How Do You Deal With A NASTY Loss Mitt Rep?
this is the first time i have come across a loss mitt rep that was this difficult and just plain nasty to me.
so i get this property under contract, the seller doesnt have any information about the mortgage, because they have never sent the owner bills or statements. she has there address written down on a piece of cardboard and uses it to send them money every month without knowing anything about the payments. all she knows is what the original loan amounts were for. the loans were originally serviced by conseco, which went bankrupt and was bought by greentree financial.
so i call up greentree loss mitt and talk to a rep, he says to fax the auth to realease. done. the rep handling the loan calls me back and starts asking me all sorts of questions, i tell her im simply a freind trying to bring the loan current and need the payoff statements and whats owed. i explain to her that i have never come across a company that doesnt send there customer a bill every month. she tells me that she knows what im trying to do and that she wont give me any information and how she doesnt need to work with third parties. she tells me she is working something out with the seller and doesnt want me to make any payments and to try and help the seller. i tell her i have never heard of a bank who doesnt want to get paid, and that the seller is six months behind and she can forget about receiving any money from the seller. she hangs up on me and proceeds to call the seller and explain that im some scam operation and that i will want money from her, and tons of people like me will be calling her. obviously this lady is dillusional and doesnt know that im giving the seller money not the other way around. so i call the seller and ask her if theres anyway she can come up with the money to work something out with the loss mitt rep, she says theres no way she can come up with the cash the rep is demanding. which is why she called me in the first place. so i calmed the seller down and explained that she will not owe me ANYTHING after i pay her what i agreed to and she signs over title. i had her call customer service and request the info becuase obviously this loss mitt lady is nutz. is it that she will get a bigger bonous or something by negotiating a forebearance rather then me making up the payments?
what would you do in this situation? should i call up investor relations or try and get the president on the phone and complain about this lady and how she wont provide me any info even though im authorized to receive it, and that she doesnt want me to pay them any money? its almost like shes trying to snake the deal from me, even though shes not going to get paid by the seller. the problem is i think this lady is pretty high up in the loss mitt dep, and is the one handling the account. i dont want to burn any bridges but at the same time i dont want to deal with her ever again anyways. i was never rude to her or anything, she just started going off on me.
sorry for the length but like i said i have never dealt with a loss mitt rep who was this nasty or who wouldnt provide me info.
[ Edited by ZinOrganization on Date 03/24/2005 ][ Edited by ZinOrganization on Date 03/24/2005 ]
she has also told the seller that shes in foreclosure and that the banks going to take her house, even though the seller hasnt been issued any legal documentation about it. ex Lis Pendens or Notice of default which usually must be sent the seller.
She sounds more like someone in collections, not in the loss mitigation department. Are you sure that you are dealing with loss mit?
If the loan is in foreclosure, then deal with the lawyer. If the loan is not in foreclosure (they have not been sent the NOD), then you are probably dealing with collections and need to call around to get to the loss mitigation department.
yeah they transfered me to loss mitt, and the loss mitt guy told me to fax my authorization to this lady who is handling the account.
no, i didnt get her info from NOD lists. she called me from one of my ads. i havent checked out anything on title i just had my attorney order title.
yes, she is definetly a loss mitt rep.
i just got off the phone with one of her supervisors and told them that this rep was badmouthing my company to the owner of the property. and that i dont think she should be working in a loss mitt dep. if she cant help people get information to bring loans out of foreclosure. so the nice supervisor explained that they have lots of third parties calling up like myself who try to negotiate the amount to bring the loan current down. i told her no, thats not what i do but explained that whatever my agreement with is owner of the house is really none of there damn buisiness. she said yeah if your going to do a full reinstatment then she could care less about what my situation with the owner is. she said if your going to do a full reinstatement of the loan then fine i will get you the info.
this was no easy task, and i warn anyone who tries calling green tree servicing that they are very investor savy and extremely argumentative.
Homecomings is also investor savy. The loss mit rep told me at what price the property had to be listed. And one point she said "I feel that you are lieing to me", on no specific point, just in general, she felt that I was lieing to her.
