Reverse Mortgage -creative finance/wholesale help!

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Reverse Mortgage -creative finance/wholesale help!

Aaron Ford
Property Manager · twin falls, ID · Member since 2017 · 7 posts · 0 votes

Weird situation any help is much appreciated.

House is worth 495k. No rehab needed nothing is needed at all. Heres the hard part im having trouble with helping them.

-Taxes are up to date

-They have a reverse mortgage that they did back in 09 .

-The house is currently in pre forclosure being auctioned off in 3 months

The part that sucks is that their mortgage lender that did the reverse mortgage stopped the payments because it exceeded the original loan amount apprasial if that makes sense. So their not able to keep up with the ridiculously high interest monthly payments which has led the bank to go into foreclosure. Is their any thing i can do ???? Any one done creative financing on this situation ?

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  • Ron S.
    Paradise, CA · Member since 2015 · 1k+ posts · 871 votes
    8y
    Originally posted by @Aaron Ford:

    Weird situation any help is much appreciated.

    House is worth 495k. No rehab needed nothing is needed at all. Heres the hard part im having trouble with helping them.

    -Taxes are up to date

    -They have a reverse mortgage that they did back in 09 .

    -The house is currently in pre forclosure being auctioned off in 3 months

    The part that sucks is that their mortgage lender that did the reverse mortgage stopped the payments because it exceeded the original loan amount apprasial if that makes sense. So their not able to keep up with the ridiculously high interest monthly payments which has led the bank to go into foreclosure. Is their any thing i can do ???? Any one done creative financing on this situation ?

    Huh? I don't get it. Who isn't able to keep up with ridiculously high payments? The only payments on a reverse mortgage are insurance and taxes (Maybe HOA if applicable).

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  • Aaron Ford
    OP
    Property Manager · twin falls, ID · Member since 2017 · 7 posts · 0 votes
    8y

    The amount exceeded the value of the house so their paying the difference

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  • Nathan C.
    Investor · Newport Beach, CA · Member since 2017 · 25 posts · 3 votes
    8y

    @Aaron Ford I'm dealing with a RM also. From what I'm learning (i'm still learning), it seems that RM with FHA guidelines only allows a short sale of 95% of appraised value. It looks like at least in my situation, I can offer no lower than that. If no one makes that offer, it goes to foreclosure.

    When you say worth, do you mean the appraisal that was done in the last 60 days is 495k?

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  • Brett Goldsmith
    Investor · Los Angeles, CA · Member since 2012 · 1k+ posts · 500 votes
    8y

    @Aaron Ford How much is owed on the property? How much is owed to reinstate the account?

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  • Aaron Ford
    OP
    Property Manager · twin falls, ID · Member since 2017 · 7 posts · 0 votes
    8y

    its a reverse mortgage so nothing is owed at all. Taxes are up to date and insurance. And im not sure im in the process of getting the statement.

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  • Dan Roma
    Houston, TX · Member since 2018 · 72 posts · 6 votes
    8y

    @Aaron Ford I have something similar.  Do you have it under contract? So, what is the best offer you can present?

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  • Aaron Ford
    OP
    Property Manager · twin falls, ID · Member since 2017 · 7 posts · 0 votes
    8y

    I dont ,still trying to learn more about the deal and the ways to help them.

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  • Wayne Brooks
    Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
    8y

    @Aaron Ford You are mistaken/confused about something.  There are no monthly payments on a RM,no matter what, ever.

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  • Aaron Ford
    OP
    Property Manager · twin falls, ID · Member since 2017 · 7 posts · 0 votes
    8y

    I know that. Im still trying to figure out the full situation. ill have an update by tomorrow on what their not telling me at the moment.

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