The Weather is coming back and this market is really exciting me!

Hey Folks,
I’m new to this blog thing, but it does remind me of an old journal type of thing I used to post online in my forum some years ago. So, I have a feeling, while not every single day, I will post things on a regular basis. The topics till range from real estate investing related, to sometimes, just my thoughts on a particular subject that hits my mind. Naturally, the way my mind works, every topic will eventually wind its way around to investing.

When I posted my journal entries, they were intended to give folks a glimpse into the daily activities, thoughts, and actions of a real life full time investor. Surely not all full timers do things the same, but the successful ones share certain traits. So, by sharing, I’d create and open discussion for some rather in debth conversations about investing, as well as answer many questions from those just learning.
All which I frankly, love to do.

The point…….?

I want to make this blog kind of like that, however, I also want you to keep in mind, I’m one man, therefore to learn in detail about what I really do, I wrote a Home Study Course, “The Biker Who Buys Houses”.
I will help, and share here as much as I can, but when you are ready to take the step into investing, my course offerings and mentor packages are there to help straighten the learning curve.
This means, I will occassionally mention and promote new products, mostly my own, and occassionally those of others that I deem worthy.
However, I’ll do so with no fluff, and no hype. That’s my promise to you.
If you folks will tolerate me promoting my products to you here and there,and support my efforts to educate, by purchasing some here and there, I’ll promise to make your reading here, both educational, and entertaining, as well as totally worth your time.

So, without further adue;
Today was an interesting day. I’ll be honest, my investing has slowed down, meaning, my life pace.
After some health issues, and realizing that in this market we can really cherry pick deals, it made no sense to run around caffeine hyper for 18 hours per day.
Just not worth the wear and tear on my aging body. (This Biker should not, no, cannot, party like a rock star any longer)
So, I spend time with friends, ride my bike, answer my phone when it rings……..(most times, unless I’m on the bike, that ain’t cool!)
I do less, but seem to accomplishing more lately.

Basically, I’ve noticed, any degree of marketing we place, returns immediate results, with plenty of leads to choose from. The MLS even offers up some great opportunities, as well as networking with struggling agents, offering them solutions and houses to list/manage AFTER we buy them.
I used to be the guy with thousands of signs all over the county, billboards, vehicles, flyers, you name it, we had our message on it.
I do picture eventually doing that again, but not for another year or so.
Now, I’m coasting….enjoying the wind in my face so to speak.

It’s been cold here in Florida, (not ‘up north’ cold’), in the lower 30’s some nights, not a whole lot better during the day. For a biker who has lived here nearly a decade, this meant getting cold, really cold.

It also meant, thanks to being from Chicagoland Originally, that I could adjust quickly, and knew how to layer. I ride EVERY day, rain, shine, cold, warm, hot, whatever. It’s my passion, something I’ll never tire of, or become bored by. Simple, peaceful, and just, free. Even in the cold weather.

Today though, we had weather back in the lower 80’s. I of course had things to do, which meant getting my HAWG out and running errands on it…..free from my leather.
Today reminded me WHY I moved to Florida in the first place. I’d been thinking lately about doing some out of state deals, because there are some markets out there that are really calling in GREAT deals. (yes, we have them here too, grass just to all, even me, at times, seems greener where it’s easier).
Then, the weather, on my bike, my great mood returned, and sure enough, I bought a house…….the old positive mindset thing and all seems to work.

Funny thing is, this is a house I once owned before. My wife thinks it is funny, as over the years, we’ve often told buyers who purchase from us, ‘keep our cards, if you ever need to sell, call us’. This buyer remembered, and just needs out. The house is okay, needs a little TLC.
But, here’s the cool part, there are two mortgages on the house, held by the same lender. The loans are behind two months, almost three. I have worked with this lender previously, and should we get the 2nd mortgage to discount as planned, this will be a killer fast turn deal. A quick $20k to $30k, in perhaps a month.
I happen to know a buyer seeking in this area, who has been pre-approved for first time buyer incentives, loans, etc.
So, we should be able to turn this house, again.
Thing is, as I teach and do, there are several other exit strategies we can employ.
Naturally, either a discount on the second, release of it completely, leaving just the first, restructure…..we can keep the house, rent it, or, sell it owner financed, still giving some first time buyer incentives.
Making slightly less cash now, but cash flow, or more profit over time.
Tons of things to be done with defaulting paper these days. Heck, I might just have another entity set up, and buy the second for a severe discount, and leave it in place……since I’ll own it.

But, we shall see, still need to check title thoroughly, and make sure all ducks are in a rowe.

I went to the house today, it is the next day now, began the post friday, this is sunday night now.
Anyway, went to the mentioned house today to inspect it thoroughly.
It does need more work than I thought, however, a good cleaning, some paint, and carpet steam clean, and it should sell, or rent.
Especially in light of some information I discovered about the lender who holds the second on this house.
Apparently, due to the arrearages on the two loans, again, held by the same lender, the lender sent the barrowers a letter. That letter came today, and it said that the lender was willing to restructure the first to a higher balance, and forgive the second completely. Basically, offering out of the gate a discount of 5 figures. Payments would over all go down, but be higher on the new first than the old.
The sellers, after I told them this sounded like a good deal, did they now want to keep the house, said, “no, we just want out”.
The offer of course was contingent on the barrowers paying one payment now on each loan and then some fee for the restructure.
Frankly, I’ll most likely get a better deal, but with that on the table, it’s workable from there with no further effort than securing a tenant, or buyer to wrap around it.
No mention of interest rate in the letter though, just that principal payments on the first would increase, but remain less than the total of the current two payments.
So, we shall see where that goes.

Lot’s to do, title to get checked thoroughly first thing Monday.
Already sent the legal out to my Lawyers office.

Anyway, that’s it for now folks.
Stay Tuned, more blogging to come.

Happy Investing, and Remember, keep the Rubber Side Down! (That’s Biker for ‘ride safe)

Jim
a/k/a “The Biker Who Buys Houses”

P.S. Don’t forget to sign up for the FREE “Quick Start Guide” at the main page www.REmentors.com or check out my course at www.TheBikerWhoBuysHouses.com