, transfer tax returns must be filed and transfer taxes paid when the interest is transferred to a new beneficiary.

The process can vary slightly from state to state and should only be done with a qualified real estate attorney who is familiar with the process.  Proper structure with attention to the treatment of the beneficial ownership of the land trust is critical.

Due to the increase in real estate fraud and scams, many states have enacted stringent legislation concerning distressed assets.  A qualified real estate attorney who has experience with short sales and land trusts will know what you can and cannot do concerning pre-foreclosed homes.

Jodi Funke is the founder of http://www.cashforshortsales.com a company who specializes in short sale transactions.  Jodi is a transactional lender who provides funding for the investor to purchase a property on a short sale and sell the property for a profit the same day.  Their team of real estate professionals, attorneys and title companies are experienced at handling these transactions while working at the highest level of integrity.

Retrieved from “http://www.articlesbase.com/business-articles/the-land-trust-and-the-short-sale-1245145.html

(ArticlesBase SC #1245145)

Jodi Funke -
About the Author:

Jodi Funke is a transactional lender who understands this dilemma. “Lack of funds is the number one reason most real estate investors cannot close a short sale deal,” said Jodi. “We provide one-day funding for the investor to buy the property and our nationwide team of closing professionals, attorneys and title companies are experienced in doing back-to-back transactions so the investor can fund the deal and resell the property the same day. It’s a win-win deal for all parties involved.” Learn more about wholesale funding at http://www.cashforshortsales.com

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Jodi Funke is a transactional lender who understands this dilemma. “Lack of funds is the number one reason most real estate investors cannot close a short sale deal,” said Jodi. “We provide one-day funding for the investor to buy the property and our nationwide team of closing professionals, attorneys and title companies are experienced in doing back-to-back transactions so the investor can fund the deal and resell the property the same day. It’s a win-win deal for all parties involved.” Learn more about wholesale funding at http://www.cashforshortsales.com

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Successful Short Sale Closing: Seasoning Issues – No Problem!

Successful Short Sale Closing: Seasoning Issues â?? No Problem!


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Home Page > Business > Successful Short Sale Closing: Seasoning Issues â?? No Problem!

Successful Short Sale Closing: Seasoning Issues â?? No Problem!

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I was denied a Hamp mod due to NPV caculations. My lender will not explain these terms to me. They said they cannot help me. I need to short sale and get out. Can u please help me
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I will experience mortgage forgiveness on my second home which is being short saled. what are my issues with the irs?

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Successful Short Sale Closing: Seasoning Issues â?? No Problem!

By: Jodi Funke

About the Author

Jodi Funke is a transactional lender who understands this dilemma. â??Lack of funds is the number one reason most real estate investors cannot close a short sale deal,â? said Jodi. â??We provide one-day funding for the investor to buy the property and our nationwide team of closing professionals, attorneys and title companies are experienced in doing back-to-back transactions so the investor can fund the deal and resell the property the same day. Itâ??s a win-win deal for all parties involved.â? Learn more about wholesale funding at http://www.cashforshortsales.com

(ArticlesBase SC #1245163)

Article Source: http://www.articlesbase.com/Successful Short Sale Closing: Seasoning Issues â?? No Problem!





One way around seasoning issues is to assign your interest in the purchase agreement to the buyer for a fee, keeping the seller as the current owner.  The drawback to this option is that the buyer must be able to pay the assignment fee without using proceeds from the final closing.

There are a number of other techniques that real estate professionals are using to make the process of investing in foreclosures, short sales and distressed real estate smoother.

Real estate investors who are practicing short sales, double closings and other specialized techniques should be represented by a qualified real estate attorney who understands how these transactions work.  A real estate attorney will know how to structure all documents in a double closing to comply with mortgage guidelines.

<a rel=”nofollow” onclick=”javascript:_gaq.push(['_trackPageview', '/outgoing/article_exit_link']);” href=”http://www.cashforshortsales.com”>Jodi Funke</a> is a transactional lender who understands this dilemma.  â??Lack of funds is the number one reason most real estate investors cannot close a short sale deal,â? said Jodi.  â??We provide one-day funding for the investor to buy the property and our nationwide team of closing professionals, attorneys and title companies are experienced in doing back-to-back transactions so the investor can fund the deal and resell the property the same day.  Itâ??s a win-win deal for all parties involved.â?Â  Learn more about wholesale funding at http://www.cashforshortsales.com

