I am so sorry for your predicament. This is the danger of renting/ leasing a property without doing a title search on the property beforehand. Renters, beware! The reason that the property is in default is that the owner cannot/ will not make payments, and if they are about to lose the property, they have no incentive to make improvements. As a tenant, you have rights; however, enforcing them is a difficult and time consuming process, especially when you are in ill health.
You will probably need the assistance of an attorney to help you.
Blogging at: http://TheBremnerGroup.com/news... more
- Mack, your not right and you are insulting all agents by your post.
Actually, I am right, and you are missing the point.
What is a BPO? A Broker's Price Opinion. Not a guarantee of market value, but an (educated) opinion of value.
Are BPOs reliable? You tell us, Mark. How many BPOs have you done, and how many of those properties sold at exactly the price you came in at?
Now we have an investor who asks, will I make money by buying at a discount of the BPO? And you're telling the world, "Yes, because the BPO is so reliable that we can (almost) guarantee it?"
I think a better answer, Mark, is that an investor rely on somebody else's Opinion of value, preferably their own, or a reliable agent of their choosing.... more
If it does not sell at auction (as stated below usually at or near the loan amount owed as a minimum), the bank will take it back and get around to assigning it to and agent and putting it on the MLS. In the end they want as much money back on the debt as possible and this means advertising it in the traditional ways.
No quick trick here, and be aware if someone offers an inside deal, they will probably want you to register and pay to be on a site and you will get nothing.
My advice, go and find a great property thats on the market, and use a buyers agent to represent you.... more
It depends on a lot of things, which the first and most important is whcih mortgage company is the lender. Certain lenders are very proactive and others drag their feet.
When you start looking at short sale listings you need to understand that you are gettiing involved with more than a real estate transaction. The normal real estate transaction takes place but then the situation with the seller becomes a big inflence on if the the deal will be approved.
Questions that may effect the banks decision:
How many loans need to be addressed.
What is the hard shape
Does the seller have other assets
Will the lender go after a deficiency
What is the mortgage companies appraisal to confirm value (would the bank do better by going to foreclosure and reselling property)
How quickily does the negotiator at the bank react
Will the other lenders cooperate
Is the seller cooperative in the process
First Weber Group
Certified Distressed Property Expert
Here are some things you can do for reassurance.
1. Get written confirmation from Chase that the trustee auction has been either cancelled or postponed. Sometimes they will do this, but not always.
2. Look at the Notice of Trustee Sale and get the phone number for the Trustee (the actual office where there are live people, not the recorded trustee sale line). Call them and get confirmation that the auction has been cancelled or postponed.
3. Call Chase and ask them to do a three way call with the trustee to confirm the cancellation of the auction.
4. Check with your local title company to see if there has been a cancellation of the auction filed with the County Recorder's office. Unfortunately, many lenders never do this, even though they cancel the auction.
If you would like to contact me off line and give me your address, I can look this up on a site that I pay for. I will look it up by address, rather than trustee sale number, just in case the TS number has been input incorrectly into the system. The fact that the TSN is no longer active in the system (assuming you have called in the past and it was active) is a good indication that the sale has been cancelled. However, if t were my home, I would go the extra mile to get something in writing either from the bank or the trustee. Dare to Dream.
Shel-lee Davis, CDPE, SFR, QSC
Your Real Estate Consultant for Life
RE/MAX Palos Verdes Realty
As an REO agent, I can tell you that the trouble with purchasing a foreclosure property is that the bank is anything but sympathetic to the buyer in these transactions. If you have placed your offer directly with the listing agent, then you must press on them to mitigate this issue directly with the asset manager for the bank. If you are working with an agent of your own, then you should have your agent draft a letter explaining the issue and what it will take to resolve the problem. The banks don;t consider anything that isn't in writing. Explain that you are a ready, willing, and able buyer that wants to move forward with the purchase, but that this issue must be resolved in order for you to do so. Best of luck to you and please let me know if I might be able to help further.... more
I am the #1 Reseda specialist. I farm Reseda and am a Reseda Specialist. I know most homeowners in Reseda.Call me at 818-919-5656. I will be more than happy to help yu. Where are you looking for? East or west of reseda Blvd.
We have sold over 30 homes in Reseda itself.
Not necesarily I have had a short sale take one year and two months to get approved! Of course this was in the time when short sales were new to the current financial giants. The job of the appraiser is to give real value to the bank and point out any items that could affect the habitability of the property. Based on this appraisal, buyers qualifications, and terms of purchase the bank can and will either issue the loan or reject it. Another factor that could be affecting you could be the approval of the short sale by the current lienholder of the property. If the short sale has been approved then the problem is on your lenders side. If the appraisal has determined the value to be less than the purchase price or the property condition to be less than par you just might be saving yourself years of repairs and financial trouble. Good Luck... more
Homeowners are warned about transferring the title of the home because it does not change their payment obligation-they will still have their mortgage debt. You claim you will lease it back to him for less than the mortgage payment, does that mean you will pay the difference? You say homeowner wishes to stay in property he most likely means he would like to keep it. There are so many legitimate alternatives to foreclosure that they can pursue and the option you presented to them is not one of them.... more
Thank you for question about Bank America Short Sales. Since I am not familiar with this deal specifically I recommend checking out Bank America's guidelines for short sales. This is a PDF document on their website to guide agents through the online short sale processing system that has streamlined the process for the company.
something does not sound right. There is no accepted offer until the bank issues the approval letter. The letter will indicated net proceeds, if the seller has any liability and when the deal needs to be closed. Never, go by a verbal because there are too many people at the bank and no real accountablity.
