Properties Between Foreclosure Auction and REO With Matt Kelley | Real Estate Notes Show

Episode: Properties Between FC Auction and REO With Matt Kelley Afterauctionbid.com Full Video Dave's Goals and Plans: - Enforcing creditor rights in various states through foreclosure process - Invests in notes and mortgages nationwide - Came up with the idea to discuss this topic while sitting in Vegas - Background is more on the legal side and notes/mortgages rather than REO/fixing properties Nathan's Goals and Plans: - Currently relocating across the country - Co-hosting the podcast discussion with Dave Key Recommendations: - Focus on how you purchase properties, not where or when - create opportunity by buying below market value - Use afterauctionbid.com to access off-market foreclosure properties and research materials - Submit Notice of Intent within 10 days of foreclosure sale to express interest in upset bid purchases - Purchase title reports from the service at $25 for due diligence before committing - Consider this pathway as an easier entry point compared to note investing for beginners Topics Discussed: - Upset bid rights under California SB1079 law - Purchasing properties between foreclosure auction and REO conversion - Differences between note investing and REO/property investing - How foreclosure trustee role works in non-judicial states - Properties that sold at auction but can still be purchased within 45-day period - Eligible bidder criteria: prospective owner-occupants and California non-profits Guest Insights: - SB1079 is a legal right, not a hustle - creates more money for subordinate lien holders and homeowners - Currently only available in California, expected to pass in Nevada next voting session - Properties in the upset bid window are not unwanted - they sold at auction and represent genuine opportunities - No licensure required, no debt collector disclaimers needed - investor is third party to process - Daily inventory of properties available with unlimited opportunities since foreclosure sales happen every day statewide - Less than 1% of capital needed is available to purchase all encountered opportunities - Can take 45 days to research property before committing to purchase hey everyone dave here from jkp holdings nathan turner and i sit down this week with with matt kelly who has an extensive knowledge of note invested but this week's a little different we're not talking notes we're actually talking post foreclosure reos you're going to be able to buy real estate after the auction but before it becomes reo you'll know the upset bid on properties and there's a lot of these opportunities these aren't assets that nobody wanted these are assets that they actually got bid on and they sold at the auction steps but you have the ability to actually buy it out from underneath them take a look at it feel free to make comments and questions but enjoy hey everyone dave puts here welcome to the program on friday afternoon i'm here alongside mr nathan turner who's uh doing a little bit of uh moving around right now technically i'm homeless at the moment so actually i'm not my health on the other side of the country gotcha it's just you're just not there it's one hell of a sales pitch dave you just muted yourself yep so uh i wanted to just start off with the fact that we came up with this idea quote unquote sitting in vegas listening to someone that we respect highly talk about this new thing out there um that we understood to a point we want to get clarity and we felt that the best way of doing this is seriously having to explain to us but not just us we want to share with everyone else so without further ado matt we respect you a lot in this industry how did you get started for those who don't know you how'd you get involved with this without going 20 years into the past too much just some basic information and then how do you shift gears a little bit or why did you shift gears well just to as an introduction again my name is matthew kelly and i'm the owner of a company called www.afteractionbid.com and that's some of the things we'll be talking about today dave knows me nathan knows me and a lot of people know me within this industry as i've been around for many years originally the vast majority of them know me as being a foreclosure trustee and that means that i was the one enforcing the creditor rights in the event somebody acquired a non-performing mortgage or deed a trust and they wanted to enforce their rights as to the money that was owed in various states because some states are required different processes the ones i was involved in were referenced as being non-judicial so again the foreclosure trustee is the one that would enforce those rights and one of two scenarios would happen either you get your money or you get the property back we're going to talk about a little bit about that process today because i'm still involved but in fact i'm after all that stuff happens i'm going to be talking about uh how dave and i still to this day have many similarities i love notes i still invest in notes i'm a big fan of notes as i have been on many many years but as the environment changes as the market changes additional opportunity opportunities can and do arise so i'm flexible enough to be able to capitalize those on well and as well and i'll be talking about the system that i created for myself and i've shared with some other individuals as well and we'll be talking extensively about today so being a foreclosure trustee that means i also believe in what i do and that means i inve have invested and do invest personally and heavily within notes and mortgages and have done so nationwide now that's not something that i really do that much now and why it is that i've had so much success within that space but even transition away from it is not blaming circumstances as note and mortgage investing does tend to be an element driven event as there's various things that can cause notes and mortgages to become available i'm happy to talk about some of those things but quite honestly dave and i are pretty familiar with them and he's already seen me present on that subject many many times so for those who don't know matt he's a wealth of knowledge right sometimes over the top knowledge which is good for those people who want the information the problem is most of you don't understand it and i think this area people will understand a whole lot better than the note style things which is more legal it's more um complexed with the reo size is a fixing clip most people are familiar with that and that's the background that i came from is again more the legal side and notes and mortgages very technical very nuanced and very niche almost none of which i have to worry about anymore with what i do now as dave and i will talk about there's a lot of things that we do within this industry that have overlapping similarities and that is primarily again sometimes we end up with the property and how that takes place is through the foreclosure process dave enforcing his creditor rights in various states it takes various timelines none of that really applies because with what i'm talking about today it requires no licensure i can ask any questions i want there requires no disclaimers because i'm not a debt collector i'm actually a third party to the entirety of the process and everything that i do creates more money for subordinate lien holders and essentially the homeowner as well and i really feel it does good things as that was the intent because what i'm talking about today is a right it's not a hustle it's actually a right in the state of california it's referenced as sb1079 it is currently only in place within the state of california it's expected to be voted into the state of nevada in their next voting session but currently this only applies to the state of california for anybody cringing and saying well i'd never buy within the state of california well my opinion on everything is that it is no longer when one purchases because everything tends to be extremely high price nationwide right now it is not it's not when you purchase it's not where you purchase there's not one area that i feel is infinitely better than another that has so much less risk because the prices are going to go up within that particular area or even opportunity zones i strongly do not believe that what i do believe is it's not where you purchase it's not when you purchase it's how one purchases and that's creating opportunity being able to buy for less than market value and again what i'm talking about is a right and i'll do some live examples to show exactly how and why this takes place the laws that i'm referencing sb109 is creates the right to purchase a property after a foreclosure sale but for the foreclosure sale price or more and this is available to individuals like myself dave and many others because to be eligible for this and please note that these are not unwanted properties these are properties that sold at the foreclosure sale as they do for many many reasons some of which they may have been the individual that got foreclosed on had bad legal counsel circumstances afforded it they may have read a blog somewhere and got bad advice they may have passed away years ago it may have been an unaffordable circumstance whatever the circumstances happen to be we end up where we're at today not everything is a good deal but the vast majority of them do tend to be absolute steals and quite honestly my problem and why i'm doing this is i have like less than one percent of capital needed to purchase the opportunities that i encounter it's something where i have daily inventory as everyone does that subscribes to the website i have unlimited inventory because they're foreclosure sales every single day and there's more every single day and some of them do happen to be very very good deals and again i'm going to be showing you some live examples today and walking through the website how it works and what takes place awesome so for those who may be getting started this is an easier pathway than buying a note this is literally buying a brick-and-mortar reo property off market that someone else wanted and you're outbidding them in the process and they have an inability to be against me my money actually trumps their money as it's available to me because i'm either a prospective owner occupant or a california non-profit and i'll stress how it is that extreme profits can still be made while still remaining a non-profit and it's actually exceptionally easy but i'm going to do a quick little presentation as to this subject so we can show everyone kind of some of the things as to what's involved so again it's after auctionbid.com there's also a separate facebook group references after auctionbid.com oh so there's dig in daily updates we do provide quite a bit of information that's available how this works as eligible bidders as defined by the law have the right to bid on a subject real property after the scheduled foreclosure sale essentially me as an investor will be taking the place of the courthouse steps as if i was there when this took place this is something to where it's taken place because it's exceptionally difficult for especially some and a small investor whether it be a prospective owner occupant or nonprofit to actually show up the california courthouse