<a rel=”nofollow” onclick=”javascript:_gaq.push(['_trackPageview', '/outgoing/article_exit_link']);” href=”http://www.cashforshortsales.com”>Jodi Funke</a> is a transactional lender who understands this dilemma.  â??Lack of funds is the number one reason most real estate investors cannot close a short sale deal,â? said Jodi.  â??We provide one-day funding for the investor to buy the property and our nationwide team of closing professionals, attorneys and title companies are experienced in doing back-to-back transactions so the investor can fund the deal and resell the property the same day.  Itâ??s a win-win deal for all parties involved.â?Â  Learn more about wholesale funding at http://www.cashforshortsales.com

Retrieved from “http://www.articlesbase.com/business-articles/successful-short-sale-closing-seasoning-issues-no-problem-1245163.html

(ArticlesBase SC #1245163)

Jodi Funke -
About the Author:

Jodi Funke is a transactional lender who understands this dilemma. â??Lack of funds is the number one reason most real estate investors cannot close a short sale deal,â? said Jodi. â??We provide one-day funding for the investor to buy the property and our nationwide team of closing professionals, attorneys and title companies are experienced in doing back-to-back transactions so the investor can fund the deal and resell the property the same day. Itâ??s a win-win deal for all parties involved.â? Learn more about wholesale funding at http://www.cashforshortsales.com

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short sale, short sell, real estate short sale, short sale course, free short sale, foreclosure short sale, transactional funding, back to back real estate closings, funding, flash funding, double close, back to back close, reo short sales, fha seasoning

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Jodi Funke is a transactional lender who understands this dilemma. â??Lack of funds is the number one reason most real estate investors cannot close a short sale deal,â? said Jodi. â??We provide one-day funding for the investor to buy the property and our nationwide team of closing professionals, attorneys and title companies are experienced in doing back-to-back transactions so the investor can fund the deal and resell the property the same day. Itâ??s a win-win deal for all parties involved.â? Learn more about wholesale funding at http://www.cashforshortsales.com

Short Sale Flip Tips By Bill Bronchick

Short Sale Flip Tips By Bill Bronchick

Short Sale Flip Tips By Bill Bronchick


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Short Sale Flip Tips By Bill Bronchick

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Short Sale Flip Tips By Bill Bronchick

By: Jane Serie

About the Author

Jane Serie is a professional author who has written many articles on various topics & this time writing article on Bill Bronchick. For more information, visit http://www.legalwiz.com.

(ArticlesBase SC #1669767)

Article Source: http://www.articlesbase.com/Short Sale Flip Tips By Bill Bronchick





Short Sale Flipping

Short sale flip has become one of the most popular scenarios in the real estate market today. Short sale flip, back-to-back closings, transactional funding, and a million other terms are associated with short sales. In short sale flipping, a homeowner with a bad debt agrees to sell off his property on a lower price. The lender or the bank purchases the property at a price that is less than what the owner actually owes, in turn preventing the homeowner against foreclosure. This a win-win situation for both the buyer and the seller because the seller is able to dissolve his bad debts and the lender purchases the property on a lesser amount and can sell it off for more at a later stage. This kind of buying and selling is legal. However, there are many controversies associated with short sale flips. Many title companies and real estate brokers find it illegal and unethical to indulge in short sales. Bill Bronchick, a proficient attorney reveals the truth about this dissension.

Short Sale Flips are Legal says Bill Bronchick

Bill Bronchick opines that a short sale flip is not much different from a regular wholesale flip; the only exception being that in short sale flipping, investor pays off seller’s lender at a discount instead of paying in full in case of regular flips. Bill Bronchick puts forth certain points that are important to avoid falling in a legal battle in case you are indulging in short sale flips. According to Bill, it is a fair game to make profit in a short sale flip, as the seller is not entitled to get any money out of the deal in any case and furthermore, the lender will not agree to flip while the seller walks away with the money. He further affirms that if the investor keeps the property as a rental, it is absolutely legal and triggers no issues at all. In addition, if the property is sold off few months later instead of selling immediately, there is no contention involved with it. It is also imperative for a lender or an investor to disclose to the seller about the intention of reselling the property for a profit, asserts Bill Bronchick.

To know more about short sale flipping and to get some more useful tips from Bill Bronchick, please visit http://www.legalwiz.com

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Jane Serie -
About the Author:

Jane Serie is a professional author who has written many articles on various topics & this time writing article on Bill Bronchick. For more information, visit http://www.legalwiz.com.

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Jane Serie is a professional author who has written many articles on various topics & this time writing article on Bill Bronchick. For more information, visit http://www.legalwiz.com.