I think they all must have just come back from a Jeff Kaller seminar.
Brenda
lol, brenda, i agree with you completely. its almost like these banks are sending there employees to kallers seminars to learn about what were doing. i think people should just stop doing seminars alltogether. or backround checks on people attending, to make sure there not with these banks. kaller gives up alot of loss mitt info too.[ Edited by ZinOrganization on Date 03/25/2005 ]
This is no good. Jeff needs to stop letting this info out like this and needs to stop ruining it for investors. In a way he is helping but in another he is hurting
TheGodFather,
I have used my paperwork in many areas of the United States, so I know it works as it contains what they call the right amount of legal points in a contract.
You need to approach the title company differently instead of saying "Subject To", which most title companies and attorneys have no comprehention of how it works.
Tell the title company you are selling your property without using a realtor and what paperwork will you need that will satisfy them. They should give you a list of what you need or have the paperwork already. The same thing when buying I plan on purchasing a property with out a realtor involved what paperwork will I need.
What you will be looking for are state specific items, such as a house inspection, terminte inspection or in other words any thing that is required when buying or selling a property.
Try this then let me know what happens.
John $Cash$ Locke
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I found a real estate lawyer who owns three title companies. It would be nice to be able to kill two birds with one stone. What do you guys think? Any ideas or good experiences with specific title companies...thanks
I much prefer the use of an attorney. They really are the same price as a title company and they have greater experience and you can usually pick their brain for free if you use them for you title work
The mta index gives a very low payment that should give you a positive cash flow. The index is very slow moving so you will be able to get out of this product if the rate goes up to high. There is a 5 yr product that works very well for owner occupied and Non owner occupied. I have this loan on my own home!
Good Luck,
Robert
Thank you for the quick response this is why I love this board. I can learn from you guys and then use it like I am a expert.
Board-This loan seems to be a good idea but I was told what if the house loses value and I lose out on selling it for what it is worth now. Think this should be a concern? Either way I could def rent and come close to covering cost. But if the right shoots real high and I have to refi my month mortgage on a 30 yr fixed could be too much for me to handle.
Thanks
Bump
Guess it all depends on your goal(s) with the house.
Short term? Long term? Tax consequenses? Live in someday? Money maker? Estate plan?
If you like owning the home, the tax consequences, and having this asset ... then you have choices when the time comes. Right? If not, go with the known.
Have a plan. Know why you are keeping the property.
Adjust accordingly.
WoW-This is all good info.
The only concern that I have right now is if I use a 12-mta or a cofi loan is that it will be interest only so if I do not throw money toward principal its kinda all or nothing. But I am ball parking the figures something like this. I could easily rent for 1200 a month, its a one family in North Jersey and rent is high so I prob could get more but I am not going to over estimate I would rather udnerestimate. The morgtage would be for 180k ish so the payment with a 12-mta would be roughly 7-8 hundred w/o taxes included. This would give me some cash flow on the property so I thought it may be benificial, I could put into account to improve property or even throw it toward the princ. How does this sound? Am I making sense here.
PS I cannot PM I have a 1 month trial here
my e-mail is **Please See My Profile** if anyone wants to e-mail me with info or opinions. Again thanks to all who responded.
I can point you in a variety of directions, but need more specifics about what you want.
Know friends in the business? Ask them for letters of reference. Have friends in good positions? Ask them too. Past bosses and co-workers work too. Go to church? How about the pastor?
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I hear there are some good $10,000 bootcamps out there.
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If you ask me, i think this website alone is better than any course if you use it the right way. I was able to do deals before i bought any course just with the information provided by this site. I then with the money i made bought a couple of courses including Johns and it is also helpful. Also one of the most helpful things was going to the local REI meeting.
good luck to you,
Ryan
try harder to get the point through their head that they are going to foreclose and you are willing to stop it and even let them walk away with a little cash. Send them letters once a week or something.