steps anywhere within the state of california the right day at the right time with the right amount of money but that's no longer the case i now have 45 days to do my research to find out if i do want to buy this property i can talk to the neighbors i can talk to anybody that's occupying the property real estate agents i can do any and all types of research that i could possibly want to do and again i do not need any licensure to do this in any way shape or form so this process and what the website does is we aggregate the entirety of the sales results for the state of california put them in one easy location with some basic data in relation to the property and also we have some research materials available for purchase to individuals such as the title report we make that available for the low cost of 25 bucks and with a release that's soon to take place we're actually going to bundle them and make them less expensive so i do know there's a lot of people out there that pay significantly more for title reports i just don't believe in profiting in that way so i've made them available near cost at 25 a pop so this form and what we provide the instructions for is not only all the data in regards to the properties that are available but we also provide the documentation that is required to be eligible for this process and that's submitting what's called the notice of intent this can be submitted electronically to directly to the foreclosure trustees you can ask them any question you want doesn't mean they have to answer them they're probably not going to but you have to submit this within 10 days of the actual foreclosure sale taking place this notice is non-binding you can submit as many of these as you like to regards to as many properties as one likes and one is not required to purchase it this notice of intent does not require include any financial ability to acquire said property essentially it expresses one's intent to buy not your ability to purchase again is there any advantage to submitting this on the first day versus the 15th day the answer is absolutely not uh you can submit it at any time in any way that was most convenient for well everyone here but i said the term prospective owner occupant that's somebody that wants to actually occupy the property not not quite actually but it is uh defined within the law just being a natural person that they intend to occupy the property within a certain number of days but there is a little caveat within the law says a prospective owner occupant shall not be in violation of this section if there's any reason that they can't move into it notice how none of these say including being a california nonprofit one does not need to be a resident within the state of california one can live anywhere within the united states and own a california nonprofit i do strongly recommend and it takes a day or two to open a california nonprofit to get recognized by the irs that can take several months but again one does not have to have the tax id number from the irs be recognized as non-profit to start one just has to be recognized by the state of california it takes day or two and within the next week or so i'm going to have somebody be presenting on the subject within the facebook group after auctionbid.com so eligible bitter is most often a again there's there an eligible non-profit corporation based in california which is again that's a california nonprofit with an address within california that can be a lot of things including a po box essentially whose primary activity is the development and preservation of affordable rental housing i do want to emphasize that if one acquires a property as i'll talk about some of the ones that i've acquired as well there are no deed restrictions there's no volume restrictions there's no time restrictions i can buy on day one i can sell on day two buy an under market with suppose sometimes hundreds of thousands of dollars of instant equity i can sell it on day two for anything that i want there's no occupancy restrictions there's no sales restrictions so again i can sell at any time imposed upon any subsequent sales of the property when purchased by a california nonprofit so additional questions or concerns can the winning bidder at the foreclosure sale but against me the answer is no even if somebody showed up to the courthouse steps and they bought it they are ineligible to buy this my money trump's theirs is they are a for-profit company an llc a reit or a hedge fund is there a penalty for not funding or not placing the bid the answer is also no i can submit as many notices as i like and if i don't bid after submitting these there's no consequence and no money required when submitting this notice of intent to cost me nothing there's no down payment there's nothing and if one actually submits an actual bid that takes place in the form of certified funds at the end of the timeline what happens if you don't win the trustee immediately returns your funds that's as complicated as it gets they don't even cash your check is there anything stopping from somebody again submitting a lot of them no do as much as you like especially if one is a non-profit are there third-party biddies are third-party bidders not bidding on the courthouse steps as a result of this law is everyone now doing this the answer is of course no properties are still selling on the courthouse steps but quite honestly the companies and entities the reits the hedge funds the llc's that we're purchasing on the courthouse steps not only still are but they're not engaging in the process that i'm talking about not because they don't know about it they do but they're ineligible and their funding and financing does not allow them to purchase as non-profits so this is an opportunity designed explicitly for investors such as myself and of course prospective owner occupants as well to create some affordable housing and can of course financing be used to purchase the answers of course yes but it's very difficult because we're still talking about essentially certified funds taking place as the form of one's bid wow so my contact information is right here with my email address matt after auctionbid.com and my direct phone number i actually need to update it because that's my old number i apologize about that i did post it in your group though cool so that is available there and i will post it in uh other places so how i mean this is how long has this ability this been available to investors generally a little bit over a year okay why do you think this is a very very new this is essentially the newest way to acquire property especially within the state of california you want to dive in and look at some of them and we'll talk about it as we go through it's amazing that the hedge funds itself haven't gone there yet and the fact that they have they have an inability to as traditionally their financing doesn't allow them to let's say fund a nonprofit because we said how the hell can this be profit how do i do this especially as nonprofit i want to make profits well quite honestly my llc does fund and gives a loan to my nonprofit and sometimes as these things can be turned over very quickly i do want to mention that if my llc does loan money to the nonprofit which i'm involved well usury limits do not apply because it is a business purpose loan so i can loan that money at extremely high interest rates sometimes hundreds of percent of interest and that is 100 percent legal while the non-profit would remain non-pro non-profitable my llc of course can absorb the vast majority of that and would be paying taxes only on the interest in which it's receiving and can things and can somebody that has let's say an ira can they loan money to a non-profit the answer is of course yes loaning to their own that's when we go into self-dealing and that can be problematic please talk to one's accountant as uh i'm not giving legal or tax advice because i do want to emphasize that especially today yes but you said let's get into and let's talk and dave you're expected to give some feedback too nathan good nathan nathan is is there any concern can you guys hear me okay sure okay so is there any concern that um like it kind of seems like these are sort of back door approaches is there any concern that those back doors will be closed or if they're no the law has regulation no the law has actually been put into effect going to 2030 so it's going to be around for a very long time it was originally 2025 it's already been extended it is doing everything that it was intended to and what i mean by that is it's providing opportunity for others when it is no was not there previously companies like the reeds the hedge funds and the lcs they have a fiduciary duty to sell properties for as much as they possibly can whereas an individual myself in the business of course affordable housing and providing opportunity to others i can buy properties and actually sell them sometimes very quickly and doing so selling it for less than what the property's worth the quick sale price and in doing so provides a little bit of room for others down the line to be able to perhaps build affordable housing to be able to provide housing for first-time homeowners you name it there's individuals i know there's at least uh in the last couple months i think it was the last two months about 15 houses have been purchased by individuals that have never done this before uh through our website and i'm very very proud of that and some of whom many of which are friends i've essentially done zero advertising in regards to this website it's very new to be very honest as dave is also aware but i'm not looking to make this the biggest website that are out there i've made it available to some friends and some people within this industry that are always good individuals so we're not looking to try to get this thing as big as possible and get as many subscribers again like i have for many years i make my money by actually doing by being an investor but we've made this available to others so you guys want to see what we have yeah let's do it you got it all right so this we're going to be doing some updates as we always so of course uh just how it works this is the basic explanation as to submitting the notice of intent the qualifications as to how one may be eligible is that we already went over and of course some very basic descriptions has had a review title estimating home values and repairs to permitting financing but hey we got some professionals here so let's go to the main part of the website which is the actual listings and of course we have a lot of people online right now so this is a little bit slower than it would be otherwise but these properties again already went to sale there is no redemption there is no homeowner that's going to come in and save the property or do something else this is what i pitch as going down to the track and trying to pick the winning racehorse after the race has already taken place because i am going through via this website as we've taken all the sales results from many different auctioneers that are out there and every single county that's out there and consolidated him to one place with certain information and he can see like this property over in oxnard that went to sale for 285 dollars 401 bucks but the property value is over 511.

