Lender Written DOS Waiver - Posted by Andre_DC

Real Estate Investing Real Estate Financing
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Posted by Andre_DC on March 14, 2002 at 19:19:38:

Hi Michael,

Thank you for the information. I really appreciate your assistance.

Do you have any experience on how willing lenders typically are to execute such a formal modification agreement? What factors do lenders base this decision on?

Also, do you know of any specifc lenders that are “wrap-friendly”?

Thanks again for your help,
Andre

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Lender Written DOS Waiver - Posted by Andre_DC

Posted by Andre_DC on March 13, 2002 at 23:53:29:

Hello,

When browsing through the messages on this board, sometimes people mention lender written waivers to get around the due on sale clause.

I was wondering how exactly one goes about to get such a lender written DOS waiver. And how easy/difficult is it to get one? Are lenders usually open to that? Is there a form lenders have that one needs to fill out?

I am trying to wrap houses and would rather have a clean DOS clause waiver from the lender as opposed to resorting to other methods that are sometimes suggested by gurus and that are, at least in my opinion, rather questionable.

Thank you for your comments,
Andre

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One way through Modification - Posted by Michael Morrongiello1

Posted by Michael Morrongiello1 on March 14, 2002 at 18:19:09:

Andre:
You can suggest to the lender that you are going to protect their interest when you “wrap” their loan. One way to get the infamous “DOS” Due on sale clause removed is to have the lender execute a formal modificaton agreement of the Mortgage (or Trust deed) that removes the restrictions on the sale of the property. This can then be recorded or kept in your loan file.

Michael Morrongiello