Pre Foreclosure??
Just one simple question before I go a head, I am interested in a property will be going on the steps of the court house in a little over a month. My question is can I go straightgh the owner try to by it that way before the sale, or do I have to contact the bank/lender first? 
Hi jameel99,
If you are not trying to get it short saled, then you go contact the owner directly. If you are trying to short sell it, then you will need to work with both the bank and the homeowner.
There is nothing wrong however with contacting the homeowner before the sale to try and purchase it. Make sure that you leave enough time to run a title report and get the pay off amount to the bank if you choose to move forward!
Best of Success!
BAMZ
How did you find the house?
If it's through one of your mailings, you can be sure that the owner is actively trying to find a solution to his problem.
Some owners are just not motivated to handle their problem in a rational way, and they will just let their property be auctioned off. Others are in different stages of denial, and may be susceptible for your explanation as to the benefits of working with you.
So it always starts with the owner.
Get in touch and establish if he is "motivated", and work out a solution that creates a win-win situation.
Good luck.
[addsig]
Hawthorn,
I like your motto. Are you Dutch and have you struggled a lot in REI. I cheated and looked it up on Google but was impressed by the shield and the motto. Cool stuff
Good LUCK and Thank You
Ted Jr[ Edited by Tedjr on Date 02/03/2004 ]
Hawthorn,
So if one contacts a owner who is default/pre-foreclosure can I make them an offer without getting the bank involved. Ex. owner owes 100k home is worth 175k my offer is 110k. can the owner accept without getting the bank involved. I thought the bank had to approve the sale. If the owner accepts is this a short sale? Will a simple contract from a attorney due?
Any help will be appreciated
Ruben
Hi BMZA,
I am sorry If I sound uneducated dose short sale mean offering less han what is owed? if so no I think what owed on it is less that fair value and that is why I like this property.
Hello Hawthorn,
I found the house in the court house files and it is listed to be sold in March, and I think theree will be a lot of interest in this one and bidder might raise the price higher and thats why I hope to try to get it pre foreclosure
jameel99
Quote:
On 2004-02-03 07:38, ruben wrote:
Hawthorn,
So if one contacts a owner who is default/pre-foreclosure can I make them an offer without getting the bank involved. Ex. owner owes 100k home is worth 175k my offer is 110k. can the owner accept without getting the bank involved. I thought the bank had to approve the sale. If the owner accepts is this a short sale? Will a simple contract from a attorney due?
Any help will be appreciated
Ruben <IMG SRC="images/forum/smilies/icon_smile.gif">
The bank does not have to approve the sale. If the bank has not foreclosed upon the property yet the owner can sell the place. The owner cannot approve a short sale. That is in the hands of the bank and they will not approve if the owner is getting any money. A short sale is when the bank accepts less than what is owed on the property.
Ryan J. Schnabel
Ruben,
If the homeowner owes $100,000 and you offer them $110,000, there is no need to get the bank involved, you can make your offer to the homeowner directly. If the homeowners will sell, It would be a good idea however to check the status of the current and any past due RE taxes, run a title report, and get a full payoff faxed or mailed from the bank.
A Bank does have to approve a short sale, however in the example above, a short sale is not required. Get a contract from your attorney, or simply go to a local real estate office and ask them for a MLS contract. Most RE offices will give one to you.
Best of Success!
BAMZ