Final Steps Of The Short Sale

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I'm coming down the home stretch of the short sale, I just got the approved payoff back from the bank. My only dilema is, I want to wholesale the property by assigning the contract or doing a simo. closing, but the Bank clearly states that they want to see a signed findal HUD-1 so they can record the satisfaction of mortgage. I'm wondering if they see a Hud-1 with a Different buyer than the original contract if they'll have a problem with that? Also, I have a power of Attorney to sign the HUD for the Seller, does anyone think that the bank that's taking the short sale is going to have a problem with the fact that the Power of Attorney signed the HUD and the Buyer is different than the original contract? If so, is there a better way to Wholesale this property?

thanx

Comments(11)

  • TheShortSalePro3rd February, 2004

    "My only dilema is..."

    Poor exit strategy.

    Getting the mortgagee to agree to a short sale is the easy part of the process.
    Structuring the transaction that will result in passing of title is the hard part.

  • bginvestor3rd February, 2004

    SSP,

    Is structuring a LLC with the wholesale buyer as a "partner" in the LLC still the best way to go??

    Thanks,

    Bginvestor

  • toeneetee43rd February, 2004

    Do i sense some animosity from the Short Sale Pro? I posted the topic for advice, believe me if I can't figure out a way to wholesale it I'll keep it. No problem with the exit strategy. That is/was my exit strategy from the beginning, i'm just looking for alternatives. I'm guessing you want me to ask you about the book that you're peddling, rather than offering some informative advice.

    Please if anyone could share some true insight without being a "know it all", I'd greatly appreciate it.

  • shikely3rd February, 2004

    Find yourself a buyer and do a simultaneous closing - simple as that. At the closing, you use YOUR buyer's money to pay off the seller / mortgage and the deal is done. No need to complicate your life.

    Make sure you find a title company that does this coz some don't.Good luck

  • TheShortSalePro3rd February, 2004

    Animosity? Perhaps with those who screw around with Homeowners' trust, those that have no clue how to structure a shortsale, and those that leave the Homeowner in a worse condition...

    That's what I inferred from your post.

    But if you can close, and not leave the Homeowner holding the bag... that's great.

  • toeneetee43rd February, 2004

    Thanks, but when the HUD gets sent to the Short Sale bank for them to record the satisfaction of mortgage, i think we'll have a problem. I could be wrong, let me know what your experience has been

  • toeneetee43rd February, 2004

    Short sale pro, i'd love to know what in my original post led you to the ASSumption that I was trying to leave the homeowner in worse condition. Try this shoe on for size and see how it fits your ASSumption. I stopped the foreclosure from happening, took a property with negative equity, created equity both with the Short Sale and additional Equity once I'm done rehabbing, and have given the homeowner a significant amount of $ that was not even their to begin with. So please before you go ASSuming get the facts straight.

  • TheShortSalePro3rd February, 2004

    your statement, "My only dilema is, I want to wholesale the property by assigning the contract or doing a simo. closing"

    indicated that you were without a clear path... You didn't say that you could close.... you stated that after getting the approval, you wanted to so something other that had been proposed...

    It is at this stage of the process that most deals fall apart. My recommendation? Stay the Course!

    If you wish to continue this, feel free to email me.[ Edited by TheShortSalePro on Date 02/03/2004 ]

  • toeneetee43rd February, 2004

    Thank you Short Sale. You see how much easier that is, we're all here with the same goals and purpose. To work for ourselves, and help others whenever possible. I'm sure if i ask a questions there are several others with the same question, or will soon have the same question. Thank you for your invitation to email you further, i'm glad we got that all straightened out. I've read your posts and know you house a great deal of knowledge, it won't kill you to share it with the less experienced every now and then. Thanx again.

  • jackman3rd February, 2004

    toenee, sorry to chip in where i wasn't invited, but ... it DID sound like sspro was just having a frustrating day when he replied, hahaha. BUT he told the truth. you have to have thick skin and take what someone says - not HOW they say it always - and you'll be fine. i understand your point, but for not knowing him personally sspro has been extremely helpful to me in the past.

  • toeneetee43rd February, 2004

    Thanks Jack, looks like we just caught each other on the wrong day. I said before I've read his posts and he's been very helpful to others, but it was just an unfair assumption when we all come here to learn and build with like minded and interest constituents.

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