Home Buying in San Jacinto>Question Details

Lucio, Home Buyer in California

is it possible for my brother buy my house and me his on a short sale?

Asked by Lucio, California Mon Aug 4, 2008

my house I owe 305,000 but currently worth 180.00 almost same situation with him he is right next door to me is this possible ??

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2
Lucio, Short Sale Lenders do not allow purchases by family members due to the conflict of intetest. All Short Sales are "Subject to Lender Approval." -Steve
0 votes Thank Flag Link Sat Jan 24, 2009
1) The odds of a lender accepting a transaction involving family members are fairly slim.
2) It's also extremely difficult to get a loan immediately after a short sale because you've already proven that you can't afford the home.
3) CHECK WITH AN ATTORNEY ... BUT ... A lender usually will not touch a transaction where one family member is trying to purchase another family members' property on a short sale, forcing the bank to write off the difference. Both of you trying to do the same to two different lenders could be viewed as the banks as a type of fraud as you're working together to try and write down the others' financial responsibility without paying the full value.

As I said, check with an attorney but odds are this is something you don't want to go near.
0 votes Thank Flag Link Mon Aug 4, 2008
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