Condo Conversions
I own a 6 unit building in Illinois I would like to convert into condos. Can someone tell me if I can convert 1-2 units at a time while leaving the remaining units rented? Will I have any legal, marketing or financing problems by not doing all the units at once?
Thanks,
RichNYC[ Edited by RichNYC on Date 03/08/2005 ]
the company is Countrywide huh? i saw there short-sale package and it is about 14 pages long. Did you get them everything they requested? Has the property been previously listed list they ask before they offer a short?
I am trying to do a short with a diff. co and they are giving me a hard time telling me that i am not offering enough and that they think they can get more. the bpo came in at 144 and i am offering 125. my offer is reasonable right? also they said there is going to be a deficiency which i am upset about.
any help would be great
Thanks, Ryan
ryan dont be upset, you need to move to Gaylordsville where you will be right at home lol.
sorry just had to do it. anywho to get back to the original poster i believe F.H.A. stipulates they will not take less then 82% of the B.P.O. on a short sale. so going with your figure of the as is value of 70k if a b.p.o was done, then your offer should be right on the dot at 57,400$ actually less then you offered. but i dont get how the appraised value is 70k then you say with interest and fees = 108k? so how much is there original loan for? is there a second mortgage? i must be missing something. your offer is actually higher then what F.H.A. stipulates if the as is value is correct.
in this situation a B.P.O. must be done if what you are saying is correct. even offer to pay for an as is appraisal to be done. call them back and get a new rep on the phone. or call investor relations and say you have been treated badly and want to talk to the president.
might i add, that country wide is absolutly the worst, and when i hear that someone has a loan with country wide i almost say "fa get a bout it" its almost to much of a hassle to deal with them.
sorry for all the edits but i just read the post again. why is he adding principal and interest into the equation? the point of a short sale is that your not going to offer them there full principal and interest payoff. he needs to calculate the as is value by running his comps or by having an appraisal/b.p.o. done and by multiplying the f.h.a. guidline of 82% which i gave you.
[ Edited by ZinOrganization on Date 02/17/2005 ]
[ Edited by ZinOrganization on Date 02/17/2005 ][ Edited by ZinOrganization on Date 02/17/2005 ]
pissing country wide off, and killing the deal? this guys already killed the deal. dont know how you could possibly piss the whole place off, but you could possibly piss off the knuckle head handling the short.
anyways like i said the best advice i can give is to offer to pay for an as-is appraisal to be done/ B.P.O. tell him there are major issues inside and out, that need to be addressed, the property has been neglected for many years therefore the value is not worth what they loaned. period.
the job of loss mitt, is exactly that to prevent losses and if for some reason because of this guys negligence the bank will lose more money then you are offering then i would bring that up with someone higher up on the latter then him. just my opinion.[ Edited by ZinOrganization on Date 02/18/2005 ]
to further add i think you should run comps on the house to better determine the as-is value, and see what other houses are going for, then subtract the amount of work that it needs from the comp prices.
just by estimating you could be way off. and maybe this country wide rep could be right.[ Edited by ZinOrganization on Date 02/18/2005 ]
Can you be a little more specific with the details? If I understand it you are saying that they are telling you that the homeowner owes $155, and telling the title company it is $133. Have you looked at one of the last statements from them? It should have a balance on it, and should go up accordingly based on missed payments and $2500 if attorney is involved. With that you should know payoff amount.
As far as a letter if they want to make the deal happen they will need to send a lettter through. I would imagine they are giving something to the title comany, or escrow co, ask them for it. If not then tell them it is needed to proceed. This is a standard thing, and they usually dont fight over it when they make a deal. They might think that your homeowner is waivering, and might be able to come up with some cash now or in the future.
I had really good luck with them on a deal I worked. In fact the rep told me congratulations when he closed the deal because he knew he gave me an outstanding deal.
good luck
You write the lawyer (after you have faxed the authorization) and request a payoff and reinstatement amount. There is no mystery to getting the payoff amount. I always request the payoff and reinstatement the day after getting the authorization from the homeowner.
Homecomings might have reported to the title company the "payoff" of 133k because this is the approved short sell payoff. So it will payoff the loan, but a person can still be held personally liable.
Do not think that I would have a home owner sign a promissary note. Can not blame Homecomings for trying. But it is probably just a negotiating point.
Brenda
Thanks to all who responded. I closed this deal a week ago and the owner had already agreed against my advice to signing a promissory note with the lender for the $19K deficiency. She said she was tired of fighting it. Homecomings took approved the short sale and this deal has been closed.