How would a pending bankrupcy on the seller affect a possible purchase subject to the existing financing in Texas? Is is a deal-breaker, or is it still something to consider? What are the potential snags? Any help would be great, thanks.
I cant help you too much on this one, but I dont think itll be a deal breaker
i just remembered, bring them up to date on their payments, then buy thte house for what they owe, make sure you sign a contract to that first before you bring them up.
It may not be a deal breaker. It may cost more money and take longer . There are several things that can happen depending on what chapter they file. If they want to surrender the property to the trustee in a chapter 7 case there is not much you can do except buy it from the court. In a 13 case there are several things that can happen and it could get complicated. Full disclosure to the court is best you you could be the under the table owner subject 2 even the chapter 13 case. You may not want to do this and decide to wait until the case is dismissed or discharged.