"Are you kidding me?" Roland said, "there has to be some reason they're being investigated by the Attorney General."
Roland lost his home a few months ago, and I blame your office.
Yes, I know that’s a bold statement to make, but it’s also a true statement.
Because of the ineptitude of your office and their so-called investigation methods, Roland no longer has a home to call his own.
the back story
I’d saved Roland from foreclosure years ago and at the time put together a really good plan for him.
He lived in an old home that needed a lot of work, a home that had been in the family for many years, but he got behind and was in danger of losing it.
So, I stepped up and bought it from him, crediting him with years of rent so he’d continue to live in the place without making payments.
A couple years down the road he decided to move on.
I don’t recall the reason exactly, and I tried to talk him into staying, but I do know I met with him and we worked out an arrangement to get him into another home we’d recently rehabbed.
There were still some rent credits left, so I applied those to the new home and gave him an easy, low interest, owner financed type loan, and the sparkling new place was his.
I’d created a really nice solution for him, but it concerned me and you have no idea why, do you?
Care to take a guess?
Can you connect the dots?
Experienced investors reading this know in an instant how it plays out.
on his own
Roland no longer owns the new home and I blame your office.
I was concerned for him back when we put this together because the moment I sell to Roland, he’s on his own and it’s nearly impossible for me to look after him.
As a partner, I do whatever needs to be done to keep people like Roland out of trouble.
Whether that’s fixing a leaking roof or cleaning up a property facing abatement proceedings or advancing him money in the winter to keep his heat on, I’m there to help.
I have to help.
His interests are very much my interests and if he’s in trouble, I’m in trouble. That means I “ride shotgun” on every property I’ve partnered up on, and I make sure my gals and guys stay out of harm’s way.
But Roland was no longer a partner. Once I sold to him, he was on his own.
he loses his home
Eventually, we sold that contract and Roland began making payments to the new contract holder. And sometime later, he stopped making payments.
That meant foreclosure was back on the table and without me around to keep him out of trouble, he once again was at risk of losing his home.
And that’s where you guys come in.
Your office contacted Roland. You told him I was under investigation and did so in such a way he could only conclude my company was up to no good.
So when he could have used my help the most; he didn’t bother to call.
Even though we’d spent years together as partners, and even though he knew I’d delivered as promised previously, he was now convinced I could not be trusted.
All because of your office.
And so he sold the home to another investor, practically giving it away.
I recently spoke with the guy who bought the house from Roland, and he told me the entire story.
He knew we’d sold to Roland originally, and so he asked him why he hadn’t contacted us to let us know he was again in trouble and needed help.
“Are you kidding me?” Roland said, “there has to be some reason they’re being investigated by the Attorney General.”
And with that, he lost his new home.
the safe harbor
What you don’t get, Rob, and what your office doesn’t understand, is that we hesitate to do anything that gets our partners into trouble.
Reselling properties back to them when they are incapable of making the mortgage payments is a disservice. It places them at risk of foreclosure yet again, and I’d rather that not happen.
There are no “onerous” conditions, as you’ve alleged in your complaint. Where you got that I’ll never know. And if anyone ever wants to buy out my interest (we don’t offer a “buyback” option, as you’ve claimed), he can.
All he has to do is ask.
I’ll even sell to him on a low interest owner contract, with nothing down and zero closing costs if that’s what he wants.
But I’d rather not.
I’d hate to see him get into trouble, especially now that your office has entered the arena.
He’ll have no one to turn to the next time around and like Roland, he’ll lose his home and there will be nothing I can do to stop it.
You did Roland no favors, Rob, and had your office not poisoned our relationship with him, he’d still be in that home today.
I just hope he’s not out on the street somewhere.