I hope you all are doing great! I am seeking a little advice. I recently came in contact with a new client. The house has termite damage that needs to fixed. The interior needs to minor repair work to be rent ready or ready for sale. The client has home that was built in 2000, it has 3 bedrooms and 2 bath and 1,343 Sq.Ft. I performed research and obtained information about the loan balance and payments.
After speaking with the client, it was discovered that the mortgage is three months late. The client bought the home January 2006. There are currently two loans against the property totaling $115K. The first has just increased and is has a balloon. The current retail value is $60K.
I came up with three options to solve the clients problem. Option one was a short sale. Option 2 was a Subject 2.
Based on the information I have provided, can some one provide me with a little insight. I would like to know if I am heading in the right track? Are there any other creative solutions for my client? Should I just tell the client to let the property foreclose?
Looking forward to your comments.