Posted by John Behle on May 24, 1999 at 18:51:52:
My goal is to get to know the lender face to face. He may want to avoid taking the time, so lunch is an option or actually putting together an offer and presenting it personally. If this deal doesn’t fly, he may have others or be more open the next time. I like the face to face, it works for me.
If he resists, then go ahead an fax an offer that works for you. Make sure you build in plenty of “Wiggle room”. Don’t start with your best offer. He may counter or sometimes they accept it right on the spot.
We had a lender accept our bid of $850k on a 1.7 mil note without even flinching. He admitted a few years later that he would have taken 750k. That’s an extra 100k that could have been made by just having the guts to start lower.
Lender responded, Now What? - Posted by Troy M
Posted by Troy M on May 24, 1999 at 15:09:53:
Hello all,
Got another question on getting a lender to discount. I got the contact info from a woman who is in preforeclosure. I called this morning and reached the lending officer’s answering machine, left a message with him that I was interested in purchasing a mortgage they hold which is currently in default. His response (on my answering machine) was that they normally don’t sell mortgages on an individual basis, but if I fax him a request (including the loan # and borrowers authorization to release loan info) he’ll be “happy to respond.”
This is a new approach for me, but from his response, my gut tells me they may be willing to discount, IF I handle it right. My question, “Should I just fax them an offer or should I attempt to discuss/negotiate more over the phone?” (so far, we’ve just exchanged messages via answering machines) How does one go about making an offer to purchase a mortgage? I have a competent lawyer who can draw up the paperwork if necessary, but any suggestions/help would be greatly appreciated.
TIA
Troy