Posted by Cosette Austin on August 07, 2003 at 19:23:31:
If you don’t want a new loan and to do it as a purchase the thing to do would be to give her the 2k and have her quitclaim the deed. Get a power of attorney and an Authorization from the owner to speak on their behalf for the loan and ask the bank if they will tack the arrearages on to the back of the loan. There’s a term for that but I can’t remember what it is (reorganize I beleive). You can speak to the bank about a payment arrangement to make the current payment plus a portion of the arrearages to get it the loan current again.
My only concern would be 1.don’t take the owner’s word for the value. Call a local appraiser and ask them if they can give you a comp for the value of the property.
Then is it worth it? The propery is only 90% LTV after the arrearages are paid is it worth it? Can you find a renter to pay the mortgage and at least break even?
Prosphon Properties, LLC