I have someone that is currently in preforeclosure that called me from the letter that sent him in the mail. HE WANTS MY HELP!!! His house is appraised at about 83,000 and he owes about 63,000. He hasn’t made a payment in about 4-5 months and his monthly payments are a little over $700/month. He is good with the idea of me taking over the payments, but HE NEEDS SOME MONEY, about $5,000. I was thinking of lease optioning the property to get the money necessary to cure the loan, but I won’t have any money to give him? Should I try to negotiate with the bank and try a Short Sale? Does the loan have to be a certain age in order for the bank to work with you on lowering the loan amount? If I can get the bank to put the payments on the end of the loan I could possibly do the lease option. About how much money does the attorney get paid when curing the loan???
HELP!!!
THANKS A LOT!!
WOULD SOMEONE HELP ME PLEASE!!!
get a purchase agreement with this guy and get him to deed the property to you. You are going to buy subject to which means the loan will stay in his name. Order a short sale pkg from his bank and submit an offer.
SuccessWanted,
I have worked as a loss mitigator for a couple major banks over the last six years, and I have never turned down a short sale because of the age of the loan. As long is there is a valid hardship, I am only concerned with keeping the bank from losing any more money than they need to.
Let me take my bank hat off now. As a real estate investor, it sounds like you’re very excited about finding this deal. But remember, every deal you find is not a good deal. I would be very careful about getting into this thing with $8,500 out of my pocket ($700 x 4-5 pmts plus $5000 homeowner is requesting). If you’re already thinking about a shortsale, that must mean there is not much equity in the deal, and no shortsale is guaranteed approval from the bank. Even if you consider getting the deed “subject to” as someone else suggested, you need to think ahead. What will your buyer be willing to pay as a down payment to do a lease option.
That does not leave much of a profit spread, does it?
If this seller is already 4-5 payments down, sounds like they already have one foot out the door. Doesn’t sound like a good deal so far.
Hope this helps.
To Your Success,
Jeremy
http://faircashoffers.com