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Short sale funding- what and how

Short sale funding- what and how

If you are aware of the present real estate market, it is natural that you must also have heard of the term short sale funding and the innumerable other terms that are related to short sales. These include back to back closings, short sale flips, transactional funding etc. These have been the well discussed topics so as to how to legally and ethically flip short sales. A short sale is said to be when the person who has taken a mortgage, owes more than he actually owns and to add to his worries, he is even late on his mortgage. So now, if the seller wishes to sell the home and even the bank does not want to register a bad loan in its books, then the bank must compromise and buy the mortgaged property at a price that is actually less than what is owned on the home. However if the bank realizes that more money can be net from the short sale, that if the foreclosure was applied, and then they auction or sell the property as a bank owned property, they might settle for the less than what is owned offer. Now this kind of a situation is a win win situation for the bank and also the owner as the foreclosure is prevented and at the same time, there is no bad loan record in the books of the lender. Now these kinds of transactions have dominant in today’s real estate market.

With the increase in the popularity of short sales transactions the property owners and the bank are in a profitable position. The investors help the owners and also make profits while doing so. These transactions might take about 4 to 8 months but still are famous because they involve a low risk factor than the liability. In the short sale flips, transparency plays an important role so that the transaction is legal and ethical.

This can be achieved by the disclosure of the facts by the buyer. He must disclose that his intentions are to resell the property immediately to a third party for a profit. Most of the investors around the country also use an option contract.

It is for the lender to decide that he is or he is not accepting the offer so that he has a disclosure of what is being done through the verbiage. Therefore the investor must disclose the fact that he plans to sell the property immediately for a profit. This is the basis of the short sale funding.

Jason Medley has been in the Mortgage and Real Estate Investing business for over eight years. If you are looking for more valuable information like this article and a source for “transactional funding ” and short sale funding .

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Funding and Closing a Short Sale

Funding and Closing a Short Sale

As a result of the mortgage meltdown, beginning with sub-prime mortgages and other lending practices and then leading to increased foreclosures and declining real estate values, mortgage guidelines have tightened.  The credit crunch has led to an increase in mortgage fraud and real estate scams; thus, resulting in even more lender restrictions.  Real Estate Investors and home buyers are noticing how difficult it is to acquire financing for most any real estate transaction, especially short sales and transactions that deal with distressed real estate.

There are many techniques that savvy real estate investors have been using to close REO and Short Sale transactions, including double closings, hard money financing, back-to-back closings and even the more complicated closing using a land trust.

In any event it is important that the real estate investor who is preparing the documents and structuring the closing work with qualified real estate professionals, attorneys and title companies to ensure they are doing things right.

Transactional lenders provide funding for the short sale investor; they may also provide the document prep and closing services to close the deal quickly and efficiently.  There are many transactional funding lenders on the internet who provide a variety of services and their fees also vary.  If you choose your transactional lender wisely then you should have no problem working a short sale transaction and getting around the roadblocks investors are facing.

Jodi Funke is a transactional lender with Cash for Short Sales.com, a company who specializes in one-day funding for the short sale.  Their nationwide team of professionals, attorneys and title companies can close back-to-back transactions in every state across the nation.  They take pride in their ethical, honest business practices, always working with the highest integrity.  Work with Jodi Funke and Funding and Seasoning issues will not be a problem; learn more at http://www.cashforshortsales.com

Jodi Funke is a transactional lender who understands this dilemma. “Lack of funds is the number one reason most real estate investors cannot close a short sale deal,” said Jodi. “We provide one-day funding for the investor to buy the property and our nationwide team of closing professionals, attorneys and title companies are experienced in doing back-to-back transactions so the investor can fund the deal and resell the property the same day. It’s a win-win deal for all parties http://articlesbase.toolbarhome.com/partners/articlesbase/downloadhttp://articlesbase.toolbarhome.com/partners/articlesbase/download/articlesbase.xpi/articlesbase.xpiinvolved.” Learn more about wholesale funding at http://www.cashforshortsales.com

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New Developments In Short Sale Transactions (Transactional Funding, Part 1)

