Finding homes with 2 loans for shorts

[Samuel Ksiazkieicz]

I obviously like preforeclosures with 2 loans, to be able to short the second one and create more equity, but havent found a solid method to find homes that have 2 loans. Right now I am just relying on luck from people bringing me their pre-foreclosures, that some have 2 loans.
Does anyone have a good method to find out how many loans are on a house?

[Clifton Jones]

It might be that you want to explain your business model better. You are actively looking for potential short sale properties with 2 loans. That I understand, but your supposition that this will allow higher equity is not necessarily the case.

Most, if not all, lenders will use the BPO/appraisal to set the lowest price they are willing to accept. If the property is worth $200K FMV per the BPO and the 1st is owed $340K, then how is having a 2nd mortgage in this scenario allowing you to produce more equity?

If you are shorting the 2nd, but taking the 1st over as a Sub-2, it is much more understandable. In this scenario, your question will work very well and allow you to receive a higher equity than through a normal short sale, depending on the amount still owed to the 1st mortgage.

If you could provide a more detailed explanation of your reasons for wanting properties with 2 mortgages, it will help in getting your question answered.