Lending Question
I have a split level house in WA State that I plan on selling. The tenant informed me that he would like to purchase the house. He has been approved for $200,000- which is more than the asking price. The problem is that he has a judgement on his credit and no bank will actually loan to him unless this is paid off.
Isn't there some way to wrap this judgement in a loan and pay it off? Does anyone know of any lenders that will work with somebody that has a a judgement? They have great jobs!
I do not want to carry the papers since I need to equity to continue RE Investing. :-o
deblica,
It doesn't seem to difficult to have the judgment paid off out of the loan proceeds. This would just be a contingency of making the loan.
I am sure there are lenders that would do this.
John $Cash$ Locke
If they lived there over a year, this deal would be considered a REFI deal. They could use the appraised value and if there is enough equity payoff the judgement. This all depends on what they qualify for. People with good jobs don't always pay their bills either.
Lori
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