that's not bad yeah and there are what we make available for purchase is the let's see it's not image not available but of course i can just go on google maps zillow whatever else i have 45 days to do this 15 days to submit my notice of intent so i can call local realtors and get their opinion of this if you're like living somewhere in the midwest and you think this is not a 510 dollar property it actually is um especially in southern california and we can look at all the comps and just do anything we could possibly want to do i can go talk to people there and again i'm not a debt collector i don't need to do any disclaimers disclosures no licensures involved because i am literally a third party just looking to do it and why this went to sale keep in mind it does not matter to me as all i care about is that it did go to sale and we have again available through the website for purchase for 25 bucks is that somebody can also go and pull up can you see the title report as i think i need to switch screens yeah yeah not showing up yep let me do that real quick and for reminder everyone if there's any issues or problems you rewind this will be posting our youtube channel we're recording in our zoom right now so we'll be posting on the youtube channel and whatnot so if you miss anything or want to rewind we're learning a lot here please feel free to go so this is a 25 title report that we have available if somebody wants a lot of title reports that are not in california not through a website contact me it's maybe something we can do but anyway this is made available from first american through their data tree program a lot of people use it including people that sell title reports were much much much more expensive and i see that this is a the 190 000 lien this is the first mortgage this is the only mortgage that's on the property so if i buy this i own it free and clear so this is and was a first position mortgage somebody may have acquired this it actually wasn't a private investor this is uh an institutional lender that had this did not sell the note because they didn't want to sell the note for all the reasons that we're familiar with dave but nonetheless that is this one particular property that just went to sale yesterday let's see here anyway so that's the first position lien free and clear i can determine my value i will generate this form right now because this is the form we need to submit with the instructions and where and how to submit this and this is the exact form that i will be submitting and just because over here i'm just going to print this out but that's all i need to do and i submit that to the trustee then i become eligible to purchase it and all i need to do now is in the next 45 days figure out if i want to buy it for what perch uh for what price and uh by the way the website does not take your money we're not in the middle of this we're not escrowing things on your behalf we're not controlling your bid or telling you what to bid we're providing the data and the tools for people to do this themselves there's too much liability if we were to do all of that and as an investor i would want to yield directly because the people that one is technically buying this from the homeowners are not involved and no lender is involved with being able to approve this purchase price or not it's a right i have the right to buy this for any price over two hundred and eighty five thousand four hundred one dollars and this is not an exceptional property i'm just gonna go back to the listings and we're gonna see that and again not everything's a good deal like this one went for 818 000 and the property values and the high sevens that may have gone to sale for the total amount that's owed but again this 285 less was owed somebody bought that at foreclosure sale for that price and they're probably ecstatic about it um and i see other ones and some of these are crazy prices again up in los angeles 2.1 million but the property's worth just under 3.5 all right not bad but it's worth checking because like i did check on this one there's this property another one los angeles it went for sale for 212 but the estimated values and the high eights all right that one's actually a second mortgage and the first one's pretty darn high i think that's actually a third so for those of majority of these are firsts is there a way to tell first or second or yeah run a title report pay 25 bucks right um those who don't understand that that the fact that you may see something really a little bit you need to pull a title to see if that's the first or second you don't be stuck situation thinking you're buying the whole property and all liens are cleared out and you're actually still subject to the first lien yeah and of course when one buys these properties can you do a seller carryback loan absolutely can you do and many of the creative financing the answer is also absolutely yes now let's see here and again some of these properties there's something screwy with in terms of zillow so that zilla didn't automatically pull but these are ones where again i don't know any other way within the state of california to buy for with a right again not a hustle because i don't i personally don't like the strategies of just sending out a ton of yellow letters saying i'll buy your house cash call me any condition as essentially those usually you're convincing people to sell oneself property for less than what is owed or elderly individuals that don't know the value of their property or essentially what they're doing a lot of times it's considered taking advantage of people this is actually these are individuals that already lost their house and in buying it in this manner would actually create more money available to them so it actually does good things for everyone that's involved and well other than the llc's the reits and the hedge funds that thought they got a screaming deal because ephem so we're getting this other property dunsmeer is i mean it's sold for 120 the property value is about 260.

and we go through north hollywood so these properties are sometimes in fantastic areas and if it's kind of going well i don't have hundreds of thousands of dollars to throw at this well we also have searching capacity we can do it within certain price range but we can also sort by property by the actual price in which it went to sale so in searching i see that there are properties that went to sale this is 167 000 72 75 this one's actually a great deal at barstow i do remember that one um this is a property i honestly plan on bidding on this is a piece of junk out in barstow california and see if i can show that let's see here let's just go to google maps so while you're doing that someone asked if you can get 24 hour title reports in other states as well yeah give me a call i can walk them through it all right um because i know some other competitors will charge much higher so significantly higher but like i said i'm not looking to screw people over yeah anyway and have you found any other states doing this or is california one of the first states while you're looking at it's the first state and nevada is expected to vote it in in their next voting session but that's it so like this is a not exciting property that i would not usually touch with the 10 foot pole but um let's see here i do see that it went to sale for 78 thousand dollars so hold on now i'm actually a little bit interested i did previously do a title search on this one and it is a first position lien again not excited this is actually a very recent photo because the during the foreclosure process when the foreclosure company sticks a notice on the door called the notice of sale to take a picture of it and usually it's posted on zillow so this is actually a very recent photo notes boarded up a piece of junk but it's a massive lot and it is valued around 245 in good condition that's a lie uh it's not worth 245 but what i did is i contacted a real estate agent that knows ho that knows rehabbers in the area because this is a rehabbers dream this is everything they want and need and uh like i said i don't think it's worth 245 i don't know exactly what it's worth but i do know that the rehabber already made me an offer of 125 000.

