Home › Forums › General › Deal Makers -Ground Partner Request – Investor Needs – EHT Opportunities › can anyone who has knowledge of short sales answer?
July 22, 2007 at 11:52 am #3695
1) Take over payment subject to
2)negotiate with bank to short the mortgage
3) Leave financing in place & put into a trust.
Wishful thinking I know, but maybe some of the experts could give recommendations.
thanks in advance.July 22, 2007 at 11:12 pm #22021
alan dale grossMember
The closest thing, to what you’re trying, may be what I’d called a Short Sale Hybrid, previously.
Rather than “1) Take over payment subject to”, you are asking the bank to Reinstate the Seller’s Loan, or really you’re asking for the Reinstatement Amount and Bringing it to them, to stop the Foreclosure Proceeding, in addition to the Following:
Rather than: “2) negotiate with bank to short the mortgage”, you would, while attempting to get the Reinstatement- Send them any Portion of your Short Sale Package that they could use to Justify to themselves, that ‘You Being a Nice Person and All, Aren’t Looking to ‘Short them = Jack them Around = JEW’.
All you need is for them to have you kick in the Back Payments and you’ll be guaranteeing the Seller’s Payments on their Loan ( that’s Remaining in Place ) However, those Extra Penalty Charges and Fees ‘Don’t Work for You.’
Is that the Best they can do ?
Can they get those off of the Reinstatement Amount, so they can get it back performing and not have to SHORT IT = Far Far More Loss, for them.
Then, “3) Leave financing in place & put into a trust.”
That is Still a Subject-To/ Short (any extra fees or back payments, that they can eliminate is Still a Short )/ Trust Transaction – Combination.
And, there is the Need for the Funds to Reinstate/ Ability to Get some of that Amount Reduced, somehow and then, the Trust Costs, etc.
Having an RB right quick for however much of this Cash they can bring is what you want and may be the deciding factor, as you look into it, whether to stay or Walk.
Other Folks may have a different take and you may have more questions.
Do all the ‘Wishful thinking’ you want.
Before Bill ( BB) Whoever even heard of any ‘Subject-to’ without DOS violation or anything else that “works”, without having to Hope and Pray, While Flying Under the Radar, Flylady ?
Thanks, Alan GrossJuly 23, 2007 at 5:16 am #22022
wow! Great answer! Thanks.July 24, 2007 at 12:29 pm #22023
alan dale grossMember
Why do yo call it a Short Hybrid, instead of a Bailout Hybrid ?
It is a Bailout Hybrid.
I just wouldn’t want you to forget what to do with the Second and other Liens.
The Second sees their position about to be wiped out and may take pennies on the dollar, in a Short, to get More than Nothing, if they aren’t the one’s Foreclosing and they don’t want to bid.
This helps your deal have an Added Equity Created, that may not have been there, otherwise.
Then, without the Payment on the Second, doesn’t your Cash Flow Increase ?
Sure, why not ?
And same with any other Liens, except Taxes, which could be shorted, maybe, if you had time for them to drag their feet, which you don’t.
So, it’s a Bailout Hybrid, that you Remember to Short Anything Shortable.
wow. Very Good Questions ! Thank you, for Thanking me ! 8)
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