All Forum Posts by: Tom Gimer

It's a contract so the terms can be whatever the parties agree... including a notice/cure period. The deed could either be held in escrow until default or executed after default. It's the delivery after default which would make it effective.

Once the lender invokes DOS it's too late to stop the process.

@Kelly Boulton I have an alternative solution to a DIL. DIL requires the defaulting purchaser to give up the dream and sign the property back over... you're not always going to get that kind of cooperation. DIL when done right also requires a current appraisal, legal expenses, etc.

I have what you might call an emergency, break glass type of arrangement.

The original purchase agreement needs to identify exactly what constitutes a buyer default at which point upon notice of default being given the duly appointed attorney-in-fact for the purchaser conveys the property back to the seller.

There's a lot of good information in this thread but if you want to deal proactively with a buyer default and also avoid having to foreclose I do think it can be done... you just need everybody to agree how it will happen up front and put the docs and mechanism in place.

And @Jay Hinrichs makes a valid point that it can screw up title going forward but it does at least get the deadbeat off title where he/she/it is doing all the damage.

@Colleen F. I've had them for 5+ years and haven't had a single problem during that time. In the event of a power outage, the units reconnect to Wifi when it is restored. If there is ever an internet problem they continue to work offline.

I agree with @Alex F. — very happy with the MYSA product… I have 4 in mountain cabin. 

@Russell Brazil That is odd that this is falling on title u/w. The only things I can think of are if lender has made additional collateral a requirement (and none exists) OR is requiring a particular endorsement to the loan policy which cannot be issued under the circumstances. 

2 + 2 = 4

If you get a discount for being in the club, guess who owns / owns a portion of / pays referral fees to this TC company.

@Jay Hinrichs Regardless of what this TC's website says in the disclaimers, the pricing menu arguably reflects the unauthorized practice of law in several places. And yes there is post closing and servicing included plus loan doc prep, etc. I would think some fine tuning of the content is warranted... not trying to be a wet blanket here but just wow.

Earnest money is not a requirement for a valid contract. I promise to pay $W to X seller on Y date for Z property and X agrees to transfer over to buyer Z property at settlement is a valid contract if properly executed by persons with capacity and the property is reasonably described.

Think about it. Is there really a difference between $0 EMD and $100-300 EMD? Not much.

That said, would I ever take my property off the market without a suitable EMD and a method of forfeiting it? Hell no.

@Account Closed Sounds like providing brokerage services to me.

There are third party note servicing companies that specialize in this. They have account setup fees, monthly fees, ACH fees, etc. so it's not cheap but also not as suspect as this very vague arrangement.