so i know i can buy it for anything over 78 i don't feel i'm going to have really any competition on this particular property because of well look at it and as a result i think i can buy it for something slightly over 78 and i already have a buyer that i can sell on day two for 125. so we have uh by mel bill my mail over on linkedin asked he got here a little late yes this is for non-profits um can for profits do this but it's no no because they cannot do it for profits can't do it right but a for-profit company can fund a non-profit and he asked what what if multiple people submit what if you submit nathan smith's iceman perfect question in the event of multiple bids highest and best wins this is the same as standing on the courthouse steps essentially but as a blind sealed bid so one can mail in their bid they can submit it in any way that the trustee will accept it i personally drop drop them off in person but i usually just mail them in and make sure that they get it on the 45th day because the 45th day by law at 5 pm everything is done and over with now prior to it it's not but 5 pm 45th day and very often the trustees won't even open the bids until after 5 pm on the 45th day but in the event of multiple bids highest and best wins and all other bids are immediately returned to the people that submitted it the checks aren't even cashed they just open them up see the certified funds highest one wins and they send it back to you now there's i will emphasize there's different bidding strategies as i do to protect myself and i do want to emphasize there's no law that requires the trustee to accept the bid and the manner in which i'm about to describe but there's also nothing preventing them from doing so so i've had immense amounts of success with this on the courthouse steps and this is essentially in any state as you've been asked these questions when you take a property to foreclosure sale dave there's different options one of which is a specified bid this is a fixed number in which one has and can submit the next of which is a total debt this doesn't apply because again i'm not owed i'm not a debt collector i'm not the beneficiary not the lender but what does apply is a low high bid in that as an example for this property that it went for sale for 85 000 and this is actually a steal because that's a very cute property it does look like that i have had somebody check it out already and it is worth very easily 150 000 if not more because everything else in the area is significantly higher now this particular property i can submit a bid in the amount let's say of 86 000 and in the event of i can submit this in written instructions in the event of competitive bidding increase my bid by increments of let's say a thousand bucks up to a high bid and i'll show you as an example a bid that i did submit and i actually won as well let's see where was that so this is let's see here a bid that i submitted this is my written instructions and i provided with it certified funds and i actually won this property in buena park california my opening bid because i sold for 49 000 at the time of trustee sale uh property in buena park california i'm already interested so my opening bid was fifty thousand dollars and my instructions to the foreclosure trustee were in the event of competitive bidding to increase my bid by increments of a thousand bucks my high bid was 102 000 so in the event it went for less than that i would again be saving that money oddly enough on this one the next highest bid actually was a hundred and one thousand dollars so i did get it for 102 i was very excited about it but this property that i res that i purchased it is in a very desirable near a very desirable area here we go unlike the property i just showed you this is right across the street from a college very nice little cute area it's actually just a condo nothing exciting there but again my investment is a hundred and two thousand dollars and that's all i had to put down now there is a first mortgage on this property in the original amount of 250.

so realistically i have liabilities up to about 350 but the property is worth oh you're not sharing your screen can you just change your screen oh sorry about that okay i just went through a lot then this is the property i'm referencing it's right across the street from a little college right there rentable all day every day and i do mean it is right across the street from it uh everything's good about it low crime nice cute little neighborhood everything around it's good and this property again has is a this was actually an hoa lien and as a result it went to sale there's some nuances to hoas but regardless there's a first mortgage in the original amount of 250.

i bought the hoa for 102 000. there's no second mortgage or anything else and uh the property's worth over 550. and as a non-profit there's no deed restrictions there's no sales restrictions there's no time restrictions and no occupancy restrictions so i can evict the tenants that are in there and then again immediately sell the property for any price that i may choose or i may rent it long term and as this is not a first mortgage i would be subject to that senior lien of which i can bring it current keep it current and keep paying it or i could refinance it out which i'd probably do i have unlimited options wow and you can see this is again there's ones that are very low balance that are low there's other ones that sold and this is only the last 15 days and notice how there's 399 available but i can also tag these as certain ones that i may like and i can look in here and see that these are all different properties and save them so i can track them in the newest release we're going to have bid tracking so that we will have reminders sent to somebody when they might want to send out their notice of intent when those are due when their bid might be due and a few other features that i won't mention before it happens because well there's a lot when you add stuff to websites so like this one went to sale that this one doesn't show up because it's past the 15 days i believe it is at least but i mean this just went to sale for thousand dollars wow the property's worth you know over 174 it doesn't mean it's a first mortgage i'm certainly going to check on that but this is something that's available and that's extremely low cost so if in the event it's not a first which it probably isn't uh but it doesn't mean that i've seen ones that went to sale for incredibly low prices and they are and were first mortgages so your question is how do you submit payment for a bid like that well let's check the instructions that are provided to me on this form so this one it shows that i do need to submit this notice of intent to bid directly to this company i can also call them and ask them questions and they'll mention it but how i do that is by sorry step two um before the 45th day and keep in mind if i do it on the 40th day 30th day there's actually no advantage to it on the 45th day at 5 pm it's done and over with the only exception is if you're the only one that submits a notice of a tent which is exceptionally rare usually there's a bunch of notices of intent submitted because there are people that submit notices of tent on everything and i submit notices of intent on a lot of things and when i don't have the capital immediately available because a lot changes in 45 days so submit a lot of notices of intent and that doesn't mean that again a lot of people are going to be bidding usually very few people do but i submit the funds directly to the foreclosure trustee traditionally mailing them in the form of certified funds making sure they have it before 5 pm on the 45th day and i call the next day to find out if i'm the high bidder if i am i'm throwing a party and if not they send the funds immediately back to me and usually takes a day or two at most for that to take place so bill follow up with this question with uh on linkedin does a non-profit need to stay in for a certain amount of time or how fast can you resell that property you can resell it immediately that's crazy there's no reason because the non-profit well this is why i do this so again i'm a big fan of notes notes are great i'm not talking [ __ ] on notes there's a lot of opportunity with notes but as a note holder one has to worry about getting sued by the homeowner by buying bad paper such as that it hasn't been collected upon for years it's delinquent for years and have to worry about latches and getting sued for that i can worry about defects within the paper i can have to worry about uh just this dragging out for years on end as it can take years to foreclose in some places i'm skipping to the end i could worry about having to be licensed or just laws changing quite honestly none of that applies to me anymore when i do this i have become lazy in some ways and i just have to skip to the end and all i need to do is pick the winning racehorse because i also know people that are friends and i quite honestly bid on some of their properties because they were very happy when it went to sale and i have the ability to buy it again for the price for which it went to sale yeah and so nick followed his question before he asked about how do you submit payment he was looking about the minimum and maximum bid situation i guess your bid takes place in the form of certified funds so your money does the talking but i personally submit written instructions with it and i usually give them two checks one in the opening amounts and the other to cover the difference so in the one i showed you that was my bid and the amount of fifty thousand dollars i submitted a fifty thousand dollar certified check and my high bid was 102 so i had an additional check of 52 000.

