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Markus, Home Owner in San Diego, CA

i inherited 2 homes,over 2 years ive had nothing but bad luck lost job,car,in debt with every body ,I.R.S.,2 years behind prop taxes.what can i do?

Asked by Markus, San Diego, CA Fri Jul 15, 2011

both homes need extreme attention,from roof,restucco,paint...im 56 years old,not old enough for reverse mortgage.then to put frosting on the cake,all the stress ive been under ended me in the emergency room,with heart problems,(no med ins.)and farther i sink.is there any hope at all ?

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51
Markus,

There are solutions to these issues. Here is what You should do... Focus on Your mental health. Don't worry about money or any of that crap. Just think about what would put a smile on Your face. Start going in that direction. If selling the homes and paying off the debt sounds like music to Your ears, then do just that. If You want to keep the homes, rent them, deal with being a landlord, etc. for the sake of the money, then that's fine too. Just focus on what will make You happy FIRST.

Mr Credit
Web Reference: http://MrCreditRadio.com
2 votes Thank Flag Link Tue Aug 16, 2011
Sell one and fix the other
1 vote Thank Flag Link Mon Aug 8, 2011
At just a quick glance without knowing to much detailed information, I would say sell one of the homes to get back on your feet and keep the other one as an investment or to live in mortgage free.

A possible suggestion if the homes are in need of extreme attention is to find a reputable remodeler or home builder to partner with on flipping it...you provide the property and they finance and complete the renovations on terms to split profit %.

It sounds like you might need to consult an attorney with some of this though. Be wise and cautious with these inheritance, it could be a knew blessing for you in these hard times.

Best of luck to you either way though! Feel free to contact me if you have any specific questions I might be able to help out with, would be more than happy to if I can.
1 vote Thank Flag Link Mon Aug 8, 2011
John, the matrix has you. Follow the white rabbit.
1 vote Thank Flag Link Mon Aug 8, 2011
Hi, I'm Frank and am a Realtor-Auctioneer in NC and Florida. I am sorry to hear about your bad luck. I may suggest that you rent the properties sothey can produce some income until the market rebounds.You can also offer for sale with seller financing. This is an attractive way for buyers to purchase that can not qualify for conventional mortgages and it would be a great long term income for you.If you need more help you can contact me thru my web below.
1 vote Thank Flag Link Tue Jul 26, 2011
Hello Markus,
That is one terrible run of luck - and a lot of us would say it's about time things turned for you. First, get healthy, then contact a lawyer, and consider selling one of your properties (through a local Realtor). You also might want to rent out the remaining home while you gather yourself together and get fully employed again.

Fifty-six means you have at least nine years till retirement - maybe 14. Get a plan. Get moving. Just getting active will improve your state of mind. Start with some walks in that gorgeous, gorgeous part of the world.

There is always hope. Please let us know how you're doing and post an update in a few months.

Best,
SuZ
PML of Longmont, CO
1 vote Thank Flag Link Thu Jul 21, 2011
Hi Markus,

I'm so sorry! I would suggest that it's time to talk with a BK attorney. You need some legal advice and counsel....not a real estate agent/forum. There are answers and you need to get them. Most attorneys will give you a free consultation, so see a couple and see who makes you feel the most comfortable. You might find the situation is not as dire as it seems.

Once you are out from under things, you will feel so much better....put all this in someone else's hands for a while.

Wish you nothing but the best.

Karen
1 vote Thank Flag Link Wed Jul 20, 2011
Markus --

Always use a Realtor who is not attached to the outcome! This needs to be a arms-length transaction for your own interest and safety. If nothing else, and we really don't use them here in San Diego, contact a good attorney. Your only bet may be to file bankruptcy. Only a lawyer can advise you on this approach. I can recommend one if you so choose to go that direction....

