Owner is selling his motorcycle to pay the mortgage due to wifes medical bills. He is married, employed, and has a couple of children. Before I contact the owner, I would like some feedback from the BP community on how to approach him. Ideally, I would like to keep him in the home and originate a new note. Here is what I've considered so far under the assumption they are close to foreclosure:
-Ask to buy property outright, originate new note with significantly lower monthly payment. (Assuming the numbers work)
-Inquire with bank about their willingness to sell current note (depending on performance) at a discount. Originate new note.
Really surprised to see no responses. Is this not something commonly done by BP members?
Without the numbers, it is hard to suggest a course of action. If the house is underwater, you will need to do a short sale, otherwise you are just inhereting negative equity. Also, keeping the homeowner which has defaulted on the current mortgage in the home is generally a very bad idea, even if you're only holding the paper. While it is true that unfortunate things happen to good people, you want a tenant/owner in the property that can weather the storm and avoid default.
Once you have additional info, feel free to post and i will toss in my .02
Christopher Brainard, Real Estate Agent in NV (#177490)
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