Home Buying in 89130>Question Details

Kurtis, Home Buyer in Las Vegas, NV

Buyer- the 1st lender has accepted my offer,the 2nd want to much money is there anything I can do?or just wait for it to go to forecloser?

Asked by Kurtis, Las Vegas, NV Sat Aug 13, 2011

I have been told that once it go in to forecloser the 2nd will get$0. to me I think the 2nd should take what the listing broker offer and sign off , If anyone has gone thru this how long did it take before the 2nd sign off ?

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Answers

18
I agree with Stephen below - look into the Nevada Hardest Hit Funds (linked below!)
1 vote Thank Flag Link Sat Aug 27, 2011
Option #1:
If you are in Nevada, ask your agent to tell you about the new grant funds to assist in this issue. If you qualify, your agent will be able to get over $16K for the 2nd, funds for closing to increase the net to the 1st, and (best of all), pay your rent for 2 months when you move. WHAT A DEAL !!!!

Option #2: Work with the attorney that works with your agent to file a BK, strip the 2nd, and close on the first. Have the BK dismissed. Your agent will tell you how that works.

The 2nd will collect from you now or in the future. Pay now or pay later. All you have to do is negotiate paying them now for the best deal.

Best of luck. Let us know what happens.

New Web Sites:
http://www.Avoid-Forclosure-Free-Information.info
http://www.Free-avoid-forclosure-information.info

Please contact me immediately if you know a person that cannot make their mortgage payments. I will work with them to avoid foreclosure or bankruptcy at no charge or fees to them.



Steven Goldman, CRS
Broker Salesman
Certified Distressed Property Expert (CDPE)
Certified Short Sale Professional (CSP)
REO-BPO Certified
GRI, ABR, SRES, CNHS, PM, CCI
Realty One Group
Las Vegas, NV 89135
E-Mail: crssteven@teamgoldman.info
http://www.teamgoldman.info
1 vote Thank Flag Link Thu Aug 25, 2011
It may be in your best interest to offer the SECOND $1000 out of your pocket.

Up to you.
1 vote Thank Flag Link Sat Aug 13, 2011
Kurtis, Unfortunately it happens all the time. This "problem" could have been addressed when the offer was accepted. Whoever is doing the "negotiating" for you should really press for this to close -- the market in Las Vegas dropped 12.5% last month. It's too bad these lenders can't come to some speedy conclusion and help you out. Because you have an agent, you'll need to speak with them immediately to see if something cannot be salvaged from this transaction or, you'll have to find a new buyer and start all over. Good Luck!
1 vote Thank Flag Link Sat Aug 13, 2011
There is no standard for how long the second will hold out. The second may never yield. Each short sale is unique. Keep negotiating until you cannot make any more progress. And then decide if you want to pay the second or move on.
1 vote Thank Flag Link Sat Aug 13, 2011
With all the choice of houses for sale, I would think there has got to be one in your price range that is a whole lot less hassle. I never get bogged down when deals like this get hung up.


David Cooper
0 votes Thank Flag Link Thu Aug 25, 2011
2nd lenders are the kiss of death when it comes to short sales.
0 votes Thank Flag Link Thu Aug 25, 2011
The 2nd will get nothing in foreclosure. The problem is that chain of title is getting harder to prove, so banks are going to forclosure and not worrying about all the legal processes to clear title in a short sale


David Cooper Foreclosure Specialist with 35 Years Investing Experiene. Receive a FREE List of Low-Priced, Bargain Homes with Great Cash Flow for Investors, GO TO website or Call +1-702-499-7037
0 votes Thank Flag Link Thu Aug 18, 2011
Getting involved with a short sale where a 2nd is involved is a losing proposition. Very frustrating and chances of closing are less than 40%. There are so many good deals and a large selection, chjoose another or wait for it to go to foreclosure.


David Cooper Foreclosure Specialist with 35 Years Investing Experience. Receive a FREE List of Low-Priced, Bargain Homes in Nice Neighborhoods with Cash Flow. GO TO Website or Call +1-702-499-7037
0 votes Thank Flag Link Wed Aug 17, 2011
Hi Kurtis,

I've been through this many times, and it's one of many reasons that I refer my short sales to Sue Tonic, (702) 989-8995 ext. 629, who is a local Real Estate Professional who specializes in Short Sales, and she knows exactly how to speak with the banks.

Anyway... I've seen many lose their homes, as a result of the second asking for seller contribution, or a larger portion of the offer, and either the seller being unable to contribute, or the first unwilling... it's a lot of negotiations and relationships, and sometimes it works out, sometimes it doesn't. It's unpredictable.

Also, waiting for the property to foreclose is not the way to go, unless you live there... As soon as it does re-list, your offer is not automatically accepted, and you have to write a new offer, and hope it get's accepted. And, the sales price will very possibly be more.

Good luck!
0 votes Thank Flag Link Wed Aug 17, 2011
What is the house CMA? What is the loan ammount on the 1st and the 2nd. Sounds like your offer was a little to low based on the value of the house?

David Cooper Foreclosure Specialist with 35 Years Investing Experience. Receive a FREE List of Low-priced, Bargain Homes with Great Cash Flow for Investors, go to web site or Call +1-702-499-7037
0 votes Thank Flag Link Sat Aug 13, 2011
Have you looked into the Nevada Foreclosure Mediation Program? I know you are in the middle of a short sale but if the bank won't approve the second the above step can buy you time. Might even be able to get payments down for you also.
Web Reference: http://www.sgsellsvegas.com
0 votes Thank Flag Link Sat Aug 13, 2011
Kurtis,

Hopefully the 2nd lender will come to the realization that something is better than nothing at all. As others have said, stick to your guns and keep pressing until you get them to where they need to be.