-- Rod --
858-444-2443
1 vote Thank Flag Link Mon Jul 18, 2011
Derrick gets a thumbs up from me too!!! GREAT advise and additionally... sometimes it is attitude that can help you turn things around. So inheriting 2 homes might end up being a great blessing and a gift if looked at from a different angle!!! We all hit lows in our lives.... sometimes it is just to teach us what's important. Wishing you Well and Good Luck!!! Sometimes we make our own Luck!!!

Kindest Regards,
Dianne Hicks
Web Reference: http://www.di4homes.com
0 votes Thank Flag Link Wed Aug 17, 2011
Pretty much sums it up Derrick but I think this may be falling on deaf ears. Haven't heard a work from Markus yet
0 votes Thank Flag Link Wed Aug 17, 2011
Hi Markus,

So sorry to hear about your string of back luck. You have several options--lease them as many have suggested, sell them and pocket the cash or consider doing an owner carry back on them at a great price, interest rate and make yourself some extra cash to deal with your debt.

Best Of Luck!
0 votes Thank Flag Link Sat Aug 13, 2011
Yo Markus, You've reeled in a lot of top quality RE advice from a lot of very astute pros. Where are you? Should we keep feeding into this thread or focus our energies elsewhere. A little feedback will keep our attention.
0 votes Thank Flag Link Fri Aug 12, 2011
Markus,

You could rent the houses to some SDSU students. They will finish the demolition of course, but provide some rent money.
Seriously, take the offer of an agent who will list them and get rid of them. You have no investment to loose, so take what you can get.
0 votes Thank Flag Link Fri Aug 12, 2011
Let me start by saying, “there is most certainly hope for you!” Often times when we are faced with life’s hard issues we can’t see beyond the immediate. If I were in your shoes I would sell those homes in the condition that they are in. Talk with a Realtor in your area who can give you an idea of what those homes are worth in the condition that they are in (as-is). There are many investors out there that could take them off your hands!

Granted they would most likely want to get a good deal, but the stress-relief may benefit your health right now. In my book that far out-weighs the emotional ties of letting these properties go/selling them. Take a deep breath and let the answer come to you. Chin up, you can get through it! The world is a lot friendlier than you think. 
Web Reference: http://www.realtorrose.net/
0 votes Thank Flag Link Fri Aug 12, 2011
Hey Markus,

I just wanted you to know that "maybe" this is NOT the best place for you or for me because I posted a comment here, with good intention just like so many other folks did, however, after looking for my posting I realized that it has been D E L E T E D from this board. Do you suppose that "maybe" it's because AFTER 21 years I am no longer a "LICENSED REAL ESTATE AGENT"???

Savvy
0 votes Thank Flag Link Wed Aug 10, 2011
Markus: Have you thought about perhaps leasing these units out. I understand they need work... it worth looking into maybe using those home as a investment...but it will take a little work initially but it will be well work it in the long run..
0 votes Thank Flag Link Tue Aug 9, 2011
HI Markus,

I am very sorry ti hear about your situation and I hope by the time you are reading this, you are in a much better position.

There is an enormous amount of hope! My suggestion is to look for the we buy houses ads in your area and hook up with an investor who will either purchase your home for cash, fix the property and then lease it back to you....There are many possibilities!!!

Connecting with the right investor will allow for better options and they look for these types of homes...I am an investor as well, so I can speak on their behalf.

I do have a few connections in Ca. so if you want to contact me direct with the location of the homes and more specifics, I can fwd to them to see if they are interested.

I hope this helps and hope you and your Father are both in good health.

Best,

Jennifer West
0 votes Thank Flag Link Tue Aug 9, 2011
markus, if your still reading we'd love to hear of your progress on these issues.

frank jacob below has an interesting suggestion. seller financing delivers up a trainload of potential buyers who will be less likely to be picky about condition. an escrow can draw up a note and TD for you and if you get some real money down you will have an income stream and a well secured investment at an interest rate that is in excess of any deposit account you can imagine. seller financing and private money will be making a big comeback in the next few years.

there are a few oddball moving parts to a seller financed deal but they are easy to minimize
0 votes Thank Flag Link Tue Aug 9, 2011
If you had an emergency and do not have medical insurance then what is the problem? The hospital should service regardless of insurance status.

