New to Short Sale Investing - great property available

New to Short Sale Investing - great property available

Dartmouth, MA · Member since 2016 · 40 posts · 10 votes

Hello, I have a general Short Sale question. I am in the market for multi-family properties in my investment area and looking to get my start in real estate investing. 

I've located a short sale property that is a 3 family, currently 2/3 occupied, and fully rented would cashflow $300/month, so I know it would be a great cash-flowing property. (I am confident in my numbers, accounting for property management, long-term and short term maintenance, 8% vacancy, etc. etc. for a total expense of 55% of gross income, and and expenses + income growth of 3% per annum). 

I've located the current owner contact information, the listing agent, as well as the mortgagor, and at this point I'm wondering what my next steps should be. Contact both the current owner and mortgagor citing my interest in the property and present an offer? Reaching out to the listing agent? Building a documentation package? 

Any guidance would be great help, I've been scouring the forums and blogs to find more information but would love to get in contact with someone well versed in short-sales. 

@Molly Armando

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  • Chris SeveneyBusiness Member
    Moderator
    Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
    10y
    Don't over think this, if the property is listed with an agent then if you try and contact the bank they most likely will not talk to you. I would recommend you get your own agent and have them make an offer on the property. They may have some insight or be able to get additional information on the property that you may not of been able to get just dealing directly with the sellers agent. Be prepared for the timing to not be quick and you may wait months only to have the offer rejected. Short sales in today's markets are tough to get through as many lenders are going back after the seller for the outstanding balance
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