Nearly every course I read about SS they say to get the Deed! Besides the Land Trust is there any other way to protect yourself and have control. I have read a Land Trust that one of these guru’s have in his book, and it is very confusing. Nothing to do with the home owner it is all about Beneficiary and Trustee, and the leagl ramifications between the two. In my opinion 75% of these home owners would be afraid to sign this, as it is very legal, anyone have any other ideas. Thanks
What state are you in?
It is legal in some states, not all… However, I am hearing that even though it may be legal, many people and title companies associate it with bad business because of lot of less than honest investors were taking advantage of HO’s by taking the deed then kicking them out. You can use a land contract instead, and everything can be done at the closing table. If you have a purchase and sale contract with the HO, and the authorization to release info to the lender you should be protected.
Using a Land Trust can actually give much more protection to the seller and the buyer depending on how they are set up. I sell using land trusts but I have a specialist come in and explain it to the seller/buyer. If you want more info, email me off forum.
I have been doing short sales on a regular basis for over five years and I can tell you that when people are in a position to need to do a short sale they will not question the Land Trust method. One caveat to this is that they have to trust you and see you as an expert. If you can pull this off their reluctance is minimal as they generally have nothing to loose. Lately however, we have started to utilize options in our short sale program. This is designed so that we can do a simultaneous close at the end with you have to try to mask the deal to the bank. It seems to work a little better.
I would love to get more info about the simultaneous closings with short sales. Please email me offlist?
I would love to get more info on short sales and simultaneous closings as well. I thought land trusts were the way to go but now my title company is saying title companies are getting nervous about land trusts…what now??? Thanks for any help you can give me!
I too would like to get more information on SS and land trust. I am in Maryland, anyone knows if they are legal here? Thanks for the feedback.
my personal opinion (and you don’t have to like it, it’s just that…my opinion).
But. I don’t think you should ask a homeowner for the deed if you aren’t at the closing table. It’s just bad business. What right do you have to the property? What have you done to earn the deed? This is how investors get a bad name, getting a deed to a property without actually funding it is bad business.
And any guru that says to do this is worthless and you should not spend on dime on their crap.
Ask lots of questions and buy mark warda’s book “land trust for privacy and profit.” This is what I did recently on a sub2, regarding LT. I closed yesterday, in fact. I was able to draft and create my own Land Trust agreement and all the other documents, using the guide and info from Mark Warda’s book. It’s a lot cheaper than buy a course on the subject.
the reason people get the deed to a property is not to just do it because its something cool to do. They do it because they usually have to catch up back payments and get the property in marketable condition.
No one is going to dump thousands of dollars in a house without having control over it. Sometimes there just isn’t enough money in the deal to get financing and pay closing costs and such, but enough in the deal to help the seller out of a real jam and stilll profit.