So the hospital and about 20 doctors are sending you bills? Simply pay an amount that you believe to be fair which will be maybe 1% of their asking(or whatever you deem to be fair).

Time will pass. You will then begin to receive third party debt collection notices. third party debt collectors are super easy to shut down but you need to do in writing and correctly. Google "debt collector cease and desist letter" and get educated on how to do this.
0 votes Thank Flag Link Tue Aug 9, 2011
there are elements of wisdom in Dans advice. i have Walden open on my nightstand. while walking away is not a viable option for most but the essence of jettisoning the pure stress of the steaming pile you described is excellent advice.

resolutions to most of the unfortunate events of Markus's litany of ills can be outsourced to those tooled up to resolve them. it is possible that there is simply no way to solve them all but there surely are a few that can be disposed of rapidly by someone who does this sort of stuff.

offload the problems to someone that can fix 'em.
0 votes Thank Flag Link Mon Aug 8, 2011
We all pretty much tend to gloss over Dan's inane comments. He's obviously very disgruntled with RE and this is one way he can vent. We just ignore him for the most part. Normally I wouldn't even dignify him with this comment but you have a very valid situation and we certainly don't want you to be discouraged from reaching out to Trulia because of his ridiculous remarks.
0 votes Thank Flag Link Mon Aug 8, 2011
Go live in a tent for a few months on a pristine wilderness area. Get back to the land. Read Walden. Heal your self by walking away from it all. Reflect.
0 votes Thank Flag Link Mon Aug 8, 2011
Hello Markus. Are you out there? You've received some great advice from numerous professionals trying to reach out to you. A little feedback from you might keep this ball moving down the field. Perhaps you've heeded the advice of others and emailed or called some of these very capable professionals. But do be aware of the "private savvy person" types. If they're not licensed by the state be careful.
0 votes Thank Flag Link Mon Aug 8, 2011
Markus, Sure hope you will take John's advice and hire a professional and avoid the "savvy" (get rich quick) schemes. Just a thought: It will be tough to sell the properties with substantial deferred maintainence unless the buyer has the cash. You and your agent might consider selling the homes as "custom" designed for a FHA 203K loan; that way you would avoid the need to do any repairs (money or time) and you open your pool of potential borrowers up considerably. I would be happy to provide you any information you may like about the product and the process. Best to you! Take care of your health, first and foremost.
0 votes Thank Flag Link Mon Aug 8, 2011
wow, the fact that you are still able to function is a miracle. over the years i've seen situations remarkably like yours and the only time they work out is when you take prompt action. i've seen folks delay working toward resolutions and if you delay too long it will get too far gone. there are several professionals here in san diego, myself included, that can easily structure a solution that will leave you in a better place when the dust settles. the key here is to NOT LOCK UP AND DO NOTHING. that will not end well.

my advice is to pick up the phone and busy collecting propsals...get specific answers to specific issues. all those offering help here will consult for free and you will see that there is help out there for those seeking it. the problems you cite are all remediable (i made that word up). they may seem like an avalanche but as you work through each one and remove it from the to-do list the burden will lighten measurably by the day. like those before me i am willing to have a look and see if we cannot put the ship right for you. i have access to hard money loans which are equity based, not credit or income based. i have arranged loans for borrowers that were in somewhat similar situations. sometimes just $15-20,000 can give you the breathing room you need.

also, the county has a program for getting caught up on property taxes. here is a link http://www.sdtreastax.com/tax-collection.html#five_year

if nothing else you can give me a call and i will open my rolodex of tradesmen to you...it's a good time to be hiring contractors. work is slow and many are very reasonable these days.
0 votes Thank Flag Link Mon Aug 8, 2011
Best to hire a licensed professional rather than a "private Savvy person". Just a thought.
0 votes Thank Flag Link Sat Aug 6, 2011
Markus, I'm not getting a clear signal as to what you are really asking from this forum. You've received some very good information from some very astute and savvy RE professionals but have yet to respond to any comments.

