All Forum Posts by: Brett Goldsmith

Depending on your state there are programs that track it. For example, I use propertyradar.com in CA. If you know the trustee or forelcosure attorney's # you can call them too, but typically I only do that if I'm already involved or doing deeper research into a deal. 

@jake same thing as what makes any property a good deal...  Buying a good property for below cost that meets your investment criteria and has substantial upside.

It's just important to understand that certain short sales have a lower probability to get done then others. This typically has to do with borrower cooperation or if the title has multiple judgments, etc. Sometimes there's not enough money to go around to appease everyone or it kills the margins. You typically don't know until you try, but in some cases it's obvious from the get go if you have the experience.

Yes it CAN be.

Like any subset of purchasing a property by the means of "probate, short sale, REO, subject-to, etc" does not make a deal a good deal or a bad one. A deal is either good or it's not. It has nothing to do with the process required to purchase it.

Some short sales are great deals, some are fair market value, and others can be above.

At times though, you may get a great deal with a short sale, if the bank approves it.

Short sales are speculative and can take some time. It's worth a shot  if you can place an offer at a price you'd be very happy with, but  be patient, and don't get attached. Not all short sales get done at the price you want and some may never get done at all.

Got it. You need to find out more about what's going on. Has the bank done their valuation? Has the valuation returned? Is there a specific reason for the hold up? Some short sales do take 9 months, but typically that means there is some sort of issue popping up.

Surprised the agent allowed you to move in. One of the most common reasons for litigation in real estate is early occupancy. Especially on a short sale as they are speculative and have no guarantee to get approved.. Who is the one facilitating the short sale with the servicer, the listing agent? This transaction the agent is representing both sides? Sounds like the agent may want to hire a professional to help out if they are having issues pushing this through.

There is more flexible on reverse mortgage short sales than other deals. Buying personal property or paying an heir to cooperate may be acceptable as they are not a borrower on the loan. Obviously this should be disclosed to the servicer.

Real Estate is less passive than stocks and can be much larger liabilities as you are experiencing.

I personally have made substantial more money in RE, but only because I have purchased the right properties that I had substantial equity from the beginning or the opportunity for forced appreciation. I agree I'd rather have money in stocks or index funds than a property that doesn't meet my investment criteria for short or long term holds. Some properties are simply liabilities.

Depends on your credit and if they report it. Many large GSE's to my understanding aren't going to ding people if they do a forbearance and transition straight to a loan modification due to covid. If your credit isn't dinged, it may not affect you negatively at all and you should be able to refinance as soon as possible if you are eligible.

If the lender becomes aware of the forbearance plan, or the loan modification because it was recorded ( i'm assuming you have a recorded partial claim due because of the FHA loan ) , or if your credit was dinged than that would be another story and could prevent you from getting financing for a period of time.

There is no straight answer without having your situation reviewed. 

It depends on the servicer/investor on the loan on if it's allowable. Some allow it, most don't.

If the estate is insolvent then it likely doesn't matter if the administrator lets it go to foreclosure. If the estate is solvent then a short sale is likely a better option if deficiency judgments are potentially applicable to this transaction. For a short sale, administrators aren't typically compensated, but commission is paid out to realtors. You may need to see if they'd be willing to cooperate in signing some paperwork if they were compensated. Someone else could do the short sale processing work.