I need some advice. We just recieved our first potential client from an ad we placed.
What I need to know is what are some possible exit strategies for this deal. I haven’t talked to the bank to find out what the actual numbers are. What I wanted to do was to try to do a short sale. But I don’t think the property is in bad enough condition to get a big discount.
I was thinking we could try to do a subject to with the homeowner and then lease option it out. And if the mortgage company would accept a short sale or if it wasn’t big enough, to see if they would let us add the delinquency into the back end of the loan.
Hopefully this isn’t too confusing.
They’ve been delinquent since October. Their payments are 865.00 a month. I’m not sure if they have their escrow in that number or not. So I figure they are about 3500 delinquent. She said she would like to have $4,000 if we bought the house. And I don’t know if that’s a reasonable amount to give. She says her and her husband are on the mortgage. When I called the mortgage company to get fax number, they only mentioned her husband’s name.
Also, She says the loan was for $133,000. She says the house is worth 150 or 160, but when I looked in MLS, most of the comps were between 120 and 140.
Is there anything we can do with this?
How easy is it to lease option?
What forms do we need for subject to?
Will the mortgage add the delinquency into the back of the loan?
One important thing to ask the homeowners…what do they need the money for? What are their plans for the future. Do they have a place to move? Find their pain! They may not be motivated enough yet. I’ve had homeowners still trying to get market value from a home that was scheduled for sale the same month and would not budge.
Keep in mind that lenders won’t allow money to homeowner on a short sale. You can buy contents or their services (to clean of something) but they can’t profit from the deal.
You can try to reinstate the loan and do a lease option, But you need to get the numbers first to verify! Get the payment coupon book, get payoff and reinstatement amounts.