Sale Short Fast

My question is complicated I need to know how do you tie the property up, find a buyer, and negotiate the deal so that you make your money with out owning the property. This has come up when I was trying to do a deal with a conventional lender.



The scenario worked like this:



1) The property was price at 280,000.00

2) Short sale was workout to 197,000.00

3) Margin 83,000.00

4) I want 20,000.00 finder fee 20,000.00

5) Equity left 63,000.00





How do I put together the contract so I make 20k at closing or is this legal dealing with conventional lenders?

Comments(6)

  • topher1112th January, 2007

    You have to find some way to acquire an equitable interest in the property maybe a purchase option. If you dont then you are pretty much working as a broker/agent without a license. Why would you not want to own it. Buy it in a land trust.

  • ShortSaleInvestor15th January, 2007

    I know a realtor / agent about 60 miles from North Port. Send me an email and I will reply to your message with his number.

  • tbird5616th January, 2007

    You sound like there is a big difference between a HELOC and a 2nd mortgage. They are essentially the same, the lender has a subordinate lien against the property.

    As to whether the lender would discount it, sounds highly improbable if there really is that much equity. If it goes to sale, it will be bid up and the lender will get his full 32k anyway.

  • charlotteinvestor18th January, 2007

    Yeah, but the mortgage has to be delinquent.

  • spoocrew17th January, 2007

    the house at one time appraised for 285000...the homeowner had awesome credit and his own business...so was able to borrow about 125% for the 2nd...right now it would appraise for 249000 to 260000

  • greg136818th January, 2007

    Have you talked to the 2nd?. The 2nd is the one in real danger here i believe. The second should take a pretty good short based on the first..

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