OFFERS IN COMPRIMISE
I have a cleint who currently owes 125k (bought for 135k @ 11.24%) on there mortgage a tri-level 4 bed 11/2 bath. They has been trying sell for the past 3 weeks with no takers so far. All payments are current. They have a BK history and I was told I am there last chance at selling the property. (They are ready to walk away from the property) They already have a mobile home lined up and are eager to move on. They are willing to sell for what they owe125k but, with comps, cmv and actuall same properties sold in area value is between 125k-135k. My question is do banks still consider offers in comprimise where they forgive about 10-15k of a loan for a quick sale to keep it from going into foreclosure? If so is this something the owner initiates or do I need a signed authorization release form and contact the bank myself? Thanks Kevin.
Will they consider a "creative" alternative?
It's a longshot. It's been awhile since I was able to short a mortgage that wasn't in foreclosure.... but I did even though I thought it wasn't possible.
I guess that it depends upon the strength of your Proposal.
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Thank you Miracle Homes & Short Sale Pro for your timely response my keyboard went down & I was not able to respond until now. Miracle Homes what did you have in mind by being creative? Updates have been done throughout including oak cabinets, ceramic floor, window, gas fire place, gutters, sofits & roof very much a turn key property. The only problem is the concrete drive way thats been there since the house was built in 72. Short Sale Pro you mentioned I would need a stong proposal. What would I need to make a strong proposal on this type of property? Also if I do attempt to short the mortgage that is not in foreclosure will this hurt my chances if I am tuned down and try to short sell the property later in foreclosure? Or do you think since not much is wrong with the property that I will have problems trying to short sale this property? Thanks Kevin
Without giving away the store, I'd suggest that you devise an accurate foreclosure time line from default to liquidation to project anticipated costs, and losses.
vs.
accepting your Offer, today.
Their servicing criteria might preclude accepting a short this early on.... so be prepared to hang on for the long haul.
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Depending on how much of a discoun your looking at I would think that another option would be to take the property Subject To the existing financing, you have some equity, and minimal closing costs....
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Thanks Short Sale Pro, I will try that. Part of my motto is what ever it takes!
StockPro, the only problem is the 11.24% intrest they got stuck with because of the BK! I guess they were so happy they were aproved they must of never thouht twice about the intrest!