How Do You Buy A Home When Seller Just Filed Bankrupty?
Owner has 30k in equity they dont want so they stopped paying and filed bk 1 week ago.
home worth 140k they owe 107 including taxes etc.
total cost of items filed in the BK is 157k.
Is it possible to speak with the bankruptcy trustee and somehow get it. It needs little work so i cant use that to get lower price.
Average days on market is 90.
What do you all think?
Verb
If they don't want the equity just offer them what it will take to pay their bills and pay off the mortgage. How much is the home worth? What are your reason for buying etc etc. If they just need cash to move on give it to them. Have them voluntarily dismissed the bankruptcy and proceed with the sale. Or if you want to go through the courts try to shortsale the current mortgage and create more equity however you need to know how to set up a good shortsale. bankruptcy make excellent candidates for shortsales. However the court will see to it that the homeowner get no money and all money is paid to the debts. You could give him money under the table. Either way the end result is this if you want to do this without court supervision ask the seller what he wants for his equity in order for him to dismiss the bankruptcy. I'd offer 40 cents on the dollar to him and just pay off the regular mortgage and include the price you would offer the owner for their equity in your contract price to give him an incentive to dsmissed the bankruptcy
The homes value is listed on the bk at 125k, they owe 105k. it actually is worth at least 130k though.
They are 2 payments behind [$3000]
and the total amount of the items listed in the bankruptcy was 157k
what should i do?
It's definately possible to talk to the trustee and get them to release their interest in the property. You have to make a compelling argument, though.
If is has an FMV of 125 and the outstanding note is less than that, there is equity to be had, and the trustee is going to see that.
exactly, and it needs no repairs. i wonder if their is a way to get it for what she owes from the trustee even though their is equity.