Whether you have done short sales in the past, or you have educated yourself about these transactions, you are probably fairly familiar with the basic function of the real estate deal. Essentially, the owner of the home gives a third party the right to the deed of the home and to negotiate with the bank for a discounted price on the home in exchange for avoiding a foreclosure. The owner of the home does not make any money on the deal, but is able to walk away with salvageable credit and no debt over their head in most cases.
In the past, real estate investors would do short sale transactions, and then sell the homes on the open market to make staggering profits. Some of my colleagues routinely made 20 to 50 thousand dollars on short sales in fairly short order once they obtained the deed to the property because people were   so eager to buy homes. However, since the real estate market took a dive, short sales have become much more common. At the same time, selling short sale properties has gotten more difficult because there are so many homes on the market. As a result, real estate investors have had to find new and innovative ways to flip short sales quickly.
There are a lot of ways to move short sale properties quickly, but before you get started with that, you need to understand some of the pitfalls that can arise thanks to more stringent lending requirements. If you do not factor in these new developments in lending practice and short sale transactions, you may end up with a property on your hands that you cannot get rid of, your short sale deal could simply fall through all together.
One of the biggest issues with short sales is lender’s requirement that the seller’s name be on the deed of the property. In a short sale, you are the seller, but if you are trying to arrange a quick flip, you may not have been planning to (or be able to) get conventional funding for the purchase of the property. Ideally, you would have your buyer bring in their funding, then purchase the home and you would get the difference. However, many lenders will not give your buyer funding unless you, the seller, are on the deed. This means that you also have to get funding for the short sale.
Sounds difficult? It certainly did complicate things for a while. However, there is a simple answer to this problem that will enable you to get the funding that you need (and your name briefly on the deed) so that you can finish your short sale flip. We’ll discuss this solution in the next lesson.
Peter Vekselman has been successfully investing in real estate since 1996. He has completed over 1200 real estate deals, owned a construction company, been a private lender, and owned a property management company. Peter currently works with clients all over the US helping them achieve riches in real estate investing. For more information please visit www.CoachingByPeter.com.

Peter Vekselman has been successfully investing in real estate since 1996.
He has completed over 1200 real estate deals, owned a construction company,
been a private lender, and owned a property management company. Peter
currently works with clients all over the US helping them achieve riches in
real estate investing. For more information please visit
www.CoachingByPeter.com.

www.ShortSaleFundingForYou.com – I just started implementing REOs into my real estate investing business after having several other income streams on “auto-pilot” and with anythign new comes the implementation of systems, or the alternative, FAILURE.
Video Rating: 5 / 5

Transactional Funding For Short Sale Deals!

Transactional Funding For Short Sale Deals!

Transactional funding- How To Get More Short Sales Deals Done Now!

Transactional funding has become a huge tool in a real estate investors tool box!

With the changes in traditional lending it has become more difficult to get financing for your short sale and real estate deals. The new requirements by banks has made simultaneous closing, quick flicks and dry closings  a little more tricky.

Enter Transactional Funding!

Transactional funding gives the real estate investor a short term loan which allows he/she to purchase a property from a distressed home owner and then turn right around and sell the property to the end buyer.  This is knows as  Simultaneous closings or back to back closing.

Back to back closings is a great strategy to use when buying a distressed property and when you already have an end buyer who is ready to buy the property from you.

Transactional funding is really just a one day loan that enables you to take simultaneous closings safely along with the backing money that comes with the loan.

This is a great way to buy an investment property without any of your own money!

Now there are fees associated but if there is enough profit in your short sale deal you should make plenty of money on the deal to cover your fees.  This is really a small price to play when you can easily make thousands of dollars on one real estate short sale deal.

And again, since you are using the one day bridge loan from the bank you do not have to use any of your own money. You just want to make sure you end buyer is approved and has the funds to buy your short sale deal once you buy it from the distressed home owner.

Transactional Funding is the perfect way to get the money you need to grow your real estate and short sale business.

Jason Medley has been in the Mortgage and real estate investing business for over eight years. Jason specializes in Transactional Funding for your short sale deals

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The Bulk Reos for Sale Report

The Bulk Reos for Sale Report

The current times present themselves with new challenges for real estate agents and mortgages lenders; potential investors have realized the immense opportunity that resides in the bulk reo property arena and have decided to purchase bulk reos in order to resell them. This potential is for real because new legislation has come along with new requirements. This industry has started to focus and grasp all the mitigation techniques required in order to avoid being enmeshed in lengthy foreclosure processes. By assisting investors in buying the reo properties; the transaction process can be optimized and cycle shortened. Therefore, the entire process can be made easier in order to become available for more investors and eventually homeowners.

