Short Sale Financing
hello everyone.
The Property that i am purchasing is a short sale. The first belongs to bank of america at 1.2 and the second to national city for abt 300k. As far as financing goes. Would it help the process to get the mortgage thru bank of america? I think that they would welcome a chance to move the loan from the bad part of their books to the good part of their books. Does anyone have any advice in regards to this? I have tried calling some generic mortgage numbers at BoA and I am not really getting anywhere. Is there a speical department I should call?
Otherwise, I have a preapproval already from 5/3.
thanks comments would be appreciated.
loss mitigation
special assets
the legal department.
The B of A Loss Mitigation Ph # is 800-846-2222. The fax # is 716-635-7255 good luck getting through.
Be awarre that the people in the loss mitigation and special assets depts are very hard to get a hold of.
I guess my main point was.... would it be better to try to obtain financing thru the insitution that is going to be approving the short sale? or would there be a conflict of interest there as they would be able to see the buyers financial position while approving their loan?
The first is with BoA and the second is with National City. I was trying to get the loan from 5/3 and they curiously asked me had I considered asking BoA for the loan.... so i began wondering.
I called BoA regular mortgage pple and they were absoutely no help btw... lol
surprised?
thanks
Makes zero difference.
Quote:
On 2009-01-27 12:59, realjoyestate wrote:
I guess my main point was.... would it be better to try to obtain financing thru the insitution that is going to be approving the short sale? or would there be a conflict of interest there as they would be able to see the buyers financial position while approving their loan?
The first is with BoA and the second is with National City. I was trying to get the loan from 5/3 and they curiously asked me had I considered asking BoA for the loan.... so i began wondering.
I called BoA regular mortgage pple and they were absoutely no help btw... lol
surprised?
thanks
As a general rule no. B of A (or any lender with a non-performing asset) would rather have it gone completely.
FYI
CountryWide directs its Richmond REO agents to include within MLS listings a requirement for a CountryWide pre-qual to be included with all offers.
I have no idea if they want just a financial leg-up or if they are trying to get the loan.
Jim
FHA does 97% loans.
yea but FHA doesnt loan over 700k I need 90LTv for a 980k loan
What is the proper ettiquette when shopping for loans. My guess is that it would not be wise to let the prospective lenders know that there is possible other lenders. And as far as the commitment goes, it is only after the lender issues a commitment that we can lock a rate right?
So, lets say that the lender issued the commitment and the interest rate isnt what was originally stated in the pre=approval? has anyone experienced this?
Will other lenders know that the loan is being shopped?
thanks
j
as it states in my profile. IL
thanks
I would list it or seek other investors, and look out for your est interest.
Any ideas?
Most of these pre-construction deals have negative equity in the current marketplace.
It is very tough to "compete" against the developer with a full blown marketing team to sell the units.
I think your best bet would be to ask the developer if you can get out of one contract and roll what you have paid into the second one.
The "equity" which you are speaking of is phantom equity in a project that is not yet completed.
If you purchased for personal use, then your focuse should be on getting what you paid for the second unit into the first because there is no equity to draw any sort of financing from.
but if you could find a buy (sit outside the sales office a stalc buyer?) I would check the language on assignment or options.
This would be to leverage the 2 props you have.
As for the new units, I would be very leary of this given the softness in the economy.
This "phantom equity" is what got A LOT of preconstruction project in trouble in AZ and FL.[ Edited by cjmazur on Date 12/29/2008 ]
in the caribbean you need to be VERY careful about contracts. Most contracts are not assignable and deposits are HARD deposits. I did some consulting for realtors in the Dominican Republic, but it is basically the same in most of the islands, so you need to make sure you understand what you actually did. And prices are iffy too, because everyone operates on the bigger fool theory. People will pay 120k now because the see the properties were selling for 90k a few months ago and they want the same return on investment. Problem is at the end somebody has to pay the piper, and it can get out of control. I have seen many a developer with an empty building but full pockets from all the deposits they kept on people who could not close the deal. The prevailing wisdom in most caribbean islands is, if it does not sell, raise the price again because you need to really make it up on the people who do buy while disoriented. That is not to say there are not good deals to be found, but in your instance, unless you have a very very very nice developer who will cut you all the breaks, or a contract that states you can just say nevermind and they will give you the money, or allow you to flip your contract, not likely. They will let you default on your payment schedule, and then just resell it to the next tourist at a higher price and higher down payment.
Read your contract. See what your options are. Then come back and ask more questions.
According to the Forum Rules...
Art Of The Deal
The goal in this Forum is to make specific transactions happen, i.e. to close deals. It is not to advertise the kind of things you do or the kinds of services you provide.
Therefore all posts must be about a specific deal. We would appreciate it, if upon conclusion of the transaction you would make a closing post saying that the opportunity is no longer available.
Specific Transactions is the key here, not Board Hustling by looking for Partnerships or Partners without specifying the deal a person has.
If everyone was allowed to advertise for partners just because they post at TCI, we might as well invite LUFOS back and I sure at least two of us posting in this thread remember him.
John $Cash$ Locke
[addsig]
I thought that was "deals in progress"?
I think all 3 of us are old enough to remember BBSes and chat rooms, and the legacy of past members.
If there is no way to interact, I feel that the board looses it value. This is particularly true for me w/ a disability (arthritis) that affects my hands (ergo, my typing style which ypochris politely commented on).
[ Edited by cjmazur on Date 03/02/2009 ]
cjmazur,
I stand corrected, although whether it is Art of the Deal or any other forum, you cannot post for Partners.
I have said many time if your posting is accurate and helps others they will contact you because of your knowledge.
Your last part of your message is also a violation of the Forum Rules:
ARGUMENTATIVE TCI forums are positive and encouraging. Forum posts* with or without the use of profane language that are bashing, accusatory, name-calling or argumentative in nature, or demonstrate a lack of basic courtesy and respect for another member. *NOTE: this includes material in your "signature".
Now figure out when you do this to a Moderator what can happen.
John $Cash$ Locke
TCI Moderator
[addsig]