Property Q&A in Wentzville>Question Details

daydreem81, Home Buyer in Foristell, MO

What does "subject to lien holder approval mean?" Is there a lien on this home? Is this house move in ready?

Asked by daydreem81, Foristell, MO Tue Dec 27, 2011

Optional details about your question

--
This question is about this property: http://www.trulia.com/property/1049426521-55-Tulip-Bend-Dr-W…

Help the community by answering this question:

Answers

4
The home is being sold as a short sale. That means it is being sold AS IS, so the buyer will be responsible for all inspections and to fix anything that is required in order to get an occupancy permit and move in. Technically, all homes that have mortgages on them have a lien against them for the amount of the mortgage by the lender. The seller will negotiate a price with you, but the bank will have the right to come back later and renegotiate the price again.

Note that a short sale means that the seller is "short" the money to pay off the loan at closing, it does NOT mean that it will take a short time to get to closing. My last 3 took 7 months each to get bank approval, then another month to get to closing.
Web Reference: http://www.YourSTLHome.com
1 vote Thank Flag Link Tue Dec 27, 2011
This home is being sold as a short sale. A short sale is when the lien holder (bank) will allow the borrower to sell the home for less than the balance of the loan. The homeowner accepts or rejects the offer...once accepted, the offer will be forwarded to the bank who holds the loan for final approval. All short sales have to be granted final approval from the lien holder in order to close.
There is not a lien on this property thankfully.
The home does need some TLC.
Thanks for your inquiry and if you have any further questions I am happy to help!
1 vote Thank Flag Link Tue Dec 27, 2011
Lien Holder is the Bank....|| Terms are approved by the subject..

Could be a Short Sale

Make it a great day

Ignacio Stapleton
0 votes Thank Flag Link Wed Dec 28, 2011
It usually means that the homeowner owes more than they will net when selling the home. The lien holder has to approve getting a payoff of less than they are owed.

It can be a long, drawn out process to get this approval.

It is also called a "short sale"
0 votes Thank Flag Link Tue Dec 27, 2011
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2015 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer