All Forum Posts by: Brett Goldsmith

It's tough to know as sometimes these deals take massaging into place. You need to figure out your buyers max and work it from that angle. One typically wants to reduce the purchase price so you can contribute more. So you should be trying to get the lowest purchase price possible based off the banks valuation so more contributions can take place ( these contributions typically can't be baked into the financing and must be cash )

1.) Has the banks value been completed? This is going to determine what purchase price may be acceptable ( usually there is a minimum NET or price based off a % of the banks value )

It does not sound like the short sale is approved. Being approved for a review ( any account can be reviewed ) and being approved are two completely different things.

That 52K lien and 522K lien are quite large. I'd be asking if anyone has contacted them to see what they may be willing to settle for. Depending on their stances will impact how to structure it. The 522k lien is massive so one wonders if they are goinn to require a large amount of funds for some sort of a partial lien release?

Finding out that info at the beginning is very important as if the bailbond company or the other judgment plays hardball it may make the deal extremely difficult or impossible to get done depending on the amount of money they want to release the lien.

There needs to be enough money to go around to satisfy everyone. That can often be the hard part when there is 5-6 liens on a property depending on their balances and stances.

Not sure about a tsunami, but there will be an increase. Many people will get back on track likely due to stream lined modifications, but for those who remain unemployed or got pay cuts, and can not pay their bills, the inevitable is foreclosure proceedings beginning. Also, they trickle out. So you are more likely to see a sustained increase over the next 1-3 years then a tidal wave. 

When I was your age ( I'm 32 ), I always maxed out my Roth as I do think it's very important to do in your 20's. Eventually when I made substantially more money I could max out my roth, sep, and have money for real estate. I believe you can pull out money for your first RE purchase from your ROTH without penalties, but please research this. Real estate IMO can be challenging when you have low capital to purchase, maintain, or weather a storm. I am more of an advocate to just focus on making more money, improving yourself, and eventually you will have money to invest in RE. ( I am bias as this is what I did ) 

On the flip side, my partners never invested in anything besides RE and just stacked cash, flipped a lot of homes, and eventually bought rentals. They are killing it. 

There is more than one path. 

• 
  It's all about the numbers.
  
  Property values do go down at times.
• There are fee's associated with selling a home.
  
• There are costs that compound when you miss payments.
  

You are giving an example that you are assuming the home retained 100% of it's value and was actually worth 100k when purchased. In that example it would still likely be short. 100k - 3 payments - closing costs = likely short.

What if you bought a home for 100k and you tried to sell it a month later but you only got an offer at 95K or 90K?

People are typically short because they overpaid and had to resell quickly, they accrued massive arrears, or the market declined and it put the value upside down.

Best of luck!

What type of loan was on the property? Sounds like it may of been a reverse mortgage due to your 90 day comment.

Is the son the executor of the estate, did it go through probate? Or was it in a trust? If there was no trust there would need to be an executor to sell the home or go through the short sale processor for the deceased borrowers debt.

Research your states foreclosure process on nolo.com if you want a better understanding of potential times frames and the foreclosure process.

Likely a poor angle to approach. Trying to buy a one off asset from a large servicer or investor prior to them listing the home as a REO isn't how they are setup to do business. If it's a small private investor or credit union then you may have a chance.

Some are foreclosure auctions, short sales, and others bank owned homes. Possible sale dates got postponed, buyers walked, etc. I have sold homes to several auction.com winning bidders on some of my short sale listings. 

Are you being countered? The servicers do a valuation on the home and typically counter to their valuation and will accept an offer or NET based off their investor guidelines. 

What is owed and what is the home worth? If it qualifies for a short sale then yes, they would take less than what is owed. Many reverse mortgages are serviced by NOVAD Consulting which is HUD's national servicer. They fall in this category when they are HECM reverse mortgages. They will take 95% of the appraised value as an offer.

I wouldn't really worry about getting any designations right now if that's what you are implying to boost real estate resume. I'd focus more on education  involving lead generation, communication involving sales, and sharpen up on standard real estate knowledge ( comping homes, investment lingo, general escrow / closing process, roles of different parties involved in a real estate transaction )