Any Ideas?
I have found a potential deal but I don't have all the education required to be able to make it worthwhile. I need some mentorship or advice.
I have found a motivated owner with a Pre-foreclosure that has a...
FMV -$150000
No major repairs needed, maybe paint
Pay off- $135000
Need $11500 To bring current.
What would be the best way to handle this position and what are some options?
Thanks
Jar
If the FMV is correct, this could be a good candidate for Short Sale. What does the owner what out of this?
I have a very similar position here in Detroit. The owner ows 31k on 2 properties each, so 62k or else the bank will foreclose in 6 weeks. He just wants out; no cash needed for him. I was thinking about calling the lender and setting up a shortsale and then either flipping it or getting funds from a hard money lender(?). Any advice for me and Jar???? Thanks in Advance for all the help!!!
They said they would like enough money to be able to move with.. What is a short sale and how can I find out how to do one ASAP.
Jar, I think that our initial situations are the same, however, your sellers(owners) want some money where my seller just wants to get rid of his 2 properties.
As far as what a short sale is, from what I know, it is when you call up the mortgage holding lender (whoever that is; bank or other mortgage company) and asking them to take LESS than what is owed. From what I know, you need to ask the owner (seller- get it?) who is holding his mortgage; get in touch with that companies' "Loss Mitigation" specialist or person, or whatever the title is, and ask what they would be willing to take for the property. You're looking for them to mention a lower number than what is actually owed, a lower or "shorter" number, thus a short- sale.
However, I'm still stuck with that to do with MY deal... I don't want to start another post because I think that we are both in the same boat, jar.
If you can think of anytthing or anyone to get in touch with me, please help!!!
good luck to you, and I hope we both come out on top...
pk24,
Your owners, are motivated and you are well positioned to do a short sale. Ask the owner to sign Authorization to Realease Information, which is just a one page, stating owners name, SS#, lender info and owner's signature. You need that so that you could start talking to the lender. Once you get that, contact the lender and ask them if they are willing to accept a short sale. If they are, they will tell you what they need from you. Just start with that.
Jar,
When you do a Short Sale, you are basically asking the lender to accept less then the loan is for. Since lender is accepting less, owner cannot leagally receive money, if they agree to a short sale. Your owner, needs to be motivated enough to just walk away in return for saved credit.