Posted by Bill Bronchick on May 12, 2004 at 12:09:54:
Nice idea, but good luck getting the lender to agree. Even so, if the seller defaults on the underlying obligation, ALL properties, including yours, will be foreclosed.
Mr. Bronchick…Contract for Deed continued… - Posted by Kevin(TulsaOK)
Posted by Kevin(TulsaOK) on May 11, 2004 at 13:02:31:
Please see this link for previous post(404).
No local lawyer will touch this deal unless this house is released from the blanket line of credit. Actually, the owner said that this is a letter of credit that he has tied to other assets, namely two lumber yards. We are trying to come up with another way to complete this transaction. Something that allows us to release this property using another form of collateral. The Contract for Deed Document? A note? The seller thinks that the lender may go for it if he co-signs on the note. What do you think? Any other suggestions? Thanks again!
Kevin(TulsaOK)
Re: Mr. Bronchick…Contract for Deed continued - Posted by William Bronchick
Posted by William Bronchick on May 12, 2004 at 08:57:36:
I would agree with the lawyers…
Unless he could get this property released from the blanket LOC, I wouldn’t do it. Too much risk of his non-performance.
Re: Mr. Bronchick…Contract for Deed continued - Posted by Kevin(TulsaOK)
Posted by Kevin(TulsaOK) on May 12, 2004 at 12:02:00:
OK…We have a new idea to make this deal go through. Have the lender sign the Contract for Deed as well as the sellers, and include in the CFD that the lender will release the property upon performance by the buyer. Is this a viable option? Thanks again for your help!
Kevin(TulsaOK)
Re: Mr. Bronchick…Contract for Deed continued - Posted by Kevin(TulsaOK)
Posted by Kevin(TulsaOK) on May 12, 2004 at 09:11:03:
Thanks again.
I hope we can work this deal out. The sellers have 17 properties that they want to carry paper on. They are tired of the “toilet” business and want to concentrate on the lumber yards and building new homes. In other words, this is a gold mine, I just have to figure out a way to get the gold out. Any other suggestions would be much appreciated. Take care!
Kevin(TulsaOK)