Need Advice.
Got this call from a lady that needs out from a 105k dollar ****Must Reach Freshman Investor status before posting URL's*** think the house might be worth a little bit more higher than that since it appraised for 95k three yrs ago. The house is 1770sq ft. 3br/1.5 baths. Her monthly PITI is $802. She got the house from a divorce settlement but the ex-hubby's name is still on the the papers. She told me it wouldn't be a problem getting the ex-hubby sign his name off the records. She is willing to take what is owed on the house which is 85K. She does not care about the equity. She just wants out. I'm not sure wheter the loan is assumable or not or wheteher it requires qualifying or not, she didi not have that info. with her.
I'd appreciate any valuable info. on this possibly sweet deal. Could i use a sub2, L/O or just pass this deal on to another investor? I would hate to pass it on because i really bust my tail to get this lead.
Thanks 
You could do it either way. However, with l/o you don't get the deed until you fulfill your obligation. Also, I may be wrong on this one, but the seller could change their mind after all is said and done. Others will chime in on that one if I'm wrong or if there is more to it.
With Sub -to, you get the deed up front so the house is under your ownership. I'm not too familiar with assigning the contract to another investor but there are alot of knowledgeable people here who can give alot of insight on alot of different ways to handle this.
I hope this helped some.
Quinn
Tkinungi,Quinn
The seller cannot change his/her mind on an option. According to Carleton Sheets, options are enforced in court when sellers try to back out. If you go the option route, be sure that you have all documents lined up to close without action from the seller. The seller could be incapacitated or deceased when you exercise your option.
Regards,
Ed
Quote:
On 2003-11-13 20:20, Tkinungi wrote:
Got this call from a lady that needs out from a 105k dollar ****Must Reach Freshman Investor status before posting URL's*** think the house might be worth a little bit more higher than that since it appraised for 95k three yrs ago. The house is 1770sq ft. 3br/1.5 baths. Her monthly PITI is $802. She got the house from a divorce settlement but the ex-hubby's name is still on the the papers. She told me it wouldn't be a problem getting the ex-hubby sign his name off the records. She is willing to take what is owed on the house which is 85K. She does not care about the equity. She just wants out. I'm not sure wheter the loan is assumable or not or wheteher it requires qualifying or not, she didi not have that info. with her.
I'd appreciate any valuable info. on this possibly sweet deal. Could i use a sub2, L/O or just pass this deal on to another investor? I would hate to pass it on because i really bust my tail to get this lead.
Thanks <IMG SRC="images/forum/smilies/icon_cool.gif">
Should i have the ex-hubby sign a quit claim deed? Coz i'd hate for him to come in later and cloud the deed >
Thanks ed
For clearing that up for me, I wasn't too sure about that part of it.
I'm learning something new everyday. I love this site!
Quinn
Tkinungi,
If the property is held by husband and wife as joint tenants then she cannot sell to you without her husband's signature as well. Most often properties held by married couples are as joint tenants where the property automatically passes to the surviving spouse when one dies. If the property is held as tenants in common, the property is separated and one party can sell their portion. At time of death this portion becomes part of the estate and can be willed to other parties.
If the husband also signs the deed ( in CA this is usually a Grant Deed) you won't need a quit claim. If he is willing this seems the simplest. This should be OK with either L/O or sub 2.
-Ed