Friend Needs Short Sale Help!

[Ibrahim Hughes]

A friend's house is going to foreclosure and he's doing a short sale. There's a 1st mortgage for $340k (foreclosing lienholder) and a 2nd for $37k

The first says they'll agree to $109k and only allow $3k to go to the 2nd. The 2nd wants him to either be responsible for the remainder and make payments for the next x number of years OR pay 60% of the $34k at the closing (which he doesn't have).

Are there any other options out there for him?

Thanks in advance.

[Jackie Patterson]

Ibrahim,

Is there an offer on the property? Who negotiated with the first and second? Are you trying to do a flip, or is it a straight short sale? I would need more information. HAFA might be an option, a professional negotiator might be able to get the 2nd to take less, or set up terms that would be acceptable. You have to look at the whole picture. Does he have an approval letter already, or is it still in negotiation?