Property in preforclosure and loan under water
Hi all, I found a house on my jogging route that really interests me. It just went into pre foreclosure with an auction date in 3 months . The title is in the name of a husband and wife. The husband died in 2008 and the wife died in Feb of this year. I checked the county records and the mortgage was by Countrywide in 2007 and states "up to a maximum principal amount of US $472,000". From that verbiage, would this be a reverse mortgage or a HELOC? I am assuming that they went to the max.
I found the obit for the husband and he had 4 children who are now in their 50s. I located one in a town about 50 miles from her. I have called and emailed and she hasn't responded. I am assuming that they have washed their hands of this property as its under water.
This house totally fixed up would sell in the high $300s. I calculate that it would need about $50k. Its a small house but needs all but new enough that I probably wouldn't have to do all new electrical and plumbing. It currently is in disrepair and obviously hasn't had maintenance work for at least 10 years.
I need advice. How do I proceed? Should I contact a short sale specialist to see if I can get an offer in? I would like to offer $250k. What do you guys think?
Most Popular Reply
Without a willing seller - you have nothing. Try and locate one and see if they are interested, otherwise you will have to wait til it comes on market after foreclosure.