short sales listed with an agent

[Dan Miller]

I'm a newbie, looking to wholesale. I've been farming thorugh my realtor/MLS in one specific neighborhood, where I'm getting very used to the house style, ARVs, and repair costs. Problem is that 85% of the listings are short sales, and I don't really know how to do those. More specifically, given that they are listed with an agent, I'm sure that agent doesn't really know how to negotiate a short sale any more than I do
(which is not at all right now).

Should I even bother putting in low all cash offers on those properties or just skip right on past them? My current approach is to go at 65% of ARV - rehab costs - wholesale fee to get to my max offer. Obviously, the bank loan is more than ARV or it wouldn't be a short sale. Am I wasting my time making offers on these listed properties?

Thanks,
Dan

[Dave P.]

Christian,

I don't believe your comments are entirely true.

On the contrary, House Resolution 3648 prevents home owners from being taxed on forgiven debt. Obviously, there are some constraints, such as primary residence, no cash out refi's, etc...

Since I am so new to biggerpockets, I'm not allowed to put a link in the post. However, if I did, I would put in a link to the HR 3648 fact sheet which clearly states this.

I'm not trying to be anal, I just think it's important for investors and agents to be well versed when dealing with these matters.

thanks,

dave