Discount Mortgage Question.. - Posted by Anthony

Posted by Michael Morrongiello on February 23, 2002 at 15:48:42:

There is no need to make this very complicated. The original mortgage holder(s)or Mortgagee’s should sign a payoff letter that states that they will accept $XXX as a full and complete payoff of their Mortgage dated XXX executed by XXXX to XXXX that represents a lien and secures the subject property located at XXX…Have them also agree that upon receipt of funds they will execute the necessary release and satisfaction documents so that the mortgage can be removed of record. NOTE: make sure that ALL parties (Mortgagees) sign this letter payoff letter (not just the Husband, leaving out the wife, etc.)

The Mortgage Note holders may insist on a specific Time Frame for you to deliver them their payoff funds, and that is OK as long as you agree.

Your title company or closing attorney can prepare the needed release documents for the mortgagee’s to sign once they have their funds.

To your success,
Michael Morrongiello

Discount Mortgage Question… - Posted by Anthony

Posted by Anthony on February 23, 2002 at 14:11:06:

About 5 years ago, I bought a property with no money down, 100% owner financed.

The mortgage holder is desperate for some quick cash, and I now have an opportunity to obtain a new mortgage and pay off the seller at a discount.

I am wondering what type of document I need once the mortgage holder agrees to a payoff price? What needs to be included? Is a simple, “I agree to sell this original mortgage at this price” type of thing good enough? If anyone has any advice, or a form they use for this purpose it would be appreciated!!