setting up a land trust

Foreclosures, Short Sales, Tax Foreclosures
1

NEED HELP UNDERSTANDING THIS CONCEPT
I’m as newbie as it gets. Can someone explain how you can create a landtrust and then assign your contract using a land trust. I live in California. And these are my questions:

  1. Do I need a lawyer to create one?
  2. Approx, how much does it cost?
  3. At what point do you tell lender, you want to assign someone else w/in your landtrust for the SS?
  4. I’m assuming my buyer, who doesn’t have all cash, and still has to qualify for loan, would lender wait for borrower to get conventional loan? or do you always need an all cash buyer?
  5. whether or not my buyer has qualified for a loan, do I get paid?
  6. if answer is yes, how exactly does it work? I’m thinking, a lender will not release 1 penny to me, if the SS has not close w/buyer. Unless, that’s the reason the land trust was created; if so, what are the logistics.
    Someone please answer these questions in basic terms. I have not close 1 SS deal, although I’m working on a couple of them. And my thinking was, buy it at discount and after SS has closed, sell to someone else, making the profit.
    Then I discovered this landtrust everyone is talking about, but as you can see, I’m still confused.
    Thanks everyone in advance.
2

check out www.foreclosureforum.com; also consider taking Ward’s training (the guy who runs that site); it is excellent. it all day, one-on-one

so do some reading asset protection of this forum; all your questions have answers over there

3

NEED HELP UNDERSTANDING THIS CONCEPT
I’m as newbie as it gets. Can someone explain how you can create a landtrust and then assign your contract using a land trust. I live in California. And these are my questions:

  1. Do I need a lawyer to create one? NO

  2. Approx, how much does it cost? $324 + $12 per mo trustee fee for personal residence.

  3. At what point do you tell lender, you want to assign someone else w/in your landtrust for the SS? YOU DON’T HAVE TO, BUT I USUALLY DO WHEN I CONVERT THE HOMEOWNERS POLICY TO A LANDLORD POLICY.

  4. I’m assuming my buyer, who doesn’t have all cash, and still has to qualify for loan, would lender wait for borrower to get conventional loan? or do you always need an all cash buyer? YOU NEVER NEED AN ALL-CASH BUYER. IF YOU STRUCTURE YOUR TRANSACTION CORRECTLY, YOUR BUYER CAN REFI AT THE END OF HIS LEASE.

  5. whether or not my buyer has qualified for a loan, do I get paid? ABSOLUTELY.

  6. if answer is yes, how exactly does it work? I’m thinking, a lender will not release 1 penny to me, if the SS has not close w/buyer. Unless, that’s the reason the land trust was created; if so, what are the logistics. YOU REALLY DON’T UNDERSTAND THE CONCEPT OF A LAND TRUST. THE LENDER DOESN’T RELEASE THE MONEY TO YOU, YOUR TRUSTEE DOES.

Best of luck to you.

Da Wiz