Purchasing the home I have a note on

[Adam B Henderson]

Hey,

I am looking to buy a note for around 40k and the UPB is 90k. If I buy the note for 40k can I offer to the borrower 5k to buy the home from him and relinquish all his debt and I get the home. This seems much quicker than going through foreclosure and dealing with some backlash. Didn't know if it was legal, figured it might have to go through the whole foreclosure process so that it gets offered out to everyone.

Thanks for all the help

Adam

[Dan Deppen]

Yes, its called cash for keys. You are offering the borrower cash in exchange for doing a deed in lieu and having them cleanout the home and vacate in an orderly manner. 

Its perfectly legal. Just run a title report and see if there are any other liens. Some liens require a proper foreclosure to be stripped out.