Is there any way to work this deal???
Is there any way to buy this home sub2? FMV of $220K, Loan Bal 145, Due to BK the Arrears are $69K. Home needs $5000 Carpet and interior paint($1500).
Is this a candidate for a short sale, and how would that work? Would I be able to qualify for this on a stated loan?
What is the best way to get this house bought? The sale is June 3rd, and the sellers are packing to move.
How can it be bought Sub2? Would the BK attorney be involved? At what they owe, it would be a great deal, but is there any way for that to happen?
Gary-TX
At the values you've given the property has a negative equity of $500. (145 +69 +5+1.5k= 220.5k and fmv is 220) so no one is likely to buy it at auction for fmv and all the liens will not be satisfied. Since the family is moving out there is that advantage as well (no eviction problems). It seems that the people are giving up on the house so you should be able to get them to give you permission to speak with the bank. It would seem that a short sale is a real possiblity but you may have to negotiate for discounts on these other liens if they are not mortgages. If any of it (the 69k I mean) is in a second mortgage or is penalties/back interest then it is ripe for negotiation.
There are plenty of people on these boards who can guide you.
Great Luck,
KP
At the values you've given the property has a negative equity of $500. (145 +69 +5+1.5k= 220.5k and fmv is 220) so no one is likely to buy it at auction for fmv and all the liens will not be satisfied. Since the family is moving out there is that advantage as well (no eviction problems). It seems that the people are giving up on the house so you should be able to get them to give you permission to speak with the bank. It would seem that a short sale is a real possiblity but you may have to negotiate for discounts on these other liens if they are not mortgages. If any of it (the 69k I mean) is in a second mortgage or is penalties/back interest then it is ripe for negotiation.
There are plenty of people on these boards who can guide you.
Great Luck,
KP
I definitely agree, you should negotiate the remaining 69k and I would also figure some way to up the value of the house at the same time for resale. IE Ceiling fans, inground pool, addition etc. This way you can milk the additional value some. You may want to have whatever carpet you can cleaned to save on expense as well. The meat of the profit will be in the negotiating of the first loan, and any additional value you can add to the home. Good luck
KyleGatton@Hotmail.com