so if it comes to so like this this property that i'm looking at right here that went to sell for 62 000 i of course can submit a bid for 62 862 and have a high bid of i don't know whatever it is 125 and let's see because somebody's going oh it's definitely a second lien it's actually probably not and everything's automated at maximum i presume they just give you the difference back or how does that work correct gotcha oh look it's the first mortgage it's the only mortgage on there now keep in mind i don't know why this guy lost his house but i also don't care i don't know how he bought this house a couple who actually bought it a long time ago and just refinanced a bunch of times i'd want to double check and make sure these things are released but a 1994 mortgage and a 1990 mortgage come on those things are going to be gone um but i just triple check on it but nonetheless that's why we have these title reports but anyway this guy has this house for 2019 for 55 000 they refinanced it for whatever reason that probably passed away but i mean this is amazing and it really is worth you know the price that we're looking at and of course i would confirm things with the local realtor how long would it take to sell the property get some of the local knowledge and get their opinion on it and they're thrilled because they're not talking about me acquiring the property after two years of foreclosure this is me buying the property now and wanting to sell it right away gotcha so i can buy it for anything over 62 000 and change and i can sell it for whatever i want or i can do a seller carry back or i can do i would never do a lease option because those are scams but whatever you can do anything you want as again it's most often because with a lot of the programs that are out there especially creative financing they'll talk about some very creative ways to make money and maximize capital but they almost never cover the most important part the how does one acquire these properties at a price which allows these other things to take place well this is what i'm doing this is how i do it and this is why i do it and at least for the moment i'm making it available to other individuals and the cost is of course 50 bucks a month wow amazing so matt and keep in mind if somebody doesn't want to do this and they just want to fund individuals that do give me a call we're happy to partner with individuals and do these sorts of things yeah so guys this is another way to get into real estate and you're really controlling what you're doing in your time frame is much more reduced uh than anything else right and you don't get to hold anything so if you do want to keep it great if you don't you're just scoring numbers it's all about the numbers here which is awesome so um i know nathan's immediately still in limbo and somewhere in canada right well he if he wants a house he can get a house this way but again california like again this one in rocita went for 582 000 and it's worth over a million that's worth looking at yeah and do you provide this in any way any kind of spreadsheet that people can quickly analyze and in one of the releases there'll be the ability to export everything to a csv awesome awesome but like i said this is just what i built for myself we decided to make it available to others and this is why i'm buying real property again notes are great but notes tend to be available in large quantities it's tough to purchase on the small end and just try to fight over the individual notes that come out but at least going through the aggregating website but this is one they are all available it is purchased direct and that is that you do not need homeowner approval one does not need lender approval from the bank to be able to sell this this these are not short sales these are nothing else these are buying for closed properties these are things that already happen there is no redemption period the only exception is on hoa liens there is a 45 day right of redemption for the homeowner but keep in mind even with hoa sales that means they didn't pay their hoa for a very long time they didn't pay the hoa dues while it was actually going through the foreclosure process and they didn't pay the first 45 days after it went to foreclosure sale so on that one that i bought in buena park i only have about a month left and then i get titled to the property but other ones i get title immediately and you can buy it on day one sell it on day two there's a lot of different options that are available awesome and there's these results are updated daily you see these are actually just from yesterday and they have 15 days one has 15 days to submit a notice of intent and of course an additional 30 days before the actual bid is due if one even wants to submit a bid it's amazing that this is available it's amazing that this has come out and like you said before the reason it came out was not to help investors it was truly to solve a problem right california does have a housing problem this is one of the solutions whereas individuals might like myself can buy this for less than market value or for any price that is most appropriate and be able to sell it to others creating opportunity creating affordable housing and the law was originally again when implemented was only going to 2025 because of its wild success it has already been extended to 2030.

wow how many bids you are you estimating every individual house or on average a house gets what's the max you think people are making offers on properties usually two or three it's amazing right yeah because originally when i started out i was bidding on the top one percent like the absolute best properties in the state of california with the highest margins and the craziest opportunity and i'd lowball them no no [ __ ] i would actually lose so there's a lot that i learned over time in actually my bidding strategy where and what properties that i would target but i've noticed that realistically even when i would lose on some of the bids that i've submitted and i've done that a decent amount especially as a learning curve but honestly i would only lose to like one or two other bidders i would think there would be significant competition for some of these but there's just not and part of it is because this law is designed by everything that was put into it to create opportunity and a niche and a nuance for somebody like myself an individual whether as a california non-profit or as a prospective owner occupant because they do have some friends that are looking to buy properties for their kids and other individuals and they just can't find property in another way so this is something that again is a right and it's not a hustle this is something that's going to be around will stick around for a long time the inventory is daily it is considerable and it's just going up because there's going to be more and more and more foreclosures and with the more foreclosures there does tend to be more opportunity as i'm not trying to buy the entire market i get to buy an individual targeted investment and unlike notes unlike buying on the courthouse steps sometimes they even have five minutes to make a decision i have 45 days you can do so much due diligence i can do it and it doesn't require licensure i can talk to real estate agents i can bring i brought contractors to properties to look at things i'm not limited on my options one does not have the right to go inside the property and look at it but one can ask nicely you can ask any questions and i can also say that i can understand about 90 of problems that occur within a house just by looking at the outside of it yeah now looking at the grading looking to see if there's any issues if there's water collection in certain areas there's if the trees are too close to the house there's a lot of things that i can actually look for none of which really apply to me but those are things that i can look for if i so choose i have a local realtor opinion you name it and by the way a lot of these properties were listed for sale at some point whether a short sale couldn't close somebody didn't agree with the amount of money you name it and i can actually just contact those realtors and ask them questions again i'm not limited on what i can do whereas again with notes often there are limitations and that's especially because of some of the disclosures that are signed some of the questions that can be asked there is a level of privacy that's involved because there's this is privileged and highly confidential information everything that i'm talking about is involved in this website is public information and there's no limits on it sure so the only i guess i understand i still love notes again love it we're still doing a lot of the same thing so it's funny we took this on our message i'm just skipping ahead and i just want the property at the end of the day at the end of the day first off we're investors first next we're in real estate investors next we're not investors but if something come along a better deal we're going to jump on that better deal while something else may not be we're all investors per se and i do it because i believe in what i do yeah uh show us it made the only negative comment that he says that because you spoke about it's become popular now so yeah i know he's hoping you'd have a one-on-one only right but yeah no keep in mind i've actually done zero marketing in regards to the website like i haven't paid advertisements i haven't tried to get a lot of people involved in this [ __ ] and i'm always torn because i know this i feel it could and a lot of people told me which you know i had my own skepticism about i understand this is the potential to go as big as property radar and keep mind i'm not competing with property radar for closure radar or any of those companies because that is prior to the foreclosure sale that's things that are going up on the foreclosure steps i don't worry about what might happen because the best deals if i'm tracking sales as i did many years ago by another courthouse steps which i have done well i don't worry about the what is is it going to be postponed due to bankruptcy litigation a modification attempt the best deals don't usually go to sale everything on the site has gone to sale so i don't worry about the what is this is also nothing like auction.com where they say bank owned properties because that's after the 45 day process this is a very unique niche we're the only website that does this the only one that has all these site data and documents and everything that's available the fun part is you want to do it on your own call the foreclosure trustee see what needs to be on that form they're not going to tell you because they say we don't give legal advice sure sure so we are here to help i am available and uh my email address was provided the phone number's wrong but whatever it's posted in the facebook group guys just go to the website you can find everything out you want on there all you can contact me that way as well yeah and it's 50 bucks yeah guys if you want to get into something that's not talked about yet too too big jump in now get exploring if california most investors i looked at our thousands of contacts we have and i would say it's new