Potential Short Sale Involves Agent And Bankruptcy
I am working on a preforeclosure in Pflugerville. The seller hires an agent awhile ago but no result. She turned to me and told me she wants to sell the house but will file bankruptcy anyway. The house has two mortgages on it, both are from banks. I think it could be a deal for short sale but don't know how to deal with the agent and the bankruptcy. Any suggestion? Thnaks.
Nailin
You & the current owner need to come to term first either though the agent or just the two of you, (but don't cut the agent out, I'll tell you why later here) when you come to terms then the mortgage company needs to come into play because if the property is over encumbered (which it sounds like it is) both mortgages need to agree to a short sale. If the agent is a good agent and done their homework then he/she should have already been in touch with the mortgage companies. The agent might even know if the mortgages would even look at a short sale. As far as price you might be able to neg. with the mortgage companies on this and who knows where you would end up.
I stated earlier not to cut the agent out if you keep the agent involved in this deal and keep them happy they may be a good resource for your next deal, besides the commission will be paid by the seller (whether it be the owner or mortgage companies). I also just saw another post on here today about working with an agent in short sale form check it out also.
Terry