Now What???
Sorry if this gets long, ill try to keep it short 
Heres the story, I was calling all of the expired listings in our MLS looking for someone who wanted to relist, I got a call back from a lady who said they are moving in 2 weeks, house wasnt marketed well and they are just going to let it go into foreclosure, they havent paid anything since January, and there are 2 years taxes owed. The reason they are going to let it foreclose is that they filed bankruptcy recently (should be discharged around the end of the month) and they figure it couldnt hurt thier credit anymore than the bankruptcy.
They owe roughly 107k with the couple past payments rolled onto the back of the loan (bank offered this).
Hard to find comps for this property because of its location, but from what I can gather its worth about what they had it listed for, 150k.
Now, since the seller is in this situation, I figure "Hey, not enough time to worry about listing it, why dont I try taking it Sub2", so I talk to them about it, what they are worried about is that if in 6 months or a year or whatever, things dont go right, then the house will go back in foreclosure, and then affect their credit, and they would have to come back to town to take care of it. They just want to be rid of their problem.
They are pretty much willing to walk away with no money, but of course would like some moving money. The problem Im having is trying to figure out a way to get them some money. My thought was for them to talk to the bank and get the back payments rolled to the back end, then try and get a T/B to come up with the cash, problem with that is, if it takes me 2 months to get a TB in there, we wll be behind 2 payments again, because they are not putting any more money into it (and I have none), if they dont get the payments rolled over, we have a few months to get a TB in there, but have to make sure we get enough money from them to cover backpayments etc. Im probably missing some stuff here, but you get the idea, not to mention, with everything Ive read, Im still confused about what to do here, maybe because now I feel stupid lol, like Ive never read anything about real estate. Any help or guidance would be greatly appreciated! maybe just some words of encouragement or something
Thanks!!!
Steve
Simple. Offer them what they owe ($107K) on an option. (Pay them $100 or whatever for the right, but not the obligation to buy their property at that price) If you can get a valid series of comparable properties from a local realtor (start finding one now), and you get your offer accepted from the seller, contact your local REI club (check their website or newsletter for board members to contact) and let everyone know they can buy a house worth $150K for $120K. Incredible deal for them, $13K in your pocket. Specifically, sell them your option for $13K. If they need moving money, find a thousand dollars from somewhere, you'll find it if you look.
Done.
Convince the seller that you WILL deal with their issues with Sub2 issues. There's a recent article on this website that addresses working with reluctant Sub2 sellers, look it up.