Prequal Letter For REO Properties...need Advice...
Have a question, I've been trying to sort out for a while, hope someone can answer this. I'm a RE Agent and my sister and will be doing deals together. We will get a property under contract, sell it owner financing and do a simultaneous close to the end buyer. The reason I'm not submitting offers in my name is if we do not have an end buyer by closing, she will flip the property to me via a simultaneous close.
My problem is I qualify for a loan and can therefore obtain a commitment letter from my lender (We're selling most of the note at closing). But she doesn't cannot. I can't make offers in her name unless I have a commitment/prequal letter from a lender. I can co-sign for her on hard money, but don't know if my name will be included in the prequal letter. If it is, then the seller (REO/Banks) will draw up the docs with me on the title, which is not what I want.
I was told I can submit her name and MY prequal letter and this shouldn't be a problem with banks. Basically, I'd be saying, she's taking title to the property and I'm taking ownership of the debt (mortgage).
Can anyone who's ever done this or who has some insight offer me some, thanks a bunch.
Dee
The sales contract has to include any person who will be on title. The mtg. company will want the person responsible for the mortgage on title.
Lori
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