Промышленный лизинг Промышленный лизинг  Методички 

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 [ 64 ] 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90

Attorneys take on clients for a percentage of the money the attorney can win in court.

How many of you have heard the expression you cant get blood out of a turnip ? When an attorney is searching the public records to find your real estate assets, you want them to think you are a turnip.

Creditors When creditors come after you, what do they come after? They may not be able to get your home, but they certainly can come after your real estate investments. What real estate investments?

Divorce If your ex-spouse is trying to get money out of you, the first place his or her attorney will look is to your real estate investments. Again, what real estate investments?

IRS Liens Dont even get us started on the IRS or your state taxing authority. If you dont pay the taxing authority what they think you owe them, they will put tax liens on your real estate assets. When you go to sell these assets, the tax lien will show up against the title to your property.

So if you are involved in one of these situations, we recommend using options. You can be a real estate investor who controls property without owning it. We are firm believers in the right to privacy in business affairs. Make using options part of your privacy protection.

Options and Foreclosure

We are going to conclude this chapter on optioning foreclosures with examples of using an option contract in the foreclosure arena. You may want to use an option to tie up the owners equity in pre-foreclosure. You may want to use an option to help an owner get their hands on some cash in return for your having an equity interest in the property. Lets take a look.

Tie Up the Owners Equity

In Chapter 8 we talked about buying the owners equity. We are going to bring back that situation and show you how to buy the owners equity



with an option contract. You are really tying up the owners equity with the option. You wont exercise your option and buy the equity until you have another buyer to flip your option contract to. Remember the foreclosure situation.We will bring back just enough of the elements of your offer to buy the owners equity in Chapter 8 so we can contrast this with optioning the owners equity.

Foreclosure Situation

Foreclosure Value $185,000

Mortgage $150,000

Owners Equity $ 35,000

Your Offer to Buy the Equity Instead of the owners equity being $60,000 in the non-foreclosure situation (when the value was $200,000 and the mortgage was $140,000), the owners equity is $35,000 in the foreclosure situation. The owner has suffered a $25,000 loss in equity.

You are going to offer the owner $10,000 for the $35,000 equity. If you keep the property, you are going to have to pay the lender the $10,000 in back payments to stop the foreclosure. Now you will have $20,000 in the property. If you have to make repairs and do fix up, you may have $3,000 to $5,000 more involved.

Then you add in mortgage payments, property tax payments, and insurance payments. Resale costs could add another $5,000 to $10,000 or more to your investment. When you add this all up, your total is $30,000 to $35,000!

Your Offer

Cash to Owner $10,000

Cash to Lender $10,000

Repairs and Fix Up $ 5,000

Carrying and Resale Costs $10,000

Total Invested $35,000

Your Offer to Option the Equity Put the same contract together with the owner to buy the owners equity. But make it an option to buy his or her equity. Rather than giving the owner $10,000 up front, give the owner a $1,000 option fee, which applies to the $10,000 if you exercise the option.

You now have protected your cash to the tune of $9,000. You have tied up the property. You have bought time to find another investor or



buyer to flip your option to. The way we recommend you flip your option is by assigning it to the next buyer.

If you do not find a buyer to assign your option to, you have two choices.You can walk away from the deal and be out your $1,000 option fee. And the owner cannot sue you for specific performance.

Or you can exercise the option yourself and fix the property. Then you can sell the property to a retail buyer. Either way, by using the option, you can make money through maintaining control of the property.

Making Money with an Option Retail Buyer Wholesale Buyer

Sales Price: $200,000 Flip Fee: $10,000

Mortgage: $140,000 Mortgage: 0

Gross Profit: $ 60,000 Gross Profit: $10,000

Invested Money: $ 35,000 Invested Money: 0

Net Profit: $ 25,000 Net Profit: $10,000

Buy-Back Option

We call this use of an option having your cake and eating it, too. If your first offer to the owner in pre-foreclosure to buy their equity meets with a rejection, try using the buy-back option technique.

Normally, the buy-back option is used in any situation in which someone must take the risk of sacrificing part of their equity and future appreciation in exchange for getting their hands on some immediate cash. This exactly describes the owner in pre-foreclosure.

Using a buy-back option is similar to doing an equity share with the owners. Instead of the owners giving you an option, you give the owners an option! You present the same offer to buy the owners equity that they previously rejected.

However, now you add the feature that you will give them a buy-back option if they will accept your offer. Lets put some numbers to this so you can see the beauty of the buy-back option.

Using the previous example, you give the owners the option to buy back the property within six months for $200,000. It will be as if you fixed the property up, held on to it for six months, and sold it to a retail buyer.



1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 [ 64 ] 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90