Arrrr, HELP!
Assistance, please!
House is going to sale this Thursday.
I have the deed and a buyer for 365k.
Fairbanks is the first, I offered 290k (original loan: 300k plus 60k Wilshire second, together now around 400k.. incl. everything).
They want 325k offer (net to them accordingly less), plus only accept 1k to 2nd (even though this wasn't FHA).
So far, still good, BUT: Wilshire was ok with my initial set-up, which mentions 6k to them (release of lien only, they still keep right to go after the deficiency), but are not ok with 1k... however, sure would get 0 if it goes to auction.
My idea: Suggest to them that I BUY that 2nd for 6k.
(I had mentioned that some weeks ago, and they weren't interested... however, things are different now.)
Before I call Wilshire again tomorrow:
Anybody has another brilliant idea how to get this done???
I only came up with that mortgage buying thing, which would be fine, if they accept it... 2nd would get their money and I wouldn't have to lie to Fairbanks re to the payoff of 2nd...
Other options??
Somebody mentioned today I could give the second their 6k in two payments (1+5).
DOES THE FIRST SEE HOW EVERYTHING GETS DISPERSED? I guess so... on HUD.
Or get this be 'hidden.' (Feel like a gangster now..)
How do those people do that, when they slap 2nd mortgages on there to realize their profit?? Doesn't the first see that?
Thanks again for this board - good stuff!
Falk
Acually, just came up with one more way myself....
If I have to, I will go to auction, upset will be 325k or so, it might go to around 350k.
My buyer is now offering 375k (and will not show up at auction, I am pretty sure of that).
So, I could go to s.th. like 355k at auction (put down 10%) and assign it for a quick 20k.
Still, any suggestions on how to make it work with that above mentioned 2nd BEFORE the auction??
Thanks,
Falk
OK, then I 'll give the answer myself...
Found out today that I can do it like this:
Have owner come up with extra 4k out-of-pocket at closing! (Guess whose pocket it really is....)
This way 1st is happy: only 1k to second
2nd gets their 5k (only for a release of lien!! They could still come after him for the difference. They wouldn' t accept a sale of the note... that would have been better -> HO safe; however, this leaves the HO with 5k for his microwave extraordinaire instead of 0, and the deficiency would have been there most likey anyhow if going to sale.)
Do you see any other options?
Thanks,
Falk
Sounds like you have some great ideas!! ...but....it seems that you haven't been able to get the 2nd to release dificiency judgement rights. Did 1st waive rights? Anyway, not much help to the HO if he gets hit with the bill later. Maybe suggest to 2nd that he doesn't have a chance and should just be happy with the 5k. threaten with HO filing bankruptcy. (i.e. - gets wiped out at courthouse, later files for deficiency and the HO in turn files for banruptcy.) either way.....2nd's out of the money. take the 5k and be happy!!! this might help persuade a waiver of rights , which clears the HO of future problems. just trying to help!!
Thanks for your input!
I tried... but in order to satisfy the debt, they wanted 20k+...
I also initially offered to BUY the note for 5-6k, which obviously would be excellent for owner, since I am not going after the deficiency. Bank didn't wanna sell, they wanted to keep to right to go after him...
However, real life ending: I couldn't get the acceptance letter from 2nd in time (was one day short), so first didn't wanna stop sale, and I missed a 51k payday$%^&- it went to sale for 380k.. (I was there bidding 365.. since I had a buyer for 385). They paid too much $ at the sale...
Next time...
HO is ok, since his loans should be paid off by this.
On to the next one.