First Weber Group
Certified Distressed Property Expert
Under the newly-implemented Home Affordable Foreclosure Alternatives Program (HAFA), the borrower/Realtor --owner of the property to be sold -- must convey a request for Approval of Short Sale (RASS) within 3 days. The servicer must accept, deny or counter within 10 days.
That's not how long it will take to close the deal; only the timeline in which a lender is supposed to respond to there being a short sale on the table. The lender must respond to their client, or the seller; not the buyer. Having said that, the seller's Realtor will assuredly notify the buyer's Realtor as soon as the lender responds.... more
If you want the house to be in habitable condition, I would suggest offering them money to leave, and only pay them after you inspect the property. I wouldn't go "legal" on them until you get a conversation going with them, prove to them that you are the new owner, and hope they don't destroy the place.
I never, ever
David Cooper..Las Vegas Investor and Buyer's Agent for Bank Owned REO with Hugh Cash Flow... more
Yup, Richard is correct. These amounts for a los angeles property are either a default amount (from a NOD filed) or a lease property. The easy way to tell is if the place is a gorgeous property in Beverly Hills and it's 20,000 then it's obviously a lease price, per month. If it's a property that is more entry level it is most likely a NOD but also could be a starting bid of an auction, or a few other possibilities.
Main thing to take away here is you should consult a realtor and they will let you know the best place to look for listings that are real and not just NODs that aren't actual live listings at all.... more
Well what you should be asking is how can I avoid foreclosure because short sale is a form of foreclosure and foreclosure is a life changing event.
Banks tell you to try short sale to see if they can cut their losses but do not want to take much less than you owe.
Some Realtors push short sale because there is no other business out there, they need to eat and pay their mortgages just like you and I.
You need to start trying to avoid foreclosure and that is done by being proactive, contacting the bank and telling them you need options becuase you do not want to lose your home. As you are doing this you need to record and document everything they say or do and submit everything they ask for yesterday because you need to look like you were trying while the bank was not, making the bank look like the bad guy. Making the bank look uncooperative can be used to fight foreclosure in the courts, judges do not like uncooperative banks especially now. GET ON THE PHONE NOW AND AVOID FORECLOSURE- all forms of foreclosure (short sale is a form of foreclosure) are life changing events ask any one of my clients
Ramifications of Foreclosure, Short Sale or Deed-in-lieu-of-foreclosure
Here are some of the ramifications of foreclosure, short sale or deed-in-lieu-of-foreclosure, there are many more like your job, yes employers are checking credit records these days.
Your credit score will be reduced by 200-400 points, short sale a little less 100-200 points.
All forms of foreclosure stay on your credit report for 10 years.
After you have gone through foreclosure, short sale or deed-in-lieu-of-foreclosure there will be what is known as the "waiting period", this period of time varies for each and can be reduced if you had some type of extenuating circumstances that caused the foreclosure:
Waiting Periods to Buy After Foreclosure
* Buying After a Foreclosure
The waiting period is 5 years up to 7 years.
* Buying After a Foreclosure with Extenuating Circumstances
The waiting period is 3 years up to 7 years.
* Buying After a Deed-in-Lieu of Foreclosure
The waiting period is 4 years up to 7 years.
* Buying After a Deed-in-Lieu of Foreclosure with Extenuating Circumstances
The waiting period is 2 years up to 7 years.
* Buying After a Short Sale
The waiting period was just upped from 2 to 3 years. However, if a seller does not have a 60-day late pay, that seller may immediately buy another home. It's a reason to stay current on your payments while the home is on the market as a short sale.
In addition to the waiting period, most loans require a minimum down payment of 10% and a minimum FICO score of 680. The home purchase must also be the principal place of residence, not a rental nor a vacation home.
Lastly, most loan applications will ask the dreaded question "Have you ever been foreclosed on?" this stays with you for life, many think that because it will not show up on the credit report after 10 years they can answer "no", well lying on a loan application is a felony that carries a major jail term, so be aware.... more
Option 1. You can wait until after the redemption period (6months in MI.) it will be listed with an REO listing agent.
Option2. You can find out when the sheriff sale will take place, then go to the county court house/ or wherever it is held where you are and bid on the property. If you win the bid you will have to wait until the redemption period is over, if the previous owner does not redeem the property you will be able to take possession of it then.
Option 3. After the sheriff sale you can go directly to the bank and make an offer to purchase "The Paper". This is usually only done with cash offers though. Once you purchase the "Right of the property/ or Paper" you will still need to wait until the redemption period is over to take possession. If the owner redeems the property you will be refunded your money.
Option 4. After sheriff sale you can contact bank let them know your interests, make them an offer to purchase before it is listed with REO listing agent, you can use a buyers agent for this step to coordinate the transaction. Usually this is an option if it is a smaller local bank who owns the property.... more
I have a contact at Indy Mac who may be able to assist you in purchasing the property before it goes to the general public. Please contact me directly.
Certified Short Sale Professional
Certified Home Retention Specialist
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