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Do you know Ilyce Glink of ThinkGlink.com?

By
Services for Real Estate Pros with Tann Starr & Associates, Inc.

If you don't know her and are unfamiliar with her work, you should go to her website and get acquainted. If you saw her photograph, you might recognize her from Inman News or a host of other real estate related websites. She also has her own radio show, which is pretty cool. I think her newsletters are fabulous and I'm reading an article that I would like to share with you.

The article is entitled, "Mortgage Lender: Should You Become One?" (You can read the entire article here.)

What I found fascinating about the situation is that a homeowner is trying to sell an inherited house to someone specific who was really terrific helping out a family member, but has less than perfect credit. The owner is willing to hold the mortgage, but the issue, or question, is whether it may be better to rent it to the person first, the speculation being that giving them time to improve their bad credit before allowing them to purchase is a viable option. What do you think? I've been trying to make up my own mind, but I keep getting new ideas both for and against waiting. I'd like to hear your perspective on the matter because it's a very interesting situation and I guess my views center more on whether I, if placed in that situation, really needed the money or not. Hmm...

 

Comments (9)

Fred Chamberlin
Guild Mortgage Co - Oak Harbor WA - Oak Harbor, WA
Oak Harbor/Whidbeynulls, #1 Experienced FHA Mortgage Consultant

Carolyn, good article that covers a lot of the problems with an owner sale/contract. I was concerned that she didn't cover the distance aspect and also how collecting payments (principle and interest) are different than rent, including the reporting of such. 

Aug 21, 2008 05:36 AM
C Tann-Starr
Tann Starr & Associates, Inc. - Palm Bay, FL

Fred, thank you for that perspective. I understand the distance aspect because of the fact that we own land in other states and really rely heavily upon our relatives for a lot of support.

Aug 21, 2008 05:43 AM
Jim Crawford
Long & Foster - Fredericksburg, VA
Jim Crawford Broker Associate Fredericksburg VA

I do not like her advice.  It sounds like she is reading out of a text book.  It appears to me as if she has no working or practical knowledge!  That is how I perceive her.  She is on the radio here a lot in Atlanta.

Aug 21, 2008 05:48 AM
Lindsey Hasford
Edina Realty - Elk River, MN
Bringing you home...

Carolyn - I have a client right now that is in a situation where she could rent-to-own with buyers for awhile but has opted NOT to. She really needs the equity asap and it just won't work. I think that you really have to take each situation on it's own and look at both sides. It's not always a clear cut answer on what would be the right thing to do.

Aug 21, 2008 06:00 AM
Fran Gaspari
Patriot Land Transfer, Inc. - Limerick, PA
"The Title Man" - Title Insurance - PA & NJ

Carolyn,

What about a lease purchase written for a couple of years...if the buyers credit improves they can finance with a regular lender, if not they can continue to rent, extend the lease purchase, or find another property to rent!!! JMHO, Thanks,   Fran

Aug 21, 2008 01:26 PM
C Tann-Starr
Tann Starr & Associates, Inc. - Palm Bay, FL

Jim, that is a very interesting perspective. Thank you. :-D

Lindsey, I think you have summed up what I am starting to feel about it. Eash situation has to be judged on its own merit. "What do you want?" seems to be the question that needs to be answered per person. :-)

Fran, thank you for the insight. ;-)

Aug 21, 2008 10:42 PM
Richard Weisser
Richard Weisser Realty - Newnan, GA
Richard Weisser Retired Real Estate Professional

C,...

As Jim said, she's on a consumer radio show a lot here in Atlanta, and she's OK but sometimes more book sense than street sense!

Aug 22, 2008 12:46 AM
Mike Saunders
Retired - Athens, GA

C - I listen to her show once in awhile,if I happen to on the road at the time. Somewhere on her site she has a terrific link on how to handle home insurance claims, some insider tips, etc.

Her advice is not special, nothing earth shatterring. Lease/purchase would be what I would use in this case. If the person really wanted the place he/she would be diligent in payments and clearing up their credit. The reward would be eventually getting the place at something less than market value.

Aug 22, 2008 01:29 AM
C Tann-Starr
Tann Starr & Associates, Inc. - Palm Bay, FL

Richard, thank you.

Mike, sounds good.

Aug 22, 2008 02:15 AM