As has been preveiously stated we're not debt conslolidation counselers. Without a little more input from you i.e. goals, intentions, ideas, attitude, emotional state, etc we're hardpressed to offer up any short or long term solutions.

I'm not entirely in agreement with the comment that you need someone with more licenseing than we offer up. As a general contractor, developer, investor and property manager, fur the past 30+ years and as an active RE broker in San Diego I have counseled dozens of folks on loss mitigation issues, financial crisis, foreclosure, bankruptcy, etc.

I'm not of the belief that you need to seek costly counsel everytime you stub your toe in life. You can obtain a wealth of knowledge from many very experienced and qualified professional on Trulia and other forums. Frankly I would suggest heeding the advice of several of the commentors that have already taken time out of their busy days to reach out to you.

Try reaching out to some of these folks privatly through their email and/or website address. Get as much information and knowledge as you can from them and then if you still feel like you need to seek a fee for service counsel i.e. BK attorney, debt consolidation expert, accountant, psychologist, etc. at least you'll come to the table with a little more knowledge and information.

This will mitigate costs for you in the long run because you won't have to waste a lot of your time and money getting the same information from pay as you go counsel. I've raised my 5 kids this way and it got them all through college and into the entripreneuarl arena whence they've become totally self proficient and have never once come back to Mom and Dad with their hand out.

You were given an unbelievable gift which can yield tremendous opportunities for you . That gift can be a clean start for you if you use it to your benefit. Please don't let it slip throught the cracks. As other have stated on this thread you can rent/lease your homes to cover your costs while you're trying to figure out how to get control of your life.

But don't throw more greese on the fire by carelessly or haphazzardly mis managing your properties. Seek out an experienced and reputable property manangement company to relieve you of the burden of having to deal with your homes

Stucco and paint are primarily cosmetic not structural issues. Renters can live with those shortcomings. Especially now with so many displaced folks are looking for any type of reasonable housing just to put a roof over their family's head.

With the right kind of property management company you can even allocate a portion of the revenues to maintenance and upgrading. But you need to start generating revenues in order to do that. Having your properties continue to just sit vacant will only exacerbate your situation all the more.

From what little you gave us to go on I'm asuming that there is no debt service on these properties. A good property management/construction company/RE broker might even be able to help you get a short term hard money loan to cover some of your deferred maintenance issues.

But nothing can be done until you initiate an effort to reach out to someone. I wish you all the best and if we can help you in any way please do not hesitate to contact us. Good luck.
0 votes Thank Flag Link Tue Jul 26, 2011
Hello Markus,

I am in Naples Florida but your question has no state boundries!

One would have thought that inheriting the homes would have been the start of something good, sorry it has not worked in your favor.

Please try not to get to down on yourself. Yes, you have indeed posted your question onto a real estate agent forum but you do indeed need much more than our licenses can provide at this early stage. But of all the comments I like the one by Karen Parsons the best.

At 56 you are probably a member of some type of senior citizen organization, that might be a great way for you to get started, much of their counceling is at no charge to you.

Wish you the best.

Agnes Tabor, REALTOR
Naples Florida
PREMIERE PLUS REALTY
0 votes Thank Flag Link Tue Jul 26, 2011
If the properties are in a safe condition to live, rent them out so you have some income. However, please be selective and do a background check and credit report (have the renters pay the $25 cost). The last thing you need is to get renters who won't pay. Check your state government site to determine your rights as a land lord to evict bad tenant BEFORE you rent. o will also discover any requirements for you to be able to rent.
0 votes Thank Flag Link Tue Jul 26, 2011
We specialize in distressed property acquisitions in San Diego. We are cash buyers and would love to help you. We could solve your problems within thirty days.
0 votes Thank Flag Link Fri Jul 22, 2011
I know of real estate investors in the San Diego area that would be able to help you out. That may be a viable option for you, to have an investor buy you out and you are left with your sanity.

