Short Selling
Hi this is my first time with this type of deal and I'm trying to purchase a home for myself. The home is appraised at 200,000. $175,000+ is owed and the homeowner wants to give me the home but so much is owed and there are a lot of repairs need. Along with all that I only qualify for 70% LTV. I have spoken to the seller's mortgage company and they want a packet, but I don't know what in the world to send them as an complete packet or what to say in an offer. Please help!!!
If the owner wants to "give" you the home
you could probably use one of those 'purchase subject 2 existing financing' techniques...
Based upon what you've disclosed, I'm not thinking a short sale is the indicated acquisition strategy... unless your estimate of it's as-is, fair market value is off.
For a short sale to be feasible, the mortgage payoff amount must be in the same ballpark as the property's as-is, fair market value. If there is equity, than the mortgagee doesn't have too much motivation to discount.
Search TCI, or email me for my article 'How to Prequalify a Short sale Candidate" at
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