Posted by Stacy (AZ) on February 09, 2001 at 09:55:09:
Jim, send me the name of the owner and address, and I’ll look into it. This is normally an area I don’t like to get into (gangs), but I’ll take a look.
Stacy
House is (3) payments behind - Posted by Jim
Posted by Jim on February 07, 2001 at 20:18:19:
It also needs work. Seller wants out bad! She’s practically begging me to solve her problem, She doesn’t want to have a foreclosure on her credit.
Do I:
-
Take it “Subject To” (With an agreement) or (Without an agreement)
-
Just get the Deed (Without any agreement) and record it only after finding a buyer…
Of course I would get all of the other docs signed “CYA” especially!
Also, in cases where the mortgage is in arrears and we take “subject to” should we still have the seller put the house in a land trust with them as beneficiary? (Where would this make sense)? or…
Would we only do this after we were able to find a buyer?
This is a cloudy area…
Jim
Re: Promises - Posted by Stacy (AZ)
Posted by Stacy (AZ) on February 08, 2001 at 11:02:04:
Jim, please be careful of making promises or tying-up a person’s property that is facing foreclosure. If you are not absolutely sure that you are going to keep the house from going to foreclosure, you may be harming this seller.
The only reason I mention this is that your statement, “Would we only do this after we were able to find a buyer?” leads me to believe you do not intend to use your own money, if necessary, to bring the loan current if you couldn’t flip it quickly enough. I may be misunderstanding, since there isn’t a whole lot to go on in your post.
A person facing foreclosure has precious little time to find an answer to their problem. If they sign a sales contract with you, and/or deed their property to you, and you end-up not being able to flip their home, you have taken away this time that they could have used to find someone else to solve their problem.
So, if you are not planning to do whatever it takes to keep this home out of foreclosure, including bringing the loan current with your own money, if you have to, then you should, at most, get an option to sell the property, allowing the seller to pursue other remedies before the foreclosure occurs.
Stacy
Re: House is (3) payments behind - Posted by dewCO
Posted by dewCO on February 08, 2001 at 09:41:35:
Jim, Ye sto all you wrote. 1 and 2 are basically the same. Do a written agreement, it’s part of CYA so she has less leverage to say later that she didn’t understand what she was doing.
The other response was good too. Is thee money in this deal? Just because someone wants out doesn’t mean instant $$$ depends on value and how many liens on property and it’s condition.
Yes have seller put in a land trust, it’s just another couple of pieces of paper to sign, and should help in overcoming seasoning objection if you flip it.
If you’re worried about finding a buyer (deal is a little skinny or need to flip quickly, for instance) try tieing it up with an option and go find the buyer, then do all the rest of the paperwork for the deal.
Re: House is (3) payments behind - Posted by Redline
Posted by Redline on February 07, 2001 at 22:11:10:
I will leave the method to one of the “pro’s” but I do have some questions you should be asking:
- What’s the house worth in it’s present value?
- Does it need work? How much $$ work?
- What’s the house worth AFTER the work is done?
- Does the (house value - all costs - back payments) = profit?
RL
Satcy! (Maybe you want this one) - Posted by Jim
Posted by Jim on February 08, 2001 at 22:30:47:
Hey Stacy.
This is one that I’m really not that enthused with, maybe you would have an interest in taking this one. The lady is 3 payments behind and is also 2 years behind on property taxes!
I’m really not that hot and heavy into pre-foreclosures that need work but maybe you can work something out with it.
The house is off of 83rd Ave & Camelback.
Let me know if you want to get together on this one.
Jim