Hi all –
OK, I know about a potential deal here in Florida and wanted to get some advice on ‘what to do next’ at my local REI group meeting, as I am new to the foreclosure and short sale process. I spoke with two foreclosure/short sale experts at my meeting tonight, but didn’t have time to engage in an in-depth conversation… so their advice was simply “Just get the deal on paper first – get them to sign it over to you before doing anything else.”
Here’s the deal –
My girlfriend’s parents’ neighbor has abandoned their home and apparently run away to Kentucky. Lis pendens was just filed within last two weeks. Home was bought in June '03 for $89,900, mortgaged for $76,400 with Countrywide on an adjustable rate that, according to my calculations, should be about 10.75% right now after resetting. {ouch} The house is Trashed and needs probably 20k in repairs. I’m guessing that ARV will show to be between 135k and 155k [still need to do a bit more definitive research, as it’s not in a subdivision and not my local market], while the tax assessed value is just 70k.
I have a phone number for the owner’s son and plan to get contact info for the owner, but HOW do I ‘get the deal on paper’ when I call the owner of a trashed, abandoned home? My girlfriend’s parents would like to buy it for 60k, but I think I may be able to get it for less in a short sale, with the condition and the mortgage amount. What do you say to an owner, when they’ve walked out on the home and you don’t know what price you can negotiate with the lender??
Any help is appreciated!!