I am a newbie and had a question. I have a very motivated seller and I currently lease his property that he’s wants to sell, do to some financial issues. I have done the comps in the area and the value is around 500k-570k. He is not currently in forclosure, so can I attempt to do a short sale due to the fact that he has mentioned that he cannot continue to hold this property. PLEASE HELP.
Skye - not enough info here. Property worth 500-570. How much does he owe on it? How much are you willing to pay?
Whether he is delinquent or not at this point he will have to provide financial information to his lender that convinces them he doesn’t have the means to continue to pay. And the price you are willing to pay has to be “reasonable” given the property condition and value.
He may not want to do owner financing… If he needs out… Just ask for a discount in his equity. Ask for a ridiculous discount. You may never know until you ask. And put it in writing… Because if your offer is the only one on the table, it will look more desirable as time goes along. And remember, Asking is FREE.
:cool hey with a simultaneous close the seller gets cashed out of the whole deal in just a few days :shocked you must not have read my post well or do not understand a simultaneous close deal ??
I work for the 5th largest bank in the country. I work in the Short Sale/Loss Mitigation department. Being that the account isn’t in foreclosure status a Short Sale offer may be tough for the bank to accept. You may want to simply see if the bank would consider doing a Settlement for 90-95%. The profit margin may not be the greatest for you or him but keep in mind a Short sale may call for a deficiency balance due.