Two loans on one property - Possible Foreclosure

[Frank S.]

Property in Illinois

200K listing

300K owned to Bank #1

40K owned to Bank #2

Bank #1 indicated court proceedings. Motion for a default withdrawn. Await motion for summary judgment ( will be responded)

Fastest Sheriff's sale: July, according to Owner's legal adviser.

Property has structural and cosmetic issues. The real market value may be $150K to $170K. ARV could be $350K.

How likely is Bank #1 approve a low offer of $150K, or will they pursue foreclose.

What about Bank #2?

It's sad to see this. I'll survey the property and will keep an eye to the auction sites in case they don't reach an agreement. If it goes to auction, at least I have seen it already.