Short Sale Question - Posted by Wes Murphree

Real Estate Investing
1

Posted by Redline on August 09, 2003 at 01:57:09:

The discounted second is often times enough to make it a deal.

RL

2

Short Sale Question - Posted by Wes Murphree

Posted by Wes Murphree on August 07, 2003 at 21:52:17:

When doing a short sale, what would you need to do if there is a 2nd mortgage on the property? Would you need to negoiate it with the second bank also, or would it be wiped out like in a foreclosure, if the property doesn’t sale high enough?

Thanks,
Wes

3

Re: Short Sale Question - Posted by marc nj

Posted by marc nj on August 08, 2003 at 12:10:59:

Wes try to nego the second first. Then work out a deal on the first. Your profit will be in the seconds discount. The first moetgage usually will not discount if there is a second in place. They figure that all the net proceeds should belong to the first. They also think that if there is a second that the seller has walked with the money, and now they will not be as willing to discount.
Hope this helps.
Marc NJ

4

Good question - Posted by Ben (OH)

Posted by Ben (OH) on August 08, 2003 at 07:44:40:

Short pay does not go to foreclosure unless you purchase the note and take it to foreclosure. As you do the 1st, do the 2nd.

5

Re: Short Sale Question - Posted by Linda (OH)

Posted by Linda (OH) on August 08, 2003 at 18:23:39:

Yes, but if doing it in this order, what if you work out a deal with the second and can’t get the first to do a short sale? Then what?!

6

Re: Good question - Posted by Wes Murphree

Posted by Wes Murphree on August 08, 2003 at 09:19:28:

Thanks, that’s what I needed to know.