florida it's california and new york and florida and the top three states people come from if you're in california this is almost a shoe win if you're not in california you can still do it because you can have a california non-profit you're not required to be a resident to have a california non-profit or if you want to do this passively reach out to man and set up the fact that you can fund the the fund itself yeah there's funny people going to be doing this yeah so there's lots of opportunity there's lots of possibility it's individual properties they inventory changes on a daily basis because they're foreclosures on a daily basis if and again there's certain areas that again we feel are more vulnerable than others i have preferences as to certain areas types of properties you name it there's no limitations as to the nuances that are involved and we do take a lot into our risk threshold as i know you do dave with your calculator and if somebody has calculators you can use them all day long as all this stuff to figure out your bidding strategy you name it as there's very close similarities when it comes to notes as to acquiring real property yeah and for those who you know are curious about the stuff just look into it you're unsure about what you may seen or what your thoughts just go look into it you know after auctionbid.com is a website someone just asked about what that website was um i hear they can watch this on youtube yes they can replay and watch it on youtube guys so please feel free to reach out go look at the website i i know uh nathan is uh floating in aerospace right now so he apologized for not being live and be able to talk too much but dive into this thing we're going to let you guys go disconnect from the the live feed um if you have any questions reach out watch the recording we have we'll have it on our podcast everything else so um i'm a discount from the public i'm going to talk to matt nathan for a few minutes afterwards but enjoy your time and everyone having fun so much you got it you hey everyone dave here from jkp holdings nathan turner and i sit down this week with with matt kelly who has an extensive knowledge of note invested but this week's a little different we're not talking notes we're actually talking post foreclosure reos you're going to be able to buy real estate after the auction but before it becomes reo you'll know the upset bid on properties and there's a lot of these opportunities these aren't assets that nobody wanted these are assets that they actually got bid on and they sold at the auction steps but you have the ability to actually buy it out from underneath them take a look at it feel free to make comments and questions but enjoy hey everyone dave puts here welcome to the program on friday afternoon i'm here alongside mr nathan turner who's uh doing a little bit of uh moving around right now technically i'm homeless at the moment so actually i'm not my health on the other side of the country gotcha it's just you're just not there it's one hell of a sales pitch dave you just muted yourself yep so uh i wanted to just start off with the fact that we came up with this idea quote unquote sitting in vegas listening to someone that we respect highly talk about this new thing out there um that we understood to a point we want to get clarity and we felt that the best way of doing this is seriously having to explain to us but not just us we want to share with everyone else so without further ado matt we respect you a lot in this industry how did you get started for those who don't know you how'd you get involved with this without going 20 years into the past too much just some basic information and then how do you shift gears a little bit or why did you shift gears well just to as an introduction again my name is matthew kelly and i'm the owner of a company called www.afteractionbid.com and that's some of the things we'll be talking about today dave knows me nathan knows me and a lot of people know me within this industry as i've been around for many years originally the vast majority of them know me as being a foreclosure trustee and that means that i was the one enforcing the creditor rights in the event somebody acquired a non-performing mortgage or deed a trust and they wanted to enforce their rights as to the money that was owed in various states because some states are required different processes the ones i was involved in were referenced as being non-judicial so again the foreclosure trustee is the one that would enforce those rights and one of two scenarios would happen either you get your money or you get the property back we're going to talk about a little bit about that process today because i'm still involved but in fact i'm after all that stuff happens i'm going to be talking about uh how dave and i still to this day have many similarities i love notes i still invest in notes i'm a big fan of notes as i have been on many many years but as the environment changes as the market changes additional opportunity opportunities can and do arise so i'm flexible enough to be able to capitalize those on well and as well and i'll be talking about the system that i created for myself and i've shared with some other individuals as well and we'll be talking extensively about today so being a foreclosure trustee that means i also believe in what i do and that means i inve have invested and do invest personally and heavily within notes and mortgages and have done so nationwide now that's not something that i really do that much now and why it is that i've had so much success within that space but even transition away from it is not blaming circumstances as note and mortgage investing does tend to be an element driven event as there's various things that can cause notes and mortgages to become available i'm happy to talk about some of those things but quite honestly dave and i are pretty familiar with them and he's already seen me present on that subject many many times so for those who don't know matt he's a wealth of knowledge right sometimes over the top knowledge which is good for those people who want the information the problem is most of you don't understand it and i think this area people will understand a whole lot better than the note style things which is more legal it's more um complexed with the reo size is a fixing clip most people are familiar with that and that's the background that i came from is again more the legal side and notes and mortgages very technical very nuanced and very niche almost none of which i have to worry about anymore with what i do now as dave and i will talk about there's a lot of things that we do within this industry that have overlapping similarities and that is primarily again sometimes we end up with the property and how that takes place is through the foreclosure process dave enforcing his creditor rights in various states it takes various timelines none of that really applies because with what i'm talking about today it requires no licensure i can ask any questions i want there requires no disclaimers because i'm not a debt collector i'm actually a third party to the entirety of the process and everything that i do creates more money for subordinate lien holders and essentially the homeowner as well and i really feel it does good things as that was the intent because what i'm talking about today is a right it's not a hustle it's actually a right in the state of california it's referenced as sb1079 it is currently only in place within the state of california it's expected to be voted into the state of nevada in their next voting session but currently this only applies to the state of california for anybody cringing and saying well i'd never buy within the state of california well my opinion on everything is that it is no longer when one purchases because everything tends to be extremely high price nationwide right now it is not it's not when you purchase it's not where you purchase there's not one area that i feel is infinitely better than another that has so much less risk because the prices are going to go up within that particular area or even opportunity zones i strongly do not believe that what i do believe is it's not where you purchase it's not when you purchase it's how one purchases and that's creating opportunity being able to buy for less than market value and again what i'm talking about is a right and i'll do some live examples to show exactly how and why this takes place the laws that i'm referencing sb109 is creates the right to purchase a property after a foreclosure sale but for the foreclosure sale price or more and this is available to individuals like myself dave and many others because to be eligible for this and please note that these are not unwanted properties these are properties that sold at the foreclosure sale as they do for many many reasons some of which they may have been the individual that got foreclosed on had bad legal counsel circumstances afforded it they may have read a blog somewhere and got bad advice they may have passed away years ago it may have been an unaffordable circumstance whatever the circumstances happen to be we end up where we're at today not everything is a good deal but the vast majority of them do tend to be absolute steals and quite honestly my problem and why i'm doing this is i have like less than one percent of capital needed to purchase the opportunities that i encounter it's something where i have daily inventory as everyone does that subscribes to the website i have unlimited inventory because they're foreclosure sales every single day and there's more every single day and some of them do happen to be very very good deals and again i'm going to be showing you some live examples today and walking through the website how it works and what takes place awesome so for those who may be getting started this is an easier pathway than buying a note this is literally buying a brick-and-mortar reo property off market that someone else wanted and you're outbidding them in the process and they have an inability to be against me my money actually trumps their money as it's available to me because i'm either a prospective owner occupant or a california non-profit and i'll stress how it is that extreme profits can still be made while still remaining a non-profit and it's actually exceptionally easy but i'm going to do a quick little presentation as to this subject so we can show everyone kind of some of the things as to what's involved so again it's after auctionbid.com there's also a separate facebook group references after auctionbid.com oh so there's dig in daily updates we do provide quite a bit of information that's available how this works as eligible bidders as defined by the law have the right to bid on a subject real property after the scheduled foreclosure sale essentially me as an investor will be taking the place of the courthouse steps as if i was there when this took place this is something to where it's taken place because it's exceptionally difficult for especially some and a small investor whether it be a prospective owner occupant or nonprofit to actually show up the california courthouse steps anywhere within the state of california the right day at the right time with the right