I have a potential pre-foreclosure deal looming(my first), and need some advice.
Comps: $185,000
1st mortgage: $138,450
loan reinstatement: $5,500
Repairs: none to rent
If I do a Sub2 deal, I still need to pay the $5,500, right?
Also, how do I do this and pull any equity out, or is the LTV% too low to go after as far as refi is concerned?
Thanks for comments and suggestions!
If your credit is pretty decent, you would have to reinstate the loan depending on how much time you have. Then you would have to find a lender that doesn’t require seasoning to refinance.
Plus you would have to put the deed into your name. But i wouldn’t pull all the equity out if i were you. Unless you have a buyer that you can setup, contract for deed with. Then you should plan on getting a larger enough down payment.
Thanks for information!
When the sub2 deal is closed, and I start making the payments, will the lender receiving checks from me raise a red flag?
Thanks!
No, because you are only going to pay getting a Cashier’s Check with all the Home Owners info in the comment section. No one on earth can tell whether you got the Cashier’s Check or the owner.
That was my concern about me paying on someone else’s loan. Great idea regarding the cashier’s check. Thanks for the advice.
Or you can do the western union quick collect. It cost 12.95 but the payments can be made by you, which means you can deduct the payments thats you make when the property is vacant.