You can contact me through my website below if you are interested. Good luck to you and try to keep your sanity!
0 votes Thank Flag Link Thu Jul 21, 2011
Sorry to hear about the misfortune that you've experienced over the past 2 years. Yes, there's still hope for you, and I'll keep you in mind in my prayers.

Also, please send me some information about both properties, because I might be interested in buying them from you.
0 votes Thank Flag Link Thu Jul 21, 2011
Dear Markus,
There is always hope..so don't give up!
There are buyers, and always are..for distressed property. Leave them as they are and get a good listing agent to sell them as "As Is...Disressed..Fixer Uppers!" Your agent will handle everything for you so you should not have to be stressed over these homes.
Let your Realtor handle it.... and send you the check! That's what we get paid to do!
0 votes Thank Flag Link Thu Jul 21, 2011
Stress is a very powerful thing! As a investor/agent, I would recommend that you fully understand your situation. Contact an estate,tax,bankrupcy and real estate attorney for advise (most consults are free). I was able to get over the hump by fixing up one of my homes and paying off most of my outstanding debt. However, it depends on how much debt you have. Are the properties free and clear? What i will suggest is that you start moving ... The issues most likely will not go away. Take a deep breath and start dialing. Of course, every agent or broker would love for you to sell your home and on the surface, it sounds like a good idea. But it is a very complicated situation. If you want some personal advise, please call or email me. Good luck!!!
0 votes Thank Flag Link Wed Jul 20, 2011
Hi, Markus,

If I were you I would sell at least one and pay off all your debts!!!


Real Estate Supergirl
Khrystyna Chorna
Allison James Estates and Homes
7 Horton Plaza,
San Diego, CA, 92101
tel: 619-808-7064

resupergirl@me.com
http://www.sandiegodowntowncondos.net
http://www.youtube.com/chornarealestate
0 votes Thank Flag Link Mon Jul 18, 2011
Just an idea, if you inherited them did you get them debt free? If so, maybe consider selling one or both? Find out how they compare with what is on the market, and recent sold comps. Then do what some banks are doing with REO, price them accordingly (lower than market price) and add an "As-Is" addendum. Just an idea, talk with a local experienced agent or Realtor in your subdivision/area.
Best of luck.
Spirit
0 votes Thank Flag Link Mon Jul 18, 2011
Hi Markus:

Give me a call if you are interested in selling your homes for cash.

858-483-4687
0 votes Thank Flag Link Mon Jul 18, 2011
Hi Markus, remember that a buyer who intends to live in the home will pay more than an investor, who'll need to make a profit after they re-sell or rent it out. Be sure you weigh both options: using an agent and paying commission, or selling on your own without someone to represent your financial interests to an investor who does this all the time.

Your bottom line is what matters.

Regards,
Cory
0 votes Thank Flag Link Mon Jul 18, 2011
Hi Markus:

I have cash buyers including myself if the deal is right for rehab and without commissions. Feel free to give me a call. I'd be happy to meet and go through the properties together to see the conditon and possibly give you an offer.

Alexander 858-483-4687
0 votes Thank Flag Link Sat Jul 16, 2011
Hi Markus,

You'll get a lot of responses here from agents who'd love to list your home!

It sounds like you'll need a cash buyer, or a buyer using a renovation loan. You don't want to list, then take the first low cash offer. Know how much each of the elements cost to repair before you list. Get free estimates, and have them on hand for offers. it'll put you in a much stronger negotiating position than buckling when a cash buyer tells you what it'll cost them to fix. I've dealt with such properties and negotiated offers like that before.

Another option would be to get a loan from a private investor, hard money, then sell for much more. This depends on the repairs, and the neighborhood market values of course.

And, you may get by with a conventional loan buyer too, but it really depends on what needs to be done.
Let me know if you'd like any help with this, just call or email. It would be nice to get as much as possible for these properties, especially now.

Warm Regards,
Cory
0 votes Thank Flag Link Sat Jul 16, 2011
0 votes Thank Flag Link Sat Jul 16, 2011
You should eliminate the stress in your life, including these two properties. We can help you get top dollar for your houses without the stress.

