Solve The NTS Bankruptcy Puzzle?
Hi Fellow Investors,
I've been following a particular NTS property...completed 'due diligence' and determine much $$$ to be had on the deal...drove by the home and it was boarded up w/ nobody in sight....good sigh that they wouldn't be paying up on the loan....then owners filed BANKRUPTCY!!!!
Anyway for me to swing a deal with the bankruptcy trustee or the lending instituation losing out on this deal to get the property???...COME ON!!!...One of you guys must have figured out a way to get the property from this situation and still make a tidy profit.....
Thanks in advance for your ideas!!!!
Bob
The key is to locate the seller.
The trustee is usually looking to max out the cash value of the property.
Find the seller enter into an agreement with him subject to court approval or cancellation of the bankruptcy proceedings.
This is more info than anyone should give you. Read and think carefully about what I just wrote and the world is yours.
I did one of these a little over a year ago and did essentially what jgasdaglis suggested.
In my case I worked with the owners and their bankruptcy attorney initially. It took a while before the bankruptcy attorney would talk to me but he was coordinating the effort between the bankruptcy court and the loss mitigation department at the bank. I eventually had direct contact with the loss mit dept. since I needed to get them to postpone the sale for me to pull together my financing. I definitely had full cooperation with owner. I doubt if you can do this without owner cooperation.
I just sold the house a few days ago as the front end of a 1031 exchange and made a very nice profit, but it took a great deal of patience, determination, headaches and some risk taking to pull this off.
Good luck with yours.
Regards,
Ed