This seems like an opportunity...your thoughts?

[Lisa Higgins]

Oregon beach town, near-prime location, off-market SF fixer. It's an inherited property, ARV about $400k, needs an est. $75k of work. It's also a short sale on a reverse mortgage. The heir has assurance from the mortgage co. that they will accept $180k (although balance is about $280k). Heir wants another $20k to divide among himself and 2 siblings (finder's fee, maybe?). The numbers seem great, but 1) I'm not sure if the "finder's fee" is even legal--the mortgage company says they don't want to know about it; and 2) we have our hands full on a multi fixer and are concerned about using hard money and then letting either property sit. Would this be a good wholesaling opportunity? Any other ideas?

Thanks very much, BP!

[Brett Goldsmith]

Generally you can't assign short sale contracts as they are approved buyer specific. Reverse mortgage short sale lenders generally want to receive an offer at 95% of their appraised value as a mininum.

You'd need to read any arms length affidavit and the approval letter that may be generated but generally giving the sellers/borrowers money as part of a short sale is generally illegal. 

If you disclose it to the servicer and if they don't have you sign anythign that states otherwise then that would be another discussion. But know though on almost all 90%+ of short sales though you will find direct paperwork needing to be signed stating that this is not okay.