Ryan
Contact a title company and have a preliminary title search done. If the total payoff is still in a price that you would pay and the house would appraise, then write up a contract and take it to the them. If the payoff will allow them to make some money, then point that out. Most people in foreclosure are motivated by even a couple hundred dollars. Point out that they would get some money, the foreclosure would be stopped (very important if they ever want to buy a house in the next 10 years), there would be no deficiency judgement from the bank (if the house is sold for less than what is owned). Also point out that it would be a low hassle, asis sale. You will try to ask them for nothing and if the price will allow, tell them that you will pay for all closing costs. REalize that no homeowner in foreclosure will come out of pocket to sell a house. Point out to them that they will walk away from the table with money.
you are in CA, so the property will not be auctioned off at the court house, correct? Then, you need to contact the mortgage lender for this property to negotiate.
Also I would call the attorney who is handing their divorce.
Thanks Jeff12002,
To answer your question: The mortgage balance is 145K and the ARV comps are 160K. So the repairs would take up most of the equity. As is, it is worth about what is owed, 145K.
Knowing that info, what do you think?
MemphisREI
Just curious. Can you call Charlie and Randy Frances to ask them if they would do this deal? Do they offer support after you buy their course?
Larry
No, the program I purchased did not come with mentoring or consulting. However, that is a good point, I may be able to go to their website and see if they offer a call in for a fee.
Thanks for the suggestion.
MemphisREI
What you can do is Sell for 10% higher than appraised value with a 2 yr balloon. You then ask for 10% downpayment. From the downpayment, you then pay off the arrears to cure the loan & sit back & receive cashflow & wait for back end profit.
You might consider selling on land contract instead of LO in order to receive a higher downpayment.
Of course the interest rate would be higher on the land contract to receive positive cash flow.
rementor76[ Edited by JohnLocke on Date 04/01/2005 ]
WOW, that is creative! Thank you so much for your post!
MemphisREI
Mboysen,
why do you say it is impossible to do sub to in Northern Ohio. I have seen that from you on serveral post, and was wondering why you say that.
I also might have a deal that I could do subject to. The numbers seem good to me, but would like to hear from others what they think.
House is a 4bed/ 2-1/2 bath, family room/ with fireplace, 2 car garage, nice yard, but need about 15k in repairs.
I have done the research on market value in the area, and most sell between 150-155k.
15k repairs, 113k payoff amt. according to the bank. ( I think this includes the past due and legal fees ), monthly payment 700.00 + taxes and ins.
Do you think this would be a good deal. Payments are 7 months behind. I would LO for 1 year, then flip.
I think you need to consider the following. 1. Check the appreciation rate in the area and see if comp price makes sense. Because 137 to 165 from 2003-2005 is substantial.
2.Did you consider selling cost like commision, closing cost etc. ?
Considering your info, this property is good if you want to buy it and keep it as @700/monthit is 8400 a year on investment of 16800, that is close to 50% not bad as rental property. But for flipping , unless you plan to sell your self there is not much money.
3. If you wish to flip may be you want to talk to banks for short sale.
Good luck
Ashwin,
I was thinking of trying to short sale, because the repairs that are needed are turning would be buyers www.away.I already talked with bank , and sort of made them aware house needs these repairs , and they will have to short it. I have had a contractor give me estimates for the repairs ( the 15k), and rehabbing does not turn me off. I see great potiental in house once repairs are done.
Seller bought house 10 years ago, and paid 107k then. Seller put 40k down at that time, but refinanced a couple years ago for 107k, property was worth 138k at that time ( 3 years ago ), so I think it would be a pretty good deal to Lo or flip ( if I am able to get short sale ).
Want to hear others opions.
Quote:
On 2005-04-01 10:25, rbjj wrote:
Mboysen,
why do you say it is impossible to do sub to in Northern Ohio. I have seen that from you on serveral post, and was wondering why you say that.
To get responses like yours
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Thanks for explaning it to me. Now I know !!!!!!!
No problem fellow buckeye
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I say that I consider this a business and I do this to put a roof over my head and food on the table for my family. If I do not make the payments I wouldnt have a business period. Something like that usually works for people who are worried.
Thanks allot guys, just the answers i was looking for..