amount of money but that's no longer the case i now have 45 days to do my research to find out if i do want to buy this property i can talk to the neighbors i can talk to anybody that's occupying the property real estate agents i can do any and all types of research that i could possibly want to do and again i do not need any licensure to do this in any way shape or form so this process and what the website does is we aggregate the entirety of the sales results for the state of california put them in one easy location with some basic data in relation to the property and also we have some research materials available for purchase to individuals such as the title report we make that available for the low cost of 25 bucks and with a release that's soon to take place we're actually going to bundle them and make them less expensive so i do know there's a lot of people out there that pay significantly more for title reports i just don't believe in profiting in that way so i've made them available near cost at 25 a pop so this form and what we provide the instructions for is not only all the data in regards to the properties that are available but we also provide the documentation that is required to be eligible for this process and that's submitting what's called the notice of intent this can be submitted electronically to directly to the foreclosure trustees you can ask them any question you want doesn't mean they have to answer them they're probably not going to but you have to submit this within 10 days of the actual foreclosure sale taking place this notice is non-binding you can submit as many of these as you like to regards to as many properties as one likes and one is not required to purchase it this notice of intent does not require include any financial ability to acquire said property essentially it expresses one's intent to buy not your ability to purchase again is there any advantage to submitting this on the first day versus the 15th day the answer is absolutely not uh you can submit it at any time in any way that was most convenient for well everyone here but i said the term prospective owner occupant that's somebody that wants to actually occupy the property not not quite actually but it is uh defined within the law just being a natural person that they intend to occupy the property within a certain number of days but there is a little caveat within the law says a prospective owner occupant shall not be in violation of this section if there's any reason that they can't move into it notice how none of these say including being a california nonprofit one does not need to be a resident within the state of california one can live anywhere within the united states and own a california nonprofit i do strongly recommend and it takes a day or two to open a california nonprofit to get recognized by the irs that can take several months but again one does not have to have the tax id number from the irs be recognized as non-profit to start one just has to be recognized by the state of california it takes day or two and within the next week or so i'm going to have somebody be presenting on the subject within the facebook group after auctionbid.com so eligible bitter is most often a again there's there an eligible non-profit corporation based in california which is again that's a california nonprofit with an address within california that can be a lot of things including a po box essentially whose primary activity is the development and preservation of affordable rental housing i do want to emphasize that if one acquires a property as i'll talk about some of the ones that i've acquired as well there are no deed restrictions there's no volume restrictions there's no time restrictions i can buy on day one i can sell on day two buy an under market with suppose sometimes hundreds of thousands of dollars of instant equity i can sell it on day two for anything that i want there's no occupancy restrictions there's no sales restrictions so again i can sell at any time imposed upon any subsequent sales of the property when purchased by a california nonprofit so additional questions or concerns can the winning bidder at the foreclosure sale but against me the answer is no even if somebody showed up to the courthouse steps and they bought it they are ineligible to buy this my money trump's theirs is they are a for-profit company an llc a reit or a hedge fund is there a penalty for not funding or not placing the bid the answer is also no i can submit as many notices as i like and if i don't bid after submitting these there's no consequence and no money required when submitting this notice of intent to cost me nothing there's no down payment there's nothing and if one actually submits an actual bid that takes place in the form of certified funds at the end of the timeline what happens if you don't win the trustee immediately returns your funds that's as complicated as it gets they don't even cash your check is there anything stopping from somebody again submitting a lot of them no do as much as you like especially if one is a non-profit are there third-party biddies are third-party bidders not bidding on the courthouse steps as a result of this law is everyone now doing this the answer is of course no properties are still selling on the courthouse steps but quite honestly the companies and entities the reits the hedge funds the llc's that we're purchasing on the courthouse steps not only still are but they're not engaging in the process that i'm talking about not because they don't know about it they do but they're ineligible and their funding and financing does not allow them to purchase as non-profits so this is an opportunity designed explicitly for investors such as myself and of course prospective owner occupants as well to create some affordable housing and can of course financing be used to purchase the answers of course yes but it's very difficult because we're still talking about essentially certified funds taking place as the form of one's bid wow so my contact information is right here with my email address matt after auctionbid.com and my direct phone number i actually need to update it because that's my old number i apologize about that i did post it in your group though cool so that is available there and i will post it in uh other places so how i mean this is how long has this ability this been available to investors generally a little bit over a year okay why do you think this is a very very new this is essentially the newest way to acquire property especially within the state of california you want to dive in and look at some of them and we'll talk about it as we go through it's amazing that the hedge funds itself haven't gone there yet and the fact that they have they have an inability to as traditionally their financing doesn't allow them to let's say fund a nonprofit because we said how the hell can this be profit how do i do this especially as nonprofit i want to make profits well quite honestly my llc does fund and gives a loan to my nonprofit and sometimes as these things can be turned over very quickly i do want to mention that if my llc does loan money to the nonprofit which i'm involved well usury limits do not apply because it is a business purpose loan so i can loan that money at extremely high interest rates sometimes hundreds of percent of interest and that is 100 percent legal while the non-profit would remain non-pro non-profitable my llc of course can absorb the vast majority of that and would be paying taxes only on the interest in which it's receiving and can things and can somebody that has let's say an ira can they loan money to a non-profit the answer is of course yes loaning to their own that's when we go into self-dealing and that can be problematic please talk to one's accountant as uh i'm not giving legal or tax advice because i do want to emphasize that especially today yes but you said let's get into and let's talk and dave you're expected to give some feedback too nathan good nathan nathan is is there any concern can you guys hear me okay sure okay so is there any concern that um like it kind of seems like these are sort of back door approaches is there any concern that those back doors will be closed or if they're no the law has regulation no the law has actually been put into effect going to 2030 so it's going to be around for a very long time it was originally 2025 it's already been extended it is doing everything that it was intended to and what i mean by that is it's providing opportunity for others when it is no was not there previously companies like the reeds the hedge funds and the lcs they have a fiduciary duty to sell properties for as much as they possibly can whereas an individual myself in the business of course affordable housing and providing opportunity to others i can buy properties and actually sell them sometimes very quickly and doing so selling it for less than what the property's worth the quick sale price and in doing so provides a little bit of room for others down the line to be able to perhaps build affordable housing to be able to provide housing for first-time homeowners you name it there's individuals i know there's at least uh in the last couple months i think it was the last two months about 15 houses have been purchased by individuals that have never done this before uh through our website and i'm very very proud of that and some of whom many of which are friends i've essentially done zero advertising in regards to this website it's very new to be very honest as dave is also aware but i'm not looking to make this the biggest website that are out there i've made it available to some friends and some people within this industry that are always good individuals so we're not looking to try to get this thing as big as possible and get as many subscribers again like i have for many years i make my money by actually doing by being an investor but we've made this available to others so you guys want to see what we have yeah let's do it you got it all right so this we're going to be doing some updates as we always so of course uh just how it works this is the basic explanation as to submitting the notice of intent the qualifications as to how one may be eligible is that we already went over and of course some very basic descriptions has had a review title estimating home values and repairs to permitting financing but hey we got some professionals here so let's go to the main part of the website which is the actual listings and of course we have a lot of people online right now so this is a little bit slower than it would be otherwise but these properties again already went to sale there is no redemption there is no homeowner that's going to come in and save the property or do something else this is what i pitch as going down to the track and trying to pick the winning racehorse after the race has already taken place because i am going through via this website as we've taken all the sales results from many different auctioneers that are out there and every single county that's out there and consolidated him to one place with certain information and he can see like this property over in oxnard that went to sale for 285 dollars 401 bucks but the property value is over 511.

