Short Sale w/ Land Trust

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I'm working on two shorts sales with banks. In both cases I have a purchase contract with the defaulting owner where the Buyer is for instance ...

81 Huron Street Trust, "My LLC" as Trustee, "Me" as Benficiary

I'd like to wholesale both of these deals at closing. But, I know that the banks frown on assignment of the contracts to another buyer. I don't want to come up with hard money loans and then double close with my wholesale buyer. I CAN show proof of funds from my credit card line of credit to sooth the banks.

Can I ...
1. Secure a wholesale buyer
2. Have this buyer place his certified funds with the title company prior to closing
3. Close the short sale with the bank using my buyers funds and simultaneously transfer beneficial interest in the trust to my wholesale buyer????

Anyone ever done this?

Comments(1)

  • Future-Multi-millionaire20th March, 2003

    You are extremely creative!! Never done it but I just read something similar to this

    EX: Make the offer in a new entity 376 main street LLC

    Start marketing the property to investors after you find a buyer transfer the membership rights in the newly created LLC to them. The bank will still think their buyer is 376 main street LLC same entity to which they originally agreed to sell the property.

    Stick with your attorney on this!

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