Posted by Stewart on October 23, 2003 at 16:04:44:
Yes, the $207k is right. I can see why the borrower would take the money (to cover debts and just because they can) but who in their right mind would overlend this much, that is the real question to me. Definite short sale for what I understand and I think a good opportunity if everything is current, so no immediate deadline right now. I am gonna read up here tonight but hoping someone can copy me some links to posts or give me a quick few steps. I have been concentrating on sub2 learning, and I know this is not one
As best as I can see, get the contract for something the bank might go for (start at $70k maybe?) then contact the bank to see if they will consider the short. Of course, you don’t call up souding like a newbie but ask for the package, or the loss mitigation department, etc. Not sure how being in Chap 13 effects anything but clearly evidence the bank might have reason to believe the house will go to foreclosure if I bring it up.
Posted by Stewart on October 23, 2003 at 12:02:40:
Okay, here goes. Have to start somewhere right?
Been doing some advertising and received a couple of calls.
One call, home worth upwards $110K - $130k BUT - $207k loan balance, payments $1,900 PITI (can you say ouch!). Currently in 1st year of Chap 13. They are ready to walk away from the home. They are current on payments and taxes but of course the payment is killing them. They want to rent. Income was about $40k last year (she gets disability of $1,250, which I think is not taxable) and are realistic about their situation. Great area of town. Two story, 3/3 and sounds to be in good shape with several new items in the last 6 years (air, furnace, roof). Home is 20 years old.
So, where do I go from here, if they aren’t behind, but in Chap 13 and ready to give up the house? I plan on going by to see it tomorrow.
Posted by Stewart on October 23, 2003 at 17:33:24:
A little more info for what it is worth. Loan is with Homeside Financial. Homeowner said parent company Fannie Mae? Also, when I call the number she gave me it says Washington Mutual. Loan is a single mortgage, no other loans (need to ask about liens though I guess).