that's not bad yeah and there are what we make available for purchase is the let's see it's not image not available but of course i can just go on google maps zillow whatever else i have 45 days to do this 15 days to submit my notice of intent so i can call local realtors and get their opinion of this if you're like living somewhere in the midwest and you think this is not a 510 dollar property it actually is um especially in southern california and we can look at all the comps and just do anything we could possibly want to do i can go talk to people there and again i'm not a debt collector i don't need to do any disclaimers disclosures no licensures involved because i am literally a third party just looking to do it and why this went to sale keep in mind it does not matter to me as all i care about is that it did go to sale and we have again available through the website for purchase for 25 bucks is that somebody can also go and pull up can you see the title report as i think i need to switch screens yeah yeah not showing up yep let me do that real quick and for reminder everyone if there's any issues or problems you rewind this will be posting our youtube channel we're recording in our zoom right now so we'll be posting on the youtube channel and whatnot so if you miss anything or want to rewind we're learning a lot here please feel free to go so this is a 25 title report that we have available if somebody wants a lot of title reports that are not in california not through a website contact me it's maybe something we can do but anyway this is made available from first american through their data tree program a lot of people use it including people that sell title reports were much much much more expensive and i see that this is a the 190 000 lien this is the first mortgage this is the only mortgage that's on the property so if i buy this i own it free and clear so this is and was a first position mortgage somebody may have acquired this it actually wasn't a private investor this is uh an institutional lender that had this did not sell the note because they didn't want to sell the note for all the reasons that we're familiar with dave but nonetheless that is this one particular property that just went to sale yesterday let's see here anyway so that's the first position lien free and clear i can determine my value i will generate this form right now because this is the form we need to submit with the instructions and where and how to submit this and this is the exact form that i will be submitting and just because over here i'm just going to print this out but that's all i need to do and i submit that to the trustee then i become eligible to purchase it and all i need to do now is in the next 45 days figure out if i want to buy it for what perch uh for what price and uh by the way the website does not take your money we're not in the middle of this we're not escrowing things on your behalf we're not controlling your bid or telling you what to bid we're providing the data and the tools for people to do this themselves there's too much liability if we were to do all of that and as an investor i would want to yield directly because the people that one is technically buying this from the homeowners are not involved and no lender is involved with being able to approve this purchase price or not it's a right i have the right to buy this for any price over two hundred and eighty five thousand four hundred one dollars and this is not an exceptional property i'm just gonna go back to the listings and we're gonna see that and again not everything's a good deal like this one went for 818 000 and the property values and the high sevens that may have gone to sale for the total amount that's owed but again this 285 less was owed somebody bought that at foreclosure sale for that price and they're probably ecstatic about it um and i see other ones and some of these are crazy prices again up in los angeles 2.1 million but the property's worth just under 3.5 all right not bad but it's worth checking because like i did check on this one there's this property another one los angeles it went for sale for 212 but the estimated values and the high eights all right that one's actually a second mortgage and the first one's pretty darn high i think that's actually a third so for those of majority of these are firsts is there a way to tell first or second or yeah run a title report pay 25 bucks right um those who don't understand that that the fact that you may see something really a little bit you need to pull a title to see if that's the first or second you don't be stuck situation thinking you're buying the whole property and all liens are cleared out and you're actually still subject to the first lien yeah and of course when one buys these properties can you do a seller carryback loan absolutely can you do and many of the creative financing the answer is also absolutely yes now let's see here and again some of these properties there's something screwy with in terms of zillow so that zilla didn't automatically pull but these are ones where again i don't know any other way within the state of california to buy for with a right again not a hustle because i don't i personally don't like the strategies of just sending out a ton of yellow letters saying i'll buy your house cash call me any condition as essentially those usually you're convincing people to sell oneself property for less than what is owed or elderly individuals that don't know the value of their property or essentially what they're doing a lot of times it's considered taking advantage of people this is actually these are individuals that already lost their house and in buying it in this manner would actually create more money available to them so it actually does good things for everyone that's involved and well other than the llc's the reits and the hedge funds that thought they got a screaming deal because ephem so we're getting this other property dunsmeer is i mean it's sold for 120 the property value is about 260.

and we go through north hollywood so these properties are sometimes in fantastic areas and if it's kind of going well i don't have hundreds of thousands of dollars to throw at this well we also have searching capacity we can do it within certain price range but we can also sort by property by the actual price in which it went to sale so in searching i see that there are properties that went to sale this is 167 000 72 75 this one's actually a great deal at barstow i do remember that one um this is a property i honestly plan on bidding on this is a piece of junk out in barstow california and see if i can show that let's see here let's just go to google maps so while you're doing that someone asked if you can get 24 hour title reports in other states as well yeah give me a call i can walk them through it all right um because i know some other competitors will charge much higher so significantly higher but like i said i'm not looking to screw people over yeah anyway and have you found any other states doing this or is california one of the first states while you're looking at it's the first state and nevada is expected to vote it in in their next voting session but that's it so like this is a not exciting property that i would not usually touch with the 10 foot pole but um let's see here i do see that it went to sale for 78 thousand dollars so hold on now i'm actually a little bit interested i did previously....