Have P&S, But No Deed, Seller Might Back Out
We've successfully negotiated a short sale and for some reason, the seller is stalling and being hesitant. The only thing we had them sign was a purchase and sale agreement. We should have gotten a deed signed at the same time but didn't.
The sellers will have 25k+ worth of deficiency judgments because of the short sale. The sellers are thinking of filing backruptcy. At this time, we're trying to contact the seller in order for them to sign the deed over, and get this deal finalized. So far, they've been avoiding us. They're confused and stuck and just sticking their heads in the sand.
What are some of our options at this point? File a lawsuit?
This had happened to me a couple of times.
I help people out and personally, I'm not interested in helping someone out that gives me problems. They just don't deserve my help. Let them file bankruptcy and ruin their credit. It's their choice!
You could try to sue, but is it really worth the headache, time and money?
Or would it be easier to just walk away and concentrate on finding another deal with someone that deserves your help?
Mrs. Meltzer
thanks for the reply, Mrs. Meltzer.
things came together... we're closing on the deal. the seller came through. Lesson learned: at the initial meeting, get the deed.
best,
Tony
mcmoxie,
would you like to share in general terms, how do you get hold of short sales clients.
Thx
QM
I'm glad your deal has finally started to come together it's always nice to hear. Next time, you may want to try and work on the lender waive rights to a deficiency judgement and have the offer they accepted as "payment in full with no further recourse" type of thing...it doesn't hurt to ask and I've heard that most lenders will simply add it in if you just ASK...lol. But I definitely wish the best for all parties involved...win/win/win
Good luck on the future endeavors and much success,
Teli
A good practice on equity buyouts (maybe not short sales, but you could offer some other compensation) is a 40/60 incentive plan...40% of the incentive for signing the Equity Purchase Agreement, and 60% upon recording the deed. $5000 to move, $2000 now, $3000 in 5 days when the deed comes across.
Maybe you could apply this to short sale incentives?
McMoxie!
You closed the deal!
YAY!
GREAT JOB!
Mrs. Meltzer
Quote:
would you like to share in general terms, how do you get hold of short sales clients.
Thx
repeated direct mailings to preforeclosures, cold calls and some door knocking. In this particular deal, the seller contacted us from a business card we left at a restaurant.
Quote:
Next time, you may want to try and work on the lender waive rights to a deficiency judgement and have the offer they accepted as "payment in full with no further recourse" type of thing...it doesn't hurt to ask and I've heard that most lenders will simply add it in if you just ASK...lol.
we asked but the lenders decided that the seller is young and capable enough to pay back the difference.... we tried.