After a decade of constant loss mitigation people are beginning to think about imaginative methods in order not to loose their homes; they do everything they can in order to avoid the foreclosure and many creative means have been developed thanks to this aspect. The main responsibility for this disastrous situation is to be found among the mortgage lenders; the easy loans must be left aside in order to prevent people from being financially overwhelmed by the mortgage rates. In a dismal investment environment, investors and hedge funds should avail and purchase bulk reos because they are more profitable; these properties are highly profitable instruments and bulk reo packages present one of the best investment opportunities today. Market fluctuations must be considered in order to establish requisite mortgage rates without making them too overwhelming for end users. Technology is to be used in order to track down all these fluctuations and the bulk reos for sale should be defined according to market demand.

Service providers and reo resellers should use technology in order to speed up the disposition process; by using appropriate expediting methods they can prevent people from loosing their homes. Therefore, in order for a lender to become fully aware of all the possibilities when it comes to the reo sale process, he has to score the entire history of the borrower. He has to make sure that the borrower is financially strong in order to pay his mortgage. Care must be taken this time around in ensuring borrowers are able to afford monthly payments or these properties will fall back into the reo process.

Reo properties are actually the best way when it comes to purchasing real estates at reasonable prices; the bank usually takes possession of all the delinquent properties and every bank is likely to have its own list of available reo properties. If you want to purchase bulk reos, you will have to ask for these lists and many banks already have relationships in place. REO agents have emerged that assist in matching buyers and sellers of REOs. You will have to do your homework and check all the available opportunities in order to make a wise investment. If you are not sure of your knowledge, you can hire an REO consultant to help you in this matter. You also have to be aware that you can actually get the property at a lower price than the one that is demanded by the bank because this institution is not keen on owning the reo properties. Buying such properties may take some time but the entire process is likely to be well paid off in the future to come. Many companies are now packaging these reos for sale to hedge funds and resellers and the entire process is becoming more efficient albeit very competitive.

There are plenty of advantages when it comes to investing in a reo property and every investor is fully aware of the incredible rewards. The main advantage when it comes to the bulk reos for sale is that the agent or the potential buyer will not have to deal with the homeowner anymore. The people who are interested in buying these properties will not have to enter an auction in order to get them; the only thing that they will have to do is to contact the bank or reo seller mandate in charge of a particular property and make a reasonable offer. This offer is to be submitted in order for the bank to acknowledge that a potential buyer is interested in one of its reo properties.

Reports have stated the importance of not rushing into the first reo property for sale; on the contrary, you must be fully aware that not every property is likely to be worth your investment. Not every reo property is an automatic way in order to earn some money and you have to search for all the existing details in order to make sure that a particular property is what you are looking for in order to invest your money.

In order to purchase bulk reos, you will have to search for the necessary details in order to make sure that the bulk reos for sale are profitable enough.

www.bankreopropertydeals.com How to Make Money with BULK Bank REO Properties. The Most Amazing Deals in Real Estate – Bulk REO LOI, POF, LOA, NCND, Master Fee Agreement – Do they really mean anything if either investor or bank aren’t able to perform? How many times have your been frustrated by this? Would you be open to another way? We are sourced DEEP on the supply side so product isn’t the problem. It’s now a matter of how do you proof up the other side so you can complete the deal. There has been a cowboy mentality in bulk REO sales… until now. We’ve found a way to tame the “Wild West.” It’s a fundamental model used in the financial markets each and every trading day. It works whether you are looking for REO portfolios, notes (performing & non-performing) or MTNs. Want to learn more? It begins by filling out the short Buyer Profile form on the website. Do it today so we can introduce you to a better way to pursue bulk REO. DISCLAIMER: Video creator is not a United States Securities Dealer, Broker or US Investment Advisor. Furthermore video creator is a licensed California Realtor but is not acting in that capacity in this role. Information presented herein is not to be considered a solicitation for any purpose, in any form or content, nor an offer to sell and/or buy securities, and/or properties. Video creator is acting in a ‘Intermediary’ capacity only.
Video Rating: 4 / 5

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Back in the good old days ? as recently as 2007 or so ? investors used to be able to buy and re-sell property the same day without ever having to bring funds to the closing table.? This was accomplished through a couple of different methods, such as the simultaneous closing or use of a land trust.

There is still a wonderful method called an assignment of contract which can be used to accomplish the same thing.? However, there are situations where an assignment is not acceptable.? For instance, any time a bank is involved, be it a short sale or a bank-owned property, the bank is not going to approve the HUD-1 with an assignment fee on there.

Let me back up a moment and explain why the simultaneous closing and land trust are no longer viable methods in many cases.? Keep in mind that this will vary tremendously based on the accepted practices of the state in which you invest.? Many banks and title companies used to accept these methods without blinking an eye, so to speak.? But, the crash of the real estate market has brought with it increased scrutiny from federal and state regulators.? Therefore, many title companies will no longer perform simultaneous closings or closings using a land trust.

