Posted by BillW. on February 07, 2001 at 23:12:22:
In response to your questions;
1.Check carefully with Mid Ohio re exact uses allowed. You have to work carefully depending on rather you have recourse or not.
2. We get paid for solving peoples problems.
3.If there was as much equity in a deal as you state, why wouldn’t they simply use an equity loan,or refinance? If they had a pulse, they could get 65 percent of value. Then they could just list with a broker and get 80 percent even on a quick sale. If you’re going to persue these type deals, you might find that they are not that common.
2 questions - Posted by mega fly
Posted by mega fly on February 07, 2001 at 22:43:46:
first; i have about $10000.00 in my IRA and i want to use it for R/E investing im looking at mid ohio securities featured on this site any info on them or any other IRAs that allow this. second; i have an idea to use it to offer homeoners that are behind in there mortgage to loan/buy there house to give me equity for my investment ie. someone is laid off from there job and 2 months behind in there mortg. by $2000.00 on a $150000.00 house with $95000.00 in equity,offer them $5000 to give me ther property. resell the property and keep everything over the $95000.00 i know it sounds like im taking advantage of there hard times but i would give them 5k to find a new place to live and save there credit. i dont want to be a crook but i know this situation is out ther due to mismanegment of finances death devorce layoff and such…is this a good idea?
Re: 2 questions - Posted by Brent_IL
Posted by Brent_IL on February 09, 2001 at 01:46:45:
This might sound like a dumb answer, but I would try very hard not to spend the $10,000. I would point at it as proof of financial strength for sellers. Then, I would look for deals where you have a definite, short term, but profitable exit plan. I think you can borrow from your IRA without tax penalties if you repay within a short term (60 days?). ?a note as good as cash? etc. Do you really want your IRA tied up in bankruptcy court?