Has anyone done a short sale? - Posted by J

Posted by John Behle on May 11, 2000 at 09:31:43:

The first link is under the section on “Finding Paper” at: http://www.papergame.com/Finding.htm

The second is right below it. The posts aren’t labeled exactly the same way, but I checked and they are the ones I was referring to. The title of the link describes the post better than the title of the post did.

Has anyone done a short sale? - Posted by J

Posted by J on February 16, 2000 at 01:34:52:

I’m trying to figure out if negotiating short sales with the banks prior to the foreclosure sale is going to be worth the effort. It seems like there wouldn’t be much competition, but it also seems there may be a large amount of effort spent on researching and negotiating on deals that the bank wouldn’t discount enough to make the deal work for cash. Any ideals or experience ? Is this worth checking out further? Any good books on how to negotiate with the banks?
Thank You !

Yes - we do short sales, discounted purchases and trades. - Posted by John Behle

Posted by John Behle on February 16, 2000 at 23:32:33:

As was mentioned, this is an ongoing topic and there are a couple posts where I have addressed the strategies and methods of working with sellers and banks in pre-foreclosures. Once the archive search feature was activated I dug up some of the links to these posts that you might find helpful. You can find this link page at www.papergame.com/posts.htm

In particular there are two titled “8 Pre-foreclosure Profit Strategies” and “Discounting Lenders - Negotiations”. Hope that helps.

Here’s my take! - Posted by TCB

Posted by TCB on February 16, 2000 at 20:05:45:

Not sure if it took the first time, will try again. Her it goes.
I have a different thought than others, but I think going after the property while in foreclosure is better.

  1. You have control of when the deal happens, through your contract of sale.
  2. You can negotiate “other” shortfall payoffs with additional creditors (i.e. credit cards, 2nd lien holders, etc.) because the “loan” is still alive.
  3. You do not have to follow the property through a lengthy foreclsoure action. Some states take years with the bankruptcy factor, judicial processes, redemption periods, or verification of sale. Not to mention eviction periods.
  4. Someone else may be working on buying the house while you are sitting there following the foreclosure process. (Ever watch paint dry?)
  5. Finally, banks have loss mitigation specialists who rely on commissions to “resolve” loans in foreclosure. Making a low offer prior to the sale is better because they just might need that last deal for the month!

Take it for what is is worth. IT IS JUST AN OPINION. If someone has a list of the pro’s of “waiting and following”, please enlighten me, and share it!

Re: Has anyone done a short sale? - Posted by Bill Gatten

Posted by Bill Gatten on February 16, 2000 at 19:20:39:

If you’re the buyer, short sales are a “good thing” and worth the effort. If you are the seller…they are “pooey” incarnate and can wedge you up real good for a long time to come.

California is just coming out of it’s short-sale boom and there are thousands of dismayed former owners out there who wish they’d never heard of such a thing. A few have actually gone back and clubbed their Realtors senseless. [For some Realtors it doesn’t take a major clubbing to get to that point]

Bill Gatten

Re: Has anyone done a short sale? - Posted by Chris

Posted by Chris on February 16, 2000 at 05:36:51:

J-

You may want to check the archives for short sale.

It has been discussed a lot lately on the newsgroup.

-Chris

banks are people - Posted by RR Smith

Posted by RR Smith on February 16, 2000 at 05:16:48:

Winning through Intimation by W
Closing the Sale by Zig Ziglar
Let it go into legal foreclosure but track it and prepare your offer, you have very little to loose that way.

Could not find the links you referenced - Posted by Monique

Posted by Monique on May 11, 2000 at 09:12:48:

John,

I was searching for info on negotiating short sales and ran across your post from February 16 on the topic. You reference two links:

  • “8 Pre-foreclosure Profit Strategies”
  • “Discounting Lenders - Negotiations”

I looked for these on at www.papergame.com/posts.htm, and could not find them. I also searched for these at both the main news group and the cash flow group here at CRE Online – still with no luck.

Can you point me in the right direction? I’ve got a motivated seller that I need to call back. This info will be key to structuring the deal.

Thanks, in advance!
Monique

ps: Looking forward to the Boot Camp in July!