last July my mother in-law fell ill and died within 2-weeks.She left behind a house and a acre of land,not on the lake but within 30yards of it.In oct. The bank that originally wrote the mortgage sold it to Synovous.We received a letter that month saying any payment made from then to 1st of year "would not go toward the loan".Since Jan.we hit a ruff patch and have fell behind.There was no will and we did not know we needed to probate it.This is a first for both of us! Got the foreclosure letter on June 16,it stated it would be sold off around July12.We are 3000.00 behind and they say they want the full amount of loan(28,000) or it will be sold.Is there anything we can do to save our house.Just need enough time to sell it.
What the the property worth? If the deal has alot of equity then you can find someone to wholesale it to and make a profit. There is still some time left. Try and find out what it is worth asap. Then post the deal here on BP to get others opinions about it.
In the area it is in the 1acre is 20,000 to 25,000..The house is 100,000 to125,000
100k to 125k is a spread. Still, there may be something there. do you have a way to estimate repairs, contact a local agent in that area and have them pull up 3 to 5 comparable sales in that specific area of properties that have sold within the last 90 days. If not, go back to 120 days. that will give you a tighter lock on value.
thanks so much! House is in good shape,but needs a few upgrades to be Brand new.I will get right on that and get it posted.We live at Smith lake in walker co.Al..Where you can't even buy an acre of land.Everyone sells in quarter acres.Maybe a half
Why not just get the loan current? Sounds like the servicer is trying to bully you. There may be a local housing advocate that can help you.
Did the MIL have anything else left behind that has value - vehicles, jewelry, stocks, retirement accounts, etc? Those assets are supposed to pay the debts of the deceased ...
1) Open probate
2) Get yourself appointed administrator
3) Get a hard money loan to the estate whereby you sign as fiduciary of the estate
4) Refinance or sell later when the pressure is off
5) Suggest you borrow enough to provide for attorney's legal fees, court costs and creditor claims.
I've done this exact transaction over 250 times (I only work CA probates).
Rick, you mean that anyone, (not just an heir) can open probate and get appointed as administrator?
Rick, can all of that be done within a few days? The sale is on the 12th
Contact an attorney immediately, to have a temporary restraining order issued, to stop the foreclosure action. That will give you the needed time to file a probate action, which will be needed in order to sell the property, or to borrow against it.
Better be a bunch of equity (at least 50%) for all the last minute trouble.
As Dave mentions, TRO may be possible, but lots if work for attorney to put together and get approved Ex Parte.
There are some "games" that could be played but I'm not in favor of those short abuse the law or lie to lenders or courts.
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
Create Lasting Wealth Through Real Estate
Join the millions of people achieving financial freedom through the power of real estate investing