Posted by mortgageinsider on January 14, 2004 at 01:00:15:
Yep! You messed up but all is not lost! When I started “loss mitigation aquistion”…hey that makes you sound real important if someone at a party asks you what you do for a living…say "I’m in loss mitigation and aquisitions for the nations leading banking institutions…chicks will dig that …anyway, you must call around to different title companies and find which ones will do simo’s or double closings…some won’t some will, but a true double will never disclose the HUD from closing the parties of the other closing and visa versa. By the way ALWAys close your sell side first, then your buy side…what if you close yours and then your buyer never shows? Oops…cover yourself, close your buyer first. So find a title company that does doubles, take your acceptance letter from the bank on the short payoff, your buy contract and open a file at the new title company…have them do a HUD for closing and fax it to the bank showing them now as the title company and closing agent (do yourself a favor and review it before it gets faxed to the bank. Many mistakes will be caught…don’t look like a neophite in the eyes of the bank.) I doubt they will even notice…the bank doesn’t really care…they want their money…if they ask why the switch, (they won’t) tell them your title company is cheaper, closer to your home whatever…by the way, find out who the “account rep” is for your new title company and discuss what you are doing with him…everyone is so secretive in this business, like they are perverts or something…be proud…short sellers help troubled homeowners, help the bank, help themselves…win.win.win is great!..these guys know a lot…and I mean ALOT of real estate people and can be very helpful finding new deals…introductions to “like minded” agents etc. The title company is your friend…or at they should be. I have had luck with title companies that fall under the Attorney’s Title Group…this is the parent underwriting company, but the offices are owned by independent attorney’s who love title. They have more courage, because they know the risks or non-risks I should say when a double closing is handled propertly which is more up to them than you. As you have probably heard here before get disclosure from the sellers that says they realize you will make money buying their house, they may incur a tax liability selling to you and try to get the lender to hold the sellers harmless from a defecency(sp?) judgement, but you can’t guarantee it. With these disclosures, the seller, title company or anybody else can’t fault or stop your deals. Good Luck. By the way…we all make mistakes…and as far a real estate mistakes go this hardly ever qualifies.