Can't pay loan ag maturity

[Mario Am]

Hello.

I have 2 properties from 2 different hard money lenders that I used to a flip, I am supposed to pay my Lenders maturity in about 2 months.. both loans were 75% of ARV, I fixed them up, properties are in the market, I dropped to my breaking even price and they are just not selling.

Was wondering if I can reach out to them and give them the properties back? Or would I get a foreclosure on record?

Also.. I have properties in the same county. Was wondering if they can take them from me to recover the loss? How does that work?

Thanks much

[Bill B.]

Obviously the loans aren't 75% of ARV or they would have sold already. Let's pretend the loans ar over 100% of ARV. Then it depends on your loan paperwork. If you were smart they are non-recourse loans with only the property as collateral. They'll get the properties and you'll go your own way. If they were smart then the properties will be sold and you'll owe the deficit.

You either call them and find out who was smart. Or you ask them if they’ll let you bail. Or you call a lawyer and find out where you stand. I assume you’ve contacted Opendoor, offerpad, etc etc for their offers.