Orlando, FL · Member since 2008 · 5 posts · 0 votes
I am a newby, I have found a property 3months in default the owner walked away from. I would like to secure contract and assign to an investor. No forclosure notice has been given yet..2 weeks on early Sept. estimated notice given. I spoke with owner and he owes $170..he only wants his debt cleared...the prop is worth $230-280 comps. How do I secure contract without a price in case I do a short sale and is a short sale the best option for this? It is listed as a 2 bedroom in all the docs erroneously, I have seen it..it is a legal 3 as far as I can tell. Any suggestions? Thank you in advance for your time and consideration in this matter!
Thanks for your reply Dan.
1. Yes there is only a 1st for $170K approx.
2. On second thought, not too confident of value. The comps for this property are about at $213 as a 2 bedroom. $220 at 3. The Orlando market is bottoming quick, so I do not see the values static anytime soon.
Thanks P.N. One quick question, is there a predefined contract for this or anything special cautions I need to take with drafting a contract of an intent to purchase for shortsale? Would a formal intent to purchase letter with intent included suffice? And one more question if you have the time. Orlando house prices are falling fast. What is the 'standard' ceiling of percent of FMV for short sales in a downturn area? Thanks again to all for your time and consideration in answering my questions! JC :mrgreen:
Short sale involves the bank and takes a long time. The best way is to ask the owner will he take whats owed on the property. Like you said the owner wants his debt cleared and this is the fastest way. He would most likely say yes to save his credit. He gets what he wants and you get what you want. Just Ask.
The best way is to ask the owner will he take whats owed on the property. Like you said the owner wants his debt cleared and this is the fastest way. He would most likely say yes to save his credit. He gets what he wants and you get what you want. Just Ask.
Your approach is fine if there is any equity. The problem is that in many bubble markets, like Las Vegas, people owe much more than the home is worth. In this case the choices are either short sale or foreclosure.