Veterans, Please Advise ... How Can I Make This Deal Happen??
Foreclosure sale by a homeowners association this Thurs, 8/14 ... the association is foreclosing on a final judgment in the amount of $3,920.
Seller is DESPERATE and will take what is owed to save herself. Foreclosure by the mortgage company is being "threatened" at this time as well, if $8,600 is not paid to bring the loan of $145,000 current. Seller has given me written authorization to negotiate (if possible) with the h.o. assoc. and the lender.
Property taxes were not escrowed when seller refinanced, so she also owes $2,600 to the County for back taxes.
FMV for the house (3 years old) is $160-$165k ... fully upgraded property and no repairs needed at all. No liens other than what seller faces above.
Obviously not a lot of equity in the deal right now, but I'm wondering if this would be a candidate for subject to (maybe even lease option or short sale). I live in the same area, and I know these properties sell like hotcakes b/c of its location and steadily increasing value.
I have been reading this site for weeks, trying to get a handle on all the creative options ... but it's deciphering the application of all the various schemes to a given scenario that has been giving me some difficulty. I'd greatly appreciate any feedback/insight I can get on this.
Thanks so much, Camille.
With only 8,800 in profit a short sale or lease to own is definitely the way to go. When you advertise make sure that you are asking for enough of a down payment to cover all of your immediate bills. Also if you havent already, you may want to try the following.
Negotiate the home owners, negotiate the first loan, get a second loan to pay off all the bills, refinance and rent or lease out, File with the mortgage insurance for a payment or two, Sell some assets of the owners, etc.
Good Luck,
Kyle