Short Sales On Pretty Houses
If this has been referenced before, I apologize in advance.
A great deal of the homes in my area are 2 - 5 years old. They are in nice neighborhoods and when they show up as pre-foreclosures, there is usually a second and/or a third mortgage. They are not in bad shape and $ 5,000 would put them in sellable shape. Their owners have not torn them up, in many cases they just walk away. So, I understand the motivation for the 2nd and/or 3rd lein holders to work with me. But without a long list of repairs, should I be prepared for a lot of "no"'s from the 1st lien holders.
Thanks in advance for your advice.
It depends upon the property's as-is, fair market value... and if your Proposal makes financial sense, and is in their best financial interest.
If the mortgagee is likely to be made whole by foreclosing... then there is no financial incentive for them to accept less than they are due.
The art of short sale acquisition isn't about making lowball offers and seeing if the lender will bite.
It's about manufacturing market data to offer the mortgagee a mutually beneficial, proactive solution to their potential problem.
If they don't perceive a problem, then you won't have much of a shot until they are enlightened.