Negotiating price with bank on a home with a Reverse mortgage

[Keren Adaki]

Does anyone have experience with reverse mortgage? Trying to buy a deceased neighbors home (who has a reverse mortgage on it and actually owned more on it than it’s current estimated value). Will the bank negotiate with me or the executor of the home? (The daughter). Any words of advice/experience?

[Lydia R.]

@Keren Adaki No realtor needed. Get authorization to speak with the loan servicer, explain that you are helping family sell the house but the property is worth less than the payoff, they will send an appraiser and once appraisal comes back they will accept 95% of the appraised value.

You will have to go through their short sale process which is a pain in the you know what but thats generally how it works. It works in your favor if the house is in bad shape.