Hi all –
From reading various posts on this board, it appears that my situation is somewhat unusual.
I am interested in acquiring a certain house as my primary residence. When my realtor talked to the seller (another realtor) she discovered that the seller is way upside down on the property, and she is headed into foreclosure. The payoff on her first mortgage is 5-10% above what I beleive to be the FMV of the house (though comps are scarce), and she has a second that adds another 10-15%. Long story short, the total payoff is at least 15-25% above what the house is worth.
I am not trying to flip it and score a big profit; I just want to buy a house I like at a reasonable price. The house is in good shape, but needs major landscaping (entire backyard is cement) and is on a fairly busy street. To the extent it matters, it is a higher end property than most of the investment properties being discussed here. Any advice as to how to convince the lender(s) that this would be a good deal for them to approve a short sale?
Much obliged.