Foreclosure Lis Pendes

[Boris Portnov]

Hello BP Community,

     I've found that the banks in North Jersey are unwilling to sell below market value on their REOs. I'm considering reaching out the recent Lis Pendes Foreclosures in order to negotiate a short sale. 

   This is brand new to me so I'm hoping someone can share their experiences with me. Thanks in advance!

*How do you approach homeowners during this stressful time?

*is it advisable to hire a lawyer to negotiate price? 

*will the banks agree to conventional funding on such deals. 

*how do you deal with title issue such as a 2nd mortgage (possible short sale also?)

[Account Closed]

Originally posted by @Boris Portnov:

@Lisa Kohl thanks for your insight. I've heard that title companies would engage in the negotiation process is that accurate?

@Brent Coombs these individuals who are going through foreclosures will have their credit wrecked and working out a short sale will be less of a hit on their credit score. The banks take a big hit on having to pay legal proceedings and then having to acquire the home and pay to maintain them. This is sometimes the best route for all parties. Also,  I'm certain the neighbors would prefer someone acquire the home and maintain it as opposed to having it sit dormant and lower property values.

Be really careful when it comes to credit issues and sellers.  IMO you should never represent anything to a seller about the condition of their credit.  You are not their attorney or credit counselor or CPA.  Anything you say about a seller's credit can and should be used against you. The sellers credit is already wrecked if they are in foreclosure.  It's not your place to suggest whether a short sale or foreclosure is best for them.  There are tax considerations for the seller you can't know anything about. That's what their own attorneys and CPAs are for.