Home Selling in Tampa>Question Details

Tyrone, Home Seller in Tampa, FL

I have five rental properties in Florida. Each are upside down and only two break-even; my plan was to wait

Asked by Tyrone, Tampa, FL Mon Aug 31, 2009

five years before reselling. What is the best way out for me? Foreclosure or short sale?

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7
LOL @Thomas. I'm curious to know what you decided on Tyrone?
0 votes Thank Flag Link Mon Sep 29, 2014
He probably got his answer as he asked this question five years ago.
0 votes Thank Flag Link Wed May 21, 2014
I would never recommend foreclosure. I would look into short sale first, but if you don't qualify for that, if you can get rents to cover the costs the market is hopefully on its way up. And then hopefully at that time you will be able to sell them without any negative effect to your credit.
0 votes Thank Flag Link Wed May 21, 2014
Tyrone,
Foreclosure is never an option :)
I would like to give an analysis to your properties if you could just provide an addres, on the other hand i wonder if you doing things properly...for istance do you take depreciation off taxes? and how your taxes looks like?
Maybe just reviewing your structure.. will balance your losses; I'll be more than glad to "see" better into your properties and maybe be able to find a solution, try me, it's free!

Also if you thing you did strutcure your investment properly and see no exit at all, I'll definetely start the Short-sale process on which I definetely have expertise, check http://www.ForeclosureBail.com
best regards,
Antonio 813-785-7529
Web Reference: http://www.hothomespot.com
0 votes Thank Flag Link Mon Aug 31, 2009
First I'll dispute part of the 2nd response. Short sales on investment properties can be accomplished as easily as those that are owner occupied. We've done several.

To the rest of your question, If you are unable to afford a continued monthly loss talk with an attorney and CPA to find out what your liabilties are since they are investment properties. If you find that the amount you are currently losing is or would be equal to the loss you might incur doing a short sale or allowing a foreclosure then you may want to pursue that avenue.

If you have no choice but to do one or the other, get the legal and financial advice, then choose your direction.

If you chose to do a short sale we are very successful at getting them approved without involving mitigation companies.
0 votes Thank Flag Link Mon Aug 31, 2009
Tyrone,

I have quite a few clients in your situation and I am working with them on Short Sales.... Even though it's investments properties, I am getting them SOLD!

Please contact me at 813-374-0076 and I would be happy to meet with you and discuss everything, There is no cost or obligation to meet with me.

Look forward to hearing from you,
Kenny
0 votes Thank Flag Link Mon Aug 31, 2009
Tyrone,
I would say if you can ride out this low point with break-even investment properties you are in good shape. For those properties causing you a monthly cash outflow, you need to determine your exact situation. One option might be to calculate out your est. negative net cash outflow monthly, and compare that against the mortgage shortage if you tried to sell. If your negative cash outflow over the next year is going to be greater than the price to trueup the open mortage you might be better off selling. Foreclosure is always an option and short sales are highly unlikely on investment properties. You also could consider trying to work with the lenders on an adjustment, but that again will be difficult for investment properties.

Feel free to contact my office to discuss further.

Cristan Fadal
http://www.dwellintampa.com
(813) 391-9240
cristan.fadal@century21.com
Web Reference: http://www.dwellintampa.com
0 votes Thank Flag Link Mon Aug 31, 2009
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