Posted by BTI on September 12, 2009 at 16:30:42:
Jim
If the bankruptcy is still active I doubt it would be released at 30%. If I were a creditor in that action I would be against it, as a matter of fact I would want to be first in line for a shot at it. And if the stay is lifted as the lender I would start foreclosure seeing as you have money in your pockets, at least more then the current owner.
BTI
Another Short sale question… - Posted by Jim
Posted by Jim on September 12, 2009 at 13:10:41:
I’m looking to take possession of a property and I am pretty confident in being able to have the current owners sign the property over to me. They filed bankruptcy last year and the property is just sitting there empty. I’m having my realtor look into a short sale. Other logistic problems aside for this discussion, would it be in my best interest to have the property assigned to me before the short sale or after the bank decides to market the property? Would they even consider it if I’m on title?
According to Wells Fargo, this property hasn’t even had a foreclosure started on it. I want to get it at 30% but I am afraid that if it goes to market it will be snapped up before I get the chance.
Strategies?
Thanks,
Jim
Re: Another Short sale question… - Posted by Jonathan
Posted by Jonathan on September 15, 2009 at 09:50:50:
First, unless the property comes out of bankruptcy, the
bank will not even discuss a short sale.
Second, not assured what you mean by “assigned” but if
you mean having the property deeded to you, it’s all
about timing. When I have done short sales, I had the
buyer give me the deed but I did not yet record it
until I knew the bank was ready to negotiate a price I
could buy it at.
Depending on where the property is, will depend on the
type of discount you will receive. How did you arrive
at 30%. Is what owed on the property only 30% of FMV or
do you expect the bank to simply accept an offer of 30%
of the mortgage balance?
In this economy, it is always impossible to negotiate a
short sale that makes sense especially if you are
trying to flip it.
Jonathan
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