Let me know if I can help you in any way!


Joan Wilson (Realtor, SRES, Ecobroker, Certified REO and Short Sale/HAFA Specialist)


California Cool 4 Sale
Prudential California Realty
Direct Phone: 760-757-3468
Fax: 760-946-7894
JoanWilson@prusd.com
License # 01341483

It is my Goal to Increase the Success and Profitability of Those I Serve
0 votes Thank Flag Link Sat Jul 16, 2011
If you want to sell your homes, we can help you sell your properties as they are for the highest dollar with no stress. I would work on eliminating as much stress in my ife as I coud if I were you. Then life will get better. The homes are not doing you much good if they are creating stress and costing you money you don't have.


Let me know if I can help you in any way!


Joan Wilson (Realtor, SRES, Ecobroker, Certified REO and Short Sale/HAFA Specialist)


California Cool 4 Sale
Prudential California Realty
Direct Phone: 760-757-3468
Fax: 760-946-7894
JoanWilson@prusd.com
License # 01341483

It is my Goal to Increase the Success and Profitability of Those I Serve
0 votes Thank Flag Link Sat Jul 16, 2011
Have you considered a hard money loan to get the property fixed up?

Then you can either refinance (with a normal loan) and rent out the properties or resell them at a much higher price than you would get in their current situation.

I know folks that do this, including the construction.
Web Reference: http://www.FlockGorup.com
0 votes Thank Flag Link Sat Jul 16, 2011
Greetings, Markus:

I'm so sorry to hear you're going thru many troubles. Please get a good real estate attorney who can help you with ALL the issues at one time. It sounds like they all tie in together, accept the job part. As for the IRS, they do work with you on payments as long as you communicate with them and let them know what you're going to do to pay back the taxes. An attorney can negotiate for you for pennies on the dollar. I had a client who was help thru good negotiations. As for the homes, don't worry about that for now, if you're not careful you can be taken for a ride. If you need anything at all, please give me a call at 323-712-7889
Web Reference: http://www.realtormolly.com
0 votes Thank Flag Link Fri Jul 15, 2011
Check with any real estate professional if your inheritances have some equity on them. They are not related with your current debts.
If you do, you might have some chance to do something. If you arenot sure about the equity, let them go. They will add more stress on you.

If you have clear equity on them, then you can discuss with other professionasl, and you might have some options to. You can try me if you want ^-^
0 votes Thank Flag Link Fri Jul 15, 2011
Markus,

I am terribly sorry to hear about the challenges you are facing. From what I can see, it looks like you could use some money quicly to get some of these financial situations under control. I work with several investors who may be interested in one or both of your properties. They would buy them as is and fix them up for resale if the properties meet their investment critieria.

If you would like to talk about this further, please don't hesitate to call me at 619-888-1688.

David Crowell
RE/MAX Solutions
Realtor, CIAS, CDPE, SFR
619-888-1688
crowellregroup@gmail.com
http://www.crowellregroup.com
0 votes Thank Flag Link Fri Jul 15, 2011
There are several things you can do but from what you said I would work a deal with a contract. Have a contractor fix both houses and pay him back through the sell of one of them or rent one out to pay him back. I know a couple of contractor that might do this. The county will start playing hardball on back property taxes after not paying them for five years so you have time there but they are adding late fees and interest.

Ben Altman
(619) 890-1063
Web Reference: http://www.877homes.com
0 votes Thank Flag Link Fri Jul 15, 2011
I understand your distress ... I too have been stressed with many real estate problems ... as a broker with this type of situation, & an associate broker, I can help ... please call me so we can have a private conversation ...

Rod at 858-444-2443

Thanks!
0 votes Thank Flag Link Fri Jul 15, 2011
What is your goal with the properties? You could rent them out for monthly cash-flow or you could sell one to liquidate some money to live on.
0 votes Thank Flag Link Fri Jul 15, 2011
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