Can anyone tell me if this is possible. I would like to buy some houses that are coming to auction in May. I need to have the full purchase price within 3 days of auction closing, w/ $20,000 deposit before the actual auction. I plan on flipping these properties with in 3 months. Does anyone know of a HML that can work with me on this? I’ve tried this before and had the HML go over my head and buy the house out from under me. Thanks.
Casey
Casey,
Try the HML section on this site. There are some sharks out there. It may benefit you to find a mortgage broker/loan officer who is familiar with hml’s and could guide you in the right direction.
Your’e in a tough spot with trying to buy properties from auctions using a hml.
Most hmls will require that you have a contract, scope of work (if rehab), and comps before evening considering the offer. This doesn’t leave them much time to order apprasial work and title either.
If i found an HML that was willing to here me out…I could pull title and comps a month before the auction. The assessed value is $322,000 and in Arizona (Maricopa County) the assessed value is about 3/4 of FMV.
Casey,
If you have 35% to put down on the total price of all the properties, then you may have someone willing to listen. How much work is needed on these properties? Are they liveable upon purchase or would they require rehab? If so, how much?
Sorry, I meant “hear me out” not “here”
I don’t believe these would need much rehab, the inspection period is comming up in April. I will know for sure then. I’m trying not to put anything down. It would probably work out to be a 65% LTV or maybe even 60% LTV. There has got to be an HML out there that would be interested in that deal. If I can’t find an HML, I’ll look for an investor. Maybe an investor and myself can work soemthing out?
I know this kind of deal might be outside the usual realm of an HML being that it’s an auction and there is the possiblity that I might not even get the house or houses. Hopefully someone out there is interested.
Casey,
Getting a letter of credit from the bank or a prvt. investor is your best bet.