Understand, that their initial request is going to be a "pie in the sky" amount, hoping that you are so in love with the property, have no idea of the home's value and are willing to meet their request. They may need to hear the word "NO" several times explained to them before they settle back to Earth.

Assuming he first bank negotiated a price that is an accurate reflection of the current local real estate market. Any amount you elect to accept above this will find you paying more for the home than it is worth. Having a CMA in your pocket may help your cause.

Good luck,

Bill
0 votes Thank Flag Link Sat Aug 13, 2011
I have been through this process as well. Have had first, second and Bankruptcy cases as well. The second Lender is generally give about 10% of the Loan amount(they do fight for more but need to settle ultimately). You are absolutely correct about the 0% if forclosed!
0 votes Thank Flag Link Sat Aug 13, 2011
Good day Kurtis,
This is not an unusual situation. The process to work the 2nd is dependent upon the type of loan, how long you have had it, is there MI, the investor, the Borrower's financial situation, the stste the property is located, the state the Borrower lives, and the servicer.

This drives home the reason that a short sale homeowner hires a Real Estate Agent skilled in negotiation and knowledge about the processes. Since you are in contract with an agent, it would not be proper for anyone to interfere with that relationship. I am sure the agent you selected to hire is skilled in the short sale arena. A SSP & CDPE designated agent knows how to make it all happen. You need to rely upon their expertise and skill to get through the swamp.

I can tell you that the 2nd will not get nothing. They may come after you for full payment and expenses. The 2nds have been very aggressive in attacking the Borrower after the foreclosure sale to collect the balance.
BTW: The 1st mortgagee may also look to you for payment of the shortage. Your agent can guide you through the response to that process.

Keep working the 2nd until they give in.

I wish you well. Let us know how it works out for you.

New Web Sites:
http://www.Avoid-Forclosure-Free-Information.info
http://www.Free-avoid-forclosure-information.info

Please contact me immediately if you know a person that cannot make their mortgage payments. I will work with them to avoid foreclosure or bankruptcy at no charge or fees to them.



Steven Goldman, CRS
Broker Salesman
Certified Distressed Property Expert (CDPE)
Certified Short Sale Professional (CSP)
REO-BPO Certified
GRI, ABR, SRES, CNHS, PM, CCI
Realty One Group
Las Vegas, NV 89135
Direct 702-242-1372
E-Mail: crssteven@teamgoldman.info
http://www.teamgoldman.info
0 votes Thank Flag Link Sat Aug 13, 2011
If you will wait for it to go to Foreclosure, there will be other buyers who will make offer and you will have lots of competitions... Multiple Offers which is Realtors worse nightmare for their buyers. Your agent needs to research if it's worth the savings even though the 2nd is asking too much money. If it is still saving you a few thousand dollars if that is whats showing on comparables then, I would NOT complain and go for it as you are still getting a bargain and especially if you already waited a long time. This also depends on the condition of the house. If 2nd asking lots of money plus you have to pay for lots of repairs again you need to your end dollar. I find sometimes the Short Sales are not really good deals! Lots of buyers walk away from Short Sales. It is nothing but headaches!
0 votes Thank Flag Link Sat Aug 13, 2011
Hi Kurtis,

Has your Realtor submitted an counter offer to the 2nd? If not, maybe you should try this? If you wait for the house to go to foreclosure, it may be quite a while until the lender has a Realtor list it for sale (if it doesn't sell at Auction). There have been case where banks hold on to properties for a year or more before the actively market it. Do you want to possibly wait that long for this property? And, if you do, it might still be listed for more than you want to pay. Try a counter offer to the 2nd and if they don't accept, move on to another property you actually have a chance of purchasing. Or, if you really want this property and can afford it, pay the 2nd's amount (if the property's market value supports the price - which your Realtor can determine by doing a CMA).

Good luck

Shanna Rogers
SR Realty
http://www.RealtyBySR.com
0 votes Thank Flag Link Sat Aug 13, 2011
Wow, I'm sorry to hear about your problem.

So the way I understand your question, the first bank is ok with your offer but the second bank wants more money. You are right that the smart thing for them to do would be to take what is offered because that is better than nothing. I assume that the seller is not in a position to give them the cash they want, and you would be foolish to give it to them. After all, there are 14000 other properties available out there!

What happens next depends on whoever is negotiating with the bank. This might be the listing agent, it might be a professional negotiator (usually a lawyer) and it might even be the homeowner. Whoever it is, they will spend a lot of time on the phone Monday trying to get this resolved. I'm going to work on the assumption that the seller would rather make the short sale work than go to foreclosure and they will try to make Bank 2 see reason.

By mid-week, something should have happened to help you decide whether it's time to bargain, or to walk away. Don't fall in love with the idea of buying this same house as a foreclosure, because there is a lot that can happen between here and there: somebody other than the bank might buy it at auction; the seller might trash the place; the bank might decide to wait to foreclose; the bank might decide to wait to put it on the market; the price might be too high; the price might be set low to get multiple offers.
0 votes Thank Flag Link Sat Aug 13, 2011
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