Handling Seller Concerns
Thanks to all for answering my question regarding getting the deed.
I searched through all of the posts in this forum but was not able to find reasonable ways to handle seller objections. Here are a couple.
"What do I gain from giving you my deed? You now own the proerty and I still have a mortgage I can't pay."
---my first response was "well...what do you have now? nothing... if we are successful in the SS you save from having a foreclosure on your credit"
he says >> "OK I agree, but why do you 'need' to have my deed?
2.)
"what happens if bank does not go for short sale? Am I outta luck and you walk away? Will I still be stuck with a mortgage and now no proerty to leverage out of it?"
I have a couple of thoughts on how to answer, but want to pick some pro brains on the issue.
3.)
For those of you that don't get the deed, how do you protect yourself from seller flaking out in the end?
thanks again to everyone here that take s the time to relate useful information, it is appreciated!
"I'll help you, Mr. Distressed Homeowner, but I don't trust you and to make sure you don't get a better deal from someone else (flaking out?) I want you to give me your Deed."
I know that many learned foks advocate getting the deed... but I don't. To me, it isn't necessary when structuring short sales, and in many cases causes a potential short sale to be disqualifed. Perhaps snatching the deed is an essential act in other creative acquisition techniques, but I've neer seen the need. A contract, a handshake, and mutual trust usually work for me.
If the Sellers want to back out for an acceptable reason... if their situation changes and they are able to keep their home... or have a famiy member step in and purchase it...fine. I'll work within that.
If they bail to run to another investor... so be it. What goes around, comes around. I'll meet up with that investor sooner or later holding a card that he wants or, better yet, needs.
BTW, I haven't lost a deal to another investor since one of my first attempts in 1980 to an attorney for the (then) sellers who took my contract for a review... he squashed the deal... and took it for himself. It hasn't happened since.