Fellow called with a condominimum. Here are the over the phone facts:
- 1st Mortgage $497,000 at 8% with $3,700 PITI
- 2nd mort- $30,000 with $290 payments
- Six payments behind on first ($22,200)
- Behind on 2nd- though not sure how many (say 6)
- Has not paid 2004 taxes ($6,700)
- ARV = $625,000
- $310 per month condo fees (probably 6 behind)
Let’s say he has total of $559,500 in debt.
Our plan- GET THE DEED! #1- going today to see property
#2 - short sale package for 1st mortgage
#3 - negotiate the 2nd down to $3000 or less.
Ok, how does this look so far? Anything we have missed?
Our exit if the short sale does not happens seems solid with a straight sale- even if we caught up all the arrears- we are still looking at a potential $50,000+ profit.
What does everyone think? As always thank you so much for any feedback. These forums are great!