How to avoid financial ruin in real estate deals…
Here we go again! There seems to be a lack of knowledge and information plaguing the cash flow industry. We have been preaching on how to protect your capital and investments in real estate portfolios. As investors, we really hate to see that deeply depressed look on your faces. Especially when you lose key properties to foreclosures due to various avoidable factors. Okay okay, the following is a couple of ways to avoid financial ruin all while conquering the real estate game!
- Perform bank level due diligence on your loan and promissory note. It’s weird how a lot of investors have NO idea of what i’m saying here. Better that I guess than what I’m not saying. You must perform a bank level research on your portfolio. Do this in order to determine which banks have owned the loans and may have already paid them off in the past. What you will find is going surprise you once you discover some loans are actually prepaid before you receive a promissory note on them. What does that mean for you? You may actually have a claim to a previously paid off real estate claim, whereas you could then claim that equity on that/those property(ies). This happens to be something that we’re pretty good at performing!
- File and obtain your REEIP Trust Claim(s). There is a pretty high chance that your property(ies) is/are subject a REEIP (Real Estate Equity and Interest Protection) Trust claim. This is possible mainly due to #1 above and the fact that your bank may have performed a certain type of loan without your knowledge and never quite involved “you” from the beginning. Once you have discovered that this has actually occurred, you will then be able to claim the prior equity from the previous ownership situation.
Learning daily how the interior financial side of real estate is organized, you will discover how to participate. Owning real estate as we know is no small or simple task. It requires intelligence, hard work, a working understanding of finance as well as proven resources and information.