I just came across a property that is part of an estate with a 30 day late already. The people who are handling the estate are trying to sell at FMV but will never recieve the price in order to cover the existing 1st lien 95k closing costs and recoup expenses they have incurred since handling the estate, total already invested is 3-4k. If the bank forecloses on the property, the bank will be in for a HUGE surprise because they might get 40-50k( could be less) if it goes to auction, the house is in terrible shape. What should I do? This could be my first short sale and thier is potential for a decent return. Please advise!! What should I do?
Is it a professional handling the estate, or a family member?
They have an estate attorney, but I’ve been speaking with the executor of the will.
Get an authorization letter signed by the executor or anyone else who has legal ability to grant you permission to access the mortgage information with the lenders. You may also need documentation showing the legitimacy of the executors position.
After that it sounds as though it would go through the standard short sale motions. IMO the lender may even be more willing to accept because it is an estate, providing the property is as you say, “…the house is in terrible shape.”