Posted by Bruce Lawson on July 06, 2001 at 21:57:15:
Hi Karen,
You score is not far from where it needs to be most likely some lates and too many inquiries will bring your score down.
There is something you can do to get your score back up to conforming. Contact me and I will share this information with you.
Sincerely,
Bruce Lawson
Financing - Posted by Karen
Posted by Karen on July 06, 2001 at 24:05:32:
Dear Ed,
I found a fixer upper on 41/2 acres in Perryville,MD. The house and 1/4 ac and the additional 4 ac are on seperate deeds. The owners father passed away and he inherited it. He lives in Texas and will not be returning. He wanted to sell both parcels together at 105,000. He owns the property free and clear. It is in a very desirable area across the street from a Golf Course and Country Club. I had spoken to a Hard Money Lender at our local REI meeting perviously about this property. I asked if he would lend to borrowers with less then perfect credit. He said that he did. I asked if he came into that particular area, again he said he did. He already new that I was a newbie. I thought that I had lost the opportunity to aquire this property because someone else had already put down a deposit. Then the owner called me and said that it had fallen through and was I still interested. It is a small 3br 1 bath home that needs about 20,000.00 in rehab. I had comped the house and 1/4 ac after fix up in the estimated value range of 93,000 - 107,000. I could not find comps on the land but I know the area well and land goes for around 35,000 - 40,000 per ac there. I new of course that I would not get that for the land with the house so I market value priced it at around 185,000. I sent the HML all of the appropriate paperwork, asking for a HML of 136,252. I was denied because I have “B” credit, my score is 601, I’m still a newbie, and because of this the HML wanted me to do a deal closer to his area. I have put down 1,000 on the property with the Title Co. Do I look elsewhere for the money or do I let this one go. I am not experienced enough to do an assignment nor do I have the contacts since I wanted to get into rehab. I thought I had investigated this one thoroughly. The owner wants to close this deal and it looks as if I may end up looking foolish on this one, besides losing my precious 1,000. If I have to let this one go how do I go about getting my deposit back.
I did learn a few things along the way. Any of your wise suggestions would be deeply appreciated.
Thanking You in Advance,
Karen L. Hackett
Re: Financing - Posted by Vin
Posted by Vin on July 09, 2001 at 11:54:09:
Karen,
One solution may be to talk to the owner of the golf course. If it is right across the street from the course they may be interested in helping with the financing. They may not have a driving range on the premises, or would like the extra land to add a pitching-chipping range. If they are not interested in developing the land in this way it may be a possibility for you. Driving ranges are huge money generators on very little operating cost. Maybe you could include this proposal into you discussion with the HML. Just some thoughts.