Another SS question
I am reading all these posts on the subject of short saling.
It seems that the bank wants cash. So where do people normally get it? do these investors have $150K cash on hand? I can't believe that a short seller doing 2 a week would get that many new mortgages.
Is there something you do with double closing? ***igning? <---- apparently the new filtering device did not like that - try this... A S S I G N I N G?
Thanks - Drifter
[ Edited by drifter on Date 03/11/2003 ]
Line up another investor and do a double closing or a s s ignment. [ Edited by tbelknap on Date 03/11/2003 ]
You have to get financing lined up before the short sale. Either from an investor, or from a bank. Once you have the OK from the bank that they will do a short sale, then go to several banks with a proposal for financing you.
Show them a proposal that contains:
1. photos of property & Address
2. The value of the property: comps, tax bills, current listing prices
3. "Offer to Purchase" form showing how much you are purchasing the property for.
4. Plan of action (show potential profit and equity position).
Call several banks, mortgage brokers, lenders, etc. Tell them you are an investor and if they would be willing to finance you. If not, "do you recommend anyone who would finance me?" If they ask, why should we finance you? Then tell them you will bring your business to them. Meaning, you will open an account with them and put your money in their bank.
If you get turned down, then find a partner. Place an ad, "Investor needed."
Hope this helps.
Tanya