All Forum Posts by: Dereck Watson

Sorry, in my multi tasking I used the term short sale where it makes no sense. You are all correct it would not be a short sale. I did not pay for this list it is just a local realtor who wants to be able to list the properties once they are rehabbed. 

@Jon Holdman thank you for ignoring my short sale comment and clearing up all the questions I had! that was the exact response I was hoping for and i appreciate it greatly! 

Hello everyone! I recently came across a list of leads being offered by a realtor of short sale opportunities where the sellers were being foreclosed on while having tens of thousands of dollars in equity with the home. I believe I understand how to leverage these opportunities and convince them they are better off going through with a short sale than letting the bank take the property back, but I have a few questions I was hoping someone could help clarify for me. 

What exactly happens to the equity in the home? Is it forfeited by the owner? Do they receive the difference in sale price once the foreclosure auction/REO sale goes through?

What are the likely fee amounts that will be charged by the bank for the foreclosure process that will begin to eat up the equity in the home if it is not forfeited completely?

How likely is a bank to attempt to sell the property for anything more than what is owed on the mortgage?

Thank You in advanced to anyone who can help!  I feel there is a great opportunity for us here with these leads and just want to make sure I am completely clear on how to position the negotiations.