Again, the situation will vary state-to-state, but sufficed to say, many investors are having issues trying to flip properties through a simultaneous closing or land trust.? In order to solve this problem, a new type of lender has emerged:? the transactional lender.

A transactional lender is one who lends funds for a very specific purpose ? to allow the investor to purchase the property so that it may then be re-sold quickly.? Transactional lenders differ from hard money lenders in that they will not lend money for months or years to allow fix-up of the property.? They are only lending for typically 1 day so that the investor can buy and then re-sell the property.? The transactional lender will be paid off on the re-sale.

Transactional lenders will typically be less expensive than hard money lenders.? You can expect to pay somewhere around 2 pts. (or 2% of purchase price), plus possibly an administrative fee of around $500.

Finding these lenders is as simple as typing ?transactional funding/lending? into your favorite search engine.? Lenders love to do these types of loans because they are paid quickly, and when they?re lending on dozens of deals per month, their profits add up fast.

The best part about using a transactional lender is they will not require you to use any of your own money!? Unlike a traditional hard money lender, since they are only lending money for 1 day, they do not feel the need for the investor to contribute a down payment.

If you are looking for more Real Estate Investing strategies or are
looking for big profit wholesale deals, visit
http://www.PrimeRealEstateDeals.com. There, you can receive a Free
Report entitled “How To Buy Wholesale Properties Without Taking A
Bath”. You can also sign up to be on our wholesale buyer’s list.
http://www.PrimeRealEstateDeals.com

How To Get Short Sale Funding

If you’re a pre-foreclosure investor, having short sale funds available to finance all of your deals is the perfect investor solution to take advantage of today’s booming foreclosure market.

In the current economic climate there is no income, no cash, and no credit required. You can obtain funding to close all of your deals in 48 hrs!

With the sub-prime mortgage debacle, and the recent tightening of the credit markets, you have no doubt noticed how much more difficult it is to acquire financing for almost any real estate deal these days.

In the past, plenty of hard money options, along with double closings and simultaneous closings made closing REO’s and Short Sales a breeze.

However, with the credit crunch, mortgage fraud, and tighter restrictions with lenders and title companies, closing on Real Estate Acquisitions isn’t as easy as it used to be.

However, there is still one very simple and easy way to close your REO, and Short Sale transactions without using double closings, hard money, income verification, none of your own cash, No AAA credit, No simultaneous closings, or even the over complex land trusts.

That method is using back-to-back closings to get all of your short sale deals closed and funded on time. Back to back closings take a short sale deal and turn it into two separate and distinct transactions.

The first transaction is the homeowner facing foreclosure selling to the pre-foreclosure investor. The second transaction is the real estate investor then selling the property to the end retail buyer.

However, even if you are using a back to back closing, and your end retail buyer has secured their funds, what makes this work is that you need to secure your own funding, as the real estate investor.

So where do you get this funding of your deals? This is often called transactional funding, and today, there are many lenders making these types of loans. Lenders love transactional funding, because they are only lending for a period of a few hours, and this represents zero risk to the private investor’s cash.

With the end buyer’s loan already approved and in place, two separate and distinct transactions take place on the closing day. The first is the investor purchasing the short sale deal from the distressed homeowner.

This is funded by the transactional funding company. Immediately after this transaction has closed, the investor is then turning around and immediately selling the property to the end buyer.

The end buyer is using funds obtained by him through a traditional loan, or cash through lenders like Upperhouse Mortgage. Most conventional lenders today won’t have any issue funding these loans.

The only such exception are FHA loans, which at the time of writing this article, have a 90 day seasoning requirement. However, as the real estate market changes, and the housing market remains volatile, it is very possible that the FHA might change its guidelines.

Transactional funding is the perfect way for pre-foreclosure investors to fund their short sale deals in today’s foreclosure ridden market. There are plenty of choices for funding companies, all willing to fund these simple, easy short sale transactions.

However, one of these companies will even pay you a hefty commission to find deals for them up to $50 Million Dollars. You find it, they buy it, and you get paid a hefty commission. There will never be a better time for you to “Think And Grow Rich” in Real Estate!

Upperhouse Enterprises, Inc. has been in the real estate industry for over 32 years, specializing in creative financial structures, and prides itself on ethical, honest behavior, with integrity. Let us show you how to secure Short Sale Funds or Conventional Financing!

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