To you seasoned RE investors,
I’ve been told that most banks will not approve a short sale unless the buyer (i.e. an investor) has the proof of funds available to purchase the home. I thought that you could get a purchase contract approved, then assign that to another investor - isn’t that a possibility? Or does it really depend on the bank/lender and their particular policy? Thanks in advance for any help given…
Doug (in Fl)
I have always needed a prequalification letter to submit a short sale package. And be careful. I had one deal tank because the prequal letter showed that the buyer was able to pay far far above what we were offering the bank.
Personally, that didn’t make sense to me, but I was still out of pocket, big time.
Thanks, wheelema. I may have to get my pre-qual letter from my lender and then work on doing a double-closing. That seems to be the best way to go for short sales.
Doug
Even double closings are getting a little tricky. The thing you have to find if you are going to double close is a lender for the end buyer that doesnt require title seasoning.