The bank had an attorney acting as trustee. I believe we typed our offer out with $100 earnest money. The attorney took care of ordering the appraisal & title insurance & then we closed at his office. The bank paid his fees.
cash for keys is a term used by banks on REO properties. usually the r.e. agent for the bank offers token money to the foreclosed owner to hand over the keys and give up possesion of the premises following a foreclosure.
Thanks for the info but is it proper to do this cash for keys after buying a house from auction? and if so how much do it offer? I really have know idea about how to handle this.
Thanks
you are negotiating for possesion..the alternative is eviction....the way i look at it is how much will it cost me to evict someone. i take into consideration how savvy the homeowner is such as have they filed for bankruptcy before , did they utilize an attorney. I also ask questions like do you have family that you can move in with..if so i offer to pay for a uhaul truck and two workers to help them move. Here in ny we have 30 days before we close on a foreclosure sale. we cant really do anything until title passes...i offer these 30 days to them as "free", or if they play hardball i am willing to pay them the cost of me hiring an attorney to evict plus two months of holding costs. If they ask for more then i thank them politely and my attorney takes over. I always try to talk to them in a courteous, polite and respectful way which gets me in the house to discuss matters further in which i just happen to have a camera to take pictures with the excuse that i need these pictures for my contractor to get an estimate on the rehab.
We sold a house this way on our own. Find a mortgage broker who participates in these programs and they will give you the paperwork and show you how to fill it out. Take a few of their business cards and tell them you will refer potential buyers to them for financing.
The bank had an attorney acting as trustee. I believe we typed our offer out with $100 earnest money. The attorney took care of ordering the appraisal & title insurance & then we closed at his office. The bank paid his fees.
I should mention that this was a mortgage foreclosure and not a tax foreclosure. Not sure if that makes any difference or not.
cash for keys is a term used by banks on REO properties. usually the r.e. agent for the bank offers token money to the foreclosed owner to hand over the keys and give up possesion of the premises following a foreclosure.
Thanks for the info but is it proper to do this cash for keys after buying a house from auction? and if so how much do it offer? I really have know idea about how to handle this.
Thanks
sheronlee,
you are negotiating for possesion..the alternative is eviction....the way i look at it is how much will it cost me to evict someone. i take into consideration how savvy the homeowner is such as have they filed for bankruptcy before , did they utilize an attorney. I also ask questions like do you have family that you can move in with..if so i offer to pay for a uhaul truck and two workers to help them move. Here in ny we have 30 days before we close on a foreclosure sale. we cant really do anything until title passes...i offer these 30 days to them as "free", or if they play hardball i am willing to pay them the cost of me hiring an attorney to evict plus two months of holding costs. If they ask for more then i thank them politely and my attorney takes over. I always try to talk to them in a courteous, polite and respectful way which gets me in the house to discuss matters further in which i just happen to have a camera to take pictures with the excuse that i need these pictures for my contractor to get an estimate on the rehab.
We sold a house this way on our own. Find a mortgage broker who participates in these programs and they will give you the paperwork and show you how to fill it out. Take a few of their business cards and tell them you will refer potential buyers to them for financing.
Oh and no - the paperwork is no big deal - a page or two is all if I recall correctly. Good luck!