Are there any maryland real estate investors - mostly in montgomery county, PG, Howard or Arundel county?
Hi REIGAL, :biggrin
I live in maryland, I’m always looking for other investors in maryland, seem so hard to come by on forums. What type of investing do you do, how long?
I’ve got to check out the site below…
Later…IC0317
Happy Investing :beer
Hi all - I’m hoping to meet other Marylanders to bounce ideas off and to ask questions even if we all don’t have all the answers.
This is a local question. Have any of you bought property through courthouse foreclosures in either Montgomery, PG, Howard, Baltimore counties, etc?
I am very hesistant to dip my toes because what if you buy a house and the tenant hasn’t vacated? Also thoughts about financing a foreclosed property…Thanks in advance.
Hello. I’m new to the site hope to get involved in REI. I am a Maryland resident living in AA county also interested in these kinds of investments. Since I have never made a deal I can’t offer any solid advice.
From what I’m learning it really depends on what you want to do with the property. Depending on what you want to do there are different options available. There is a lot of information on this site involving hard money loans to fund a rehab project.
Right now I am interested in rental properties but I’m starting to look at foreclosures in AA county also for a possible rehab. I hope you find some good advice if I learn anything I post.
It’s nice to see another Maryland resident on this board the day I signed up. Good luck.
I am in the same area as you guys Howard, Montgomery, AA, etc… Does anyone know where the local REIA is located in this area?
Jay
Hey guys, I live in Maryland too. I live in Baltimore County, but in the process of relocating to Columbia. In response to the last question, the local REIA meetings are held every 2nd Saturday of the Month in Bowie, MD http://www.dccmreig.com/. I’m trying to get some deals going myself mainly foreclosures, and rehabs, but the price of a foreclourse is kind of expensive in this area.
Aceofspadez - I am especially curious about foreclosures so if you find some information, please share. I have been corresponding with “investar” offline and we are sharing ideas so please feel free to write privately.
I basicially check out the HUD auctions and listings on alexcooper.com.
Please please if anyone attends one of their auctions and buys something let me know the process. I know they have a buyers premium fee like 5% or 6% which is pretty steep when you are talking about $400K or above. And plus you have to have a large down payment like 20% or something in a few days or weeks. I
I would really like to get a step by step walkthrough from someone with first hand experience.
I know everyone says buy preforeclosure but I really can’t figure out how to meet these people unless you have a personal tie to someone who comes in touch with these types of people. Plus with the new “foreclosure laws” in MD that prevent investors from talking to people in preforeclosure, it doesn’t seem to be a real option.
iam here also in maryland baltimore county. i have some deals now for sale in baltimore city.
[quote author=reigal link=topic=28485.msg134230#msg134230 date=1181700250]
This is a local question. Have any of you bought property through courthouse foreclosures in either Montgomery, PG, Howard, Baltimore counties, etc?[quote]
Even though I don’t live in MD, I have purchased around 15 properties in Frederick and Montgomery Counties over the years. At one time, I had ten properties in my rental portfolio; today, I am holding only six. Two of these properties were purchased retail – the first was a preconstruction deal, the other was an MLS listing by a motivated seller. All the others were either HUD or VA foreclosures. Years ago, I attended a couple of HUD voice auctions in a DC hotel venue, but the sale prices were nearly always higher than my limit, and, almost full retail even though the properties usually needed work.
Last year, I participated in a Treasury Department auction for a property in Frederick city. The property was one of the smaller townhouses in the subdivision with comps in the $310K vicinity. The bidding started at $254K and the property sold for $308K.
Here in my resident state of SC, I see the same outcome at the courthouse auctions. The sale prices are almost always higher than what I perceive as the property’s market value given the condition of the property. Novice investors and eager owner occupant buyers flood the courthouse and usually overpay for everything sold. In case you can’t tell, I am trying to burst your balloon if you are thinking that you will routinely steal a property from the courthouse steps.
There aren’t any bargains left in the government foreclosure inventory these days either. The properties are almost always in need of costly repairs/rehab but listed for sale at or near after-repair-FMV. Once again, novice investors and eager owner occupant buyers are bidding these properties up to and past list price. Seasoned investors are rarely buying from the HUD inventory these days. The last I purchased a HUD property was here in SC in 2001.
Also thoughts about financing a foreclosed property...Thanks in advance.
If you are asking about purchasing a bank REO, then financing is the same as any other property purchased from the MLS. The bank wants to see a lender’s pre-approval letter and proof of downpayment funds with your offer. If successful, you will usually have 30 days (maybe more) to close. HUD is giving the winning bidders 45 days to close.
Courthouse step sales vary by courthouse. Here in SC, if I am the winning bidder, I must present a certified check for 5% of the bid price by the close of business on the day of the auction. I have another 30 days to complete the purchase or forfeit my deposit. For the deposit, I planned to use a credit line I had obtained at my bank. I had also established a relationship with a local lender that does portfolio loans. By pre-qualifying with this lender well before the auction date, I could get a portfolio loan to settlement in about two weeks at best, but usually within 30 days.