Wholesaling Sub2's And Potential Short Sales

Joe_Oh profile photo

Please tell me what is nessesary for me to get in the way of paperwork for me to be able to wholesale a sub2 deal, or a potential short sale deal.

for a sub 2 I know to get the deed/insurance paper/authorization to release/power of attorney is there anything else?

for a potential short sale, all I think I'd need is the contract(assingable) and comps for that house, would I need to get a title search done before I wholesale that house? anything else I need?

Thanx

Comments(4)

  • jimrkelly17th June, 2004

    Addressing your short sale issue, the lender will not work with you if your contract is assignable. You will need to do a double closing in any case. You will also need a release letter signed by the owner so you can work with the lender. I suggest getting more information from one of the Short Sale Gurus like Dwan & Sharon.

    Good luck with your investing!

  • Joe_Oh17th June, 2004

    well, I can use a llc to do the contract with the bank and sell the interest and ownership of that llc to my investor buyer, anything else?

  • jimrkelly17th June, 2004

    Anything other than using a land trust with the owner as beneficiary will more than likely invoke the "due on sale" clause. The lender must believe your interest is in helping the current owner out of a bad situation and not to merely profit from the owners demise.

    Good luck! [ Edited by jimrkelly on Date 06/17/2004 ]

  • tbelknap17th June, 2004

    Quote:
    On 2004-06-17 19:12, jimrkelly wrote:
    Anything other than using a land trust with the owner as beneficiary will more than likely invoke the "due on sale" clause. The lender must believe your interest is in helping the current owner out of a bad situation and not to merely profit from the owners demise.

    Good luck!

    <font size=-1>[ Edited by jimrkelly on Date 06/17/2004 ]</font>



    Jimrkelly, do you have first hand knowledge of people not using land trusts that have had loans called due?

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