POST FORECLOSURE SELLER WANTS HELP - Posted by Bob
Posted by Bob on March 16, 2001 at 18:45:32:
I am a relative newbie in RE and need your help with how to approach the sellers situation. He called on my ad in the paper.
I only briefly talked to the seller. He has been in his house for 5 years and made a downpayment of $30K when he bought it. It was appraised for $141K two years ago. The bank foreclosed and according to him the process is complete and the bank owns the house but is giving him a chance to buy it back or find a buyer. The bank will sell it for about $93K which was his loan balance. He says he has until next Tuesday to do this. The house is 5BR, 2BA, 3 car garage, two decks, and a finished basement, and in good condition.
He has $20K in cash but does’nt think he can get a loan to buy it after the foreclosure. He wants me to buy the house
and lease it back to him for 2 years at which time he will buy it from me.
Since he is no longer the owner would’nd I be negotiating to buy directly with the bank but I also need him to give me the informtion. I have not looked at the house or done any due dilligence yet.
Please help with your suggestions on how to proceed with this deal and what points to be carefull with.