Some lenders will sell the note, some won’t. You have to get the
right department at the lender to even try to buy the note. Try the
foreclosure dept. or Special Assets Dept. I have heard it
recommended to have your attorney make the contact, saying that
his “client is interested in acquiring the note if an acceptable
agreement could be reached.” Gives you credibility with the
lender, they may assume the client (you) is a big player.
You can get by on this one with not too much of a discount.
Lender may not see a reason to discount, given the equity. You
would then have to foreclose on the note and hope no one bids
the house away from you… or, buy the note, then pay the seller
for a deed.
Any jr. liens? You could buy one of those and foreclose from
there, but that’s a whole other story.
Owner wont cooperate, what to do?? - Posted by J.Slater PA
Posted by J.Slater PA on April 12, 2004 at 16:44:17:
This is the deal, found a great house that had notice of Sheriffs sale. Called and found out that owner filed bankruptcy to stall. Talked to neighbor, owner moved back to Quebec and I got his # and called him.
I wanted to Short sale the deal. Owner didnt want to talk about it. Said he was going to let the house go to Auction and he wouldnt tell me anything about the loan, which chapter of bankruptcy or anything.’
Is there someway I can find out which bank owns the note and discount it and still get the deed before the auction?
Any advice would be great.
You should be able to get that info from the tax assessor’s office in the area where the place is located. Tax collectors routinely notify the primary note holder when taxes are due and especially if they are overdue so they know who the lender is.
Posted by Randy (SD) on April 12, 2004 at 17:55:56:
Have you considered what might motivate him to work with you? Sounds like he’s cutting of his nose to spite his face - he’s going to show that #@#%# Bank who’s boss, since he has already shot you down, have someone else call him and offer him cash - NET to him.
Don’t ask him about the BK or anything, just authorization to release info and “what’s in it for him”!
With an uncoperative owner you cant do a short sale. The first thing the bank wants/needs to start negotiating with you on someone elses mortgage is an Authorization to Discuss/Release Loan Form signed by the mortgage holder. If you cant get the owner to sign such a beast you better move on to the next one.
Re: Owner wont cooperate, what to do?? - Posted by J.Slater PA
Posted by J.Slater PA on April 12, 2004 at 21:31:05:
Why couldnt I just contact the bank and ask them to discount the Note to me. He owes the bank $112,000 (it was on the sheriffs notice) and comps in the area are about $150,000 If I can get them to discount the note to me around 70-80K I could make it work. I thought you could buy the note from the bank without the owners assistance?