Short Sale Question?
can a short sale be assigned or do a double closing? I am looking to do short sales with no out of pocket money! Thank You! :-? [ Edited by donroberts on Date 11/12/2004 ]
can a short sale be assigned or do a double closing? I am looking to do short sales with no out of pocket money! Thank You! :-? [ Edited by donroberts on Date 11/12/2004 ]
no. You must take title by paying cash for the property, either through your own, a bank's, or a private cash partner.
I just spoke with a veteran note buyer today because I am working with an investor soon who uses reit funds to purchase proeprties for accepted short sale amounts, then flip them to end buyer in 30-45 days.
This very savvy and long time REI said that when a bank looks at the closing statement before the deal closes and sees the REI making tens of thousands on a flip, while they are taking a discount, they kill the deal right then and there.
Perhaps short sale pro has some experienced suggestions and advice, but this is how I understand it. Best, Dave
I'm with you on this, Dave. If you aren't capitalized to close the deal, you ought not to be doing shorts...
sure, there are ways around this, but not for the uninitiated.
donroberts, No you dont need to have money in order to do short-sales. i am living proof of that. i will tell you the deal i just completed. the total money to my name was 3k (but doesnt matter). i shorted a house from 160 down to 80k and the day i got the fax from the mortgage co. stating that they accepted my short i put an add in the paper marketing it for 145k. well, i got a bunch of calls. got a CASH offer for 125k. i accepted it, and double closed within 2 weeks. there was none of this "escrow" B.S. or anything. it was a short simple close. i signed one deed and signed another and bingo, it was done, i got a check for 39k. . i can honestly say i used ZERO of my own money and completed a short-sale. ..hope this helps, do your best, Ryan
That's terrific... your experience is more an exception than the rule... but, as you say, living proof it can be done. Don't forget to set some of your $$$ aside for income tax on the $39K
lol, i know..that is one thing that makes me depressed [ Edited by ryand on Date 11/14/2004 ]
[ Edited by ryand on Date 11/14/2004 ]