Posted by Ed Garcia on January 15, 2001 at 16:19:42:
Paul,
I’m at a disadvantage because I don’t know your market place. I can tell you that common sense dictates that if the market is tight or faltering, they may consider a short sale type of offer. On the other hand if it isn’t, then they will contact a recommended realtor in the area and test the market. That’s my opinion,
Ed Garcia
Creative Financing help? - Posted by Paul in BR
Posted by Paul in BR on January 15, 2001 at 08:52:29:
Hello,
I am looking at a pre-foreclosure whose owners just want out, and the mortgage company wants an offer for the judgement. I have done an abstract, which is clean, so taking the property out of foreclosure is not a risk (after getting the judgement and the title).
The foreclosing mortgage company company does not originate loans, so me getting a new one out of them is not going to work. The home can be had for $45K-$50 cash, and will resell for $70K-$75K with $2K work (only needs sliding glass and rear entry doors). Other than that, the home is in great shape.
I do not want to do regular financing because of the closing costs involved.
Any creative ideas to get the money on this one?
Regards,
Paul Tittle
Re: Creative Financing help? - Posted by Ed Garcia
Posted by Ed Garcia on January 15, 2001 at 10:58:17:
Paul,
The obvious thing to do is to have the seller QUITCLAIM the property over to you, and take the property out of foreclosure as you have stated. Once you’ve cured the first, they shouldn’t give you any trouble allowing you time to fix up, and market the house.
In the event a due on sale clause has been triggered and the mortgage co. starts to send you notices and threats. Just continue to make your payments buying yourself time to sell the house. I’m assuming the property should sell in 90 days. You shouldn’t have any trouble in stalling the deal. We both know that putting new financing on the house is an option that is always there, but I agree with you, if you’re going to resell it anyway, why refinance it.
Ed Garcia
Re: Creative Financing help? - Posted by Paul in BR
Posted by Paul in BR on January 15, 2001 at 15:02:36:
There is a problem with bringing the house out of foreclosure. It would take about $8000, bringing the cost of the house to around $58K, which is more than I want to spend. This is why I want to present an offer of around $45K-$48K.
What I am looking for are some creative ideas to present to the lender, in order for them to give/assign the existing financing to me without much expense. They are open to offers at this time, and they have expressed to me that they would look at all offers presented. What are my chances of offering the $45K-$48K, having them discount the existing loan, and assuming it? Or should I just look for another deal?
Paul Tittle