I Don't Get It!

Comments(5)

• 
  TheShortSalePro29th September, 2003

  "It just seems to me that without the seller's full cooperation and interest in this strategy it wont work"
  
  That's correct. You need the full and continued cooperation from the Seller
  
  
  1. Why would the seller (property owner) have any interest in this strategy?
  
  By participating in a short sale, the Seller avoid the loss of property at a forced, public sale, preserving their credit, and dignity.
  
  2. I've read that you get the seller to agree to a sale price that is significantly less than what he owes on the property, why would he do that? It seems like only the investor benefits providing the bank is willing to short sale the mortgage?
  
  The Purchaser must decide what he would be willing to pay for the property irrespective of what is owed. The process will be to justify/support that price.
  
  3. What happens if the seller agrees to the lower price and then the bank wont short sell the loan?
  
  Then your deal falls apart.
  
  
  4. Do you provide a side perk to the seller to get him to buy in? If so, what do you offer and is this agreement separate from the property purchase agreement?
  
  You can offer the Seller whatever you want, and what your deal can support. But the mortgagee must not be so advised that the Seller will benefit in any way.

• 
  Stevek29th September, 2003

  Thanks ShortSalesPro for your quick response.
  
  Regarding your response to #4, what do you suggest typically works here? Is a separate agreement with a "perk" offering in any way illegal?
  
  Also, does the purchase agreement with the seller have the short sale agreement with the mortgage company as a contingency?
  
  Since you are a pro in this area, do you offer mentoring services?

• 
  TheShortSalePro29th September, 2003

  "Regarding your response to #4, what do you suggest typically works here? Is a separate agreement with a "perk" offering in any way illegal?"
  
  Offering the seller financial remuneration/compensation/considerati-on may well be in violation of the terms of mortgagee short sale approval. If you have the trust of the Homeowner, a simple handshake should suffice.
  You may wish, by separate agreement, to pay the Homeowner for debris removal, or for applicances not included in the sale.
  
  "Also, does the purchase agreement with the seller have the short sale agreement with the mortgage company as a contingency?"
  
  Yes.
  
  "Since you are a pro in this area, do you offer mentoring services?"
  
  I do. I offer E-Consulting for both preforeclosure short sale acquisition, and REO acquisition. I recommend that you purchase the printed version of A Short Sale Primer. That purchase includes an hour of E-Consulting, or, I'll review and critique your short sale or REO offer before you submit it to the lender.
  
  Between reading and following the Primer, and a little bit of individualized E- support should help get you started.

• 
  Stevek29th September, 2003

  TheShortsalespro
  
  What's the difference between your two products besides $100?
  
  Thanks

• 
  jorge12129th September, 2003

  I believe one product includes an 1 hour of e-coaching and the other doesnt'.
  
  To answer your previous quesiton in terms of a "financial perk" for the seller. I've offered to pay their moving expenses and give them $500 for "cleaning" the house when they left. Any money would, of course, be given AFTER they have vacated the premises (and you've changed the lock or rekeyed it).
  
  J