Bill, thank you so much for your response, I am located in Oregon, and although I have been doing Short Sales for over 4-years, and in real estate for about 20, most local Title companies will no longer allow simetaneous closes, and my biggest problem is if the lender comes back with a price too high for my investors, my real estate agent cancels escrow, and sells the property to an end Buyer, and I kicked out of the deal, even though I brought it to the table!So once the property is deeded to me, although the Short Sale has not been completed yet, but submitted, and once approved, I go to sell it to a new Buyer, a simitaneous close for example, how do I get sale proceeds? Won’t the lender look at that off the HUD-1 on the new transaction as if I am getting proceeds, which is not permitted? And secondly, will not the lender deny the Short Sale if they know there has been a transfer of Title? For example when they receive the HUD-1 identifying the Seller, that does not match with who is on the loan?
Question for Bill Bronchick - Posted by Glen Kilgore
Posted by Glen Kilgore on June 22, 2008 at 10:32:45:
Can I have a an owner deed the property to me that is in foreclosure and still do a Short Sale on the property now that I am on Title? My confusion comes from knowing the Seller can not receive proceeds from a Short Sale. Also, if I have the owner deed me the property, and I am waiting to get a Short Sale accepted, can I market the property to an end Buyer in the event the Short Sale is accepted? Any suggestions would be really helpful, thank you.
Re: Question for Bill Bronchick - Posted by eben47
Posted by eben47 on December 14, 2008 at 17:55:47:
Hi Bill, I’m kind of curious about this post. I’m a real estate agent in MA and I was under the impression that once a bank formally forecloses on a property, they’re beyond negotiating with the former homeowner. After all, the bank will be listed in public record as owning the property- the Registry of Deeds will say that the homeowner ‘sold’ it back to the bank for x amount of money, so why would the bank negotiate with the homeowner at that point… Not criticizing, just curious about your understanding of the foreclosure process.
Also Bill, thank you for your awesome article on simetaneous closes being mislabeld as illegal, and not lender fraud! I was so excited when I found that, that I printed it and gave a copy to my escrow closing officer, who now cannot do them because their legal department will not allow it. Mind you, that was huge for my company, we average 20-30 properties per year, many using the simetaneous close to investors. So now we are really scatching our heads trying to find a solution that everyone can live with. When it comes to Land Trusts, it is no better in Oregon. I have yet to find a local attorney, including ours, who wants to touch them due to a lack of understanding and what they feel as duping the lender! Any suggestions on that subject while we are at it? I am at a total loss here. That was the purpose of my question to you in regards to deeding a property and a Short Sale.