Need Help Quick For Subject To Meeting
I have opportunity for subject to deal with seller in foreclosure. The seller does not want any money just wants to get out of the mortgage
ARV $185k
1st Mortgage $130k
2nd Mortgage $ 14k
Arears $ 5k
Repairs $ 3k
I want to immediately sell the property, but I don;t know where I would get the $8k for the back payments and repairs and I also would need money for the carrying cost for about 3 months as well. Any suggestions. Should I go to a hard moeny lender and just borrow the entire amount to pay of the mortgage?
Any help would be appreciated. I meet with the seller tomorrow.
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Thanks so much for the advice. I met with the seller today before I had a chance to read the posts. I did not know how to structure the deal so I stalled him by taking pictures, getting him to sign the Authorization to Release. After talking to him, he did want to get atleast $1-2K out of the deal, so that he can move his family and find somewhere to live, which is not unreasonable. I was afraid to write a contract to include that because I did not have the final numbers from the mortgage companies. How do you structure a deal , and get a contract signed without the final numbers. Another question: I also thought about trying to short sale the 2nd, but can I short the second and still do a subject to on the 1st? What reason would I give the mortgage company for wanting to discount the mortgage?
[ Edited by investornewbie on Date 03/01/2006 ][ Edited by investornewbie on Date 03/01/2006 ]