All Forum Posts by: Da Deep

UPDATE: Seller is stuck on "I want 30k and I don't care how you get it to me"

QUESTION: If the seller doesn't want to play, can I contact the lender and apprise them of the situation? Can I tell them a) I want to buy the house, b) my financial situation is excellent, c) the home owner is a derelict alcoholic who is trashing the house, d) she's asking me for 30k on the side....etc..???

Will the bank even listen to me or will they only want to talk to me once the property is REO?

By teh way, the home owner thinks her friends have advised her of a new law that will enable her to live in the house rent-free for another year before anything can happen. amazing.

UPDATE: Called four law offices in this area. Asked to speak with a lawyer who deals with residential real estate. All four attorneys I spoke with did not know what a short sale is. I'm not making this up. Eventually found two law offices in adjoining areas where I was able to speak with somebody who knew. They both advised me against making any side deals with the seller unless they were in full disclosure to the bank, which defeats the purpose from the seller's perspective anyway.

I am waiting to hear from the seller. If she still wants to go forward, we will. Otherwise this deal is dead.

how's the fed rate cut going to impact mortgage rates, if at all, over the next couple of months?

Hi Scott H., Thanks for taking the time to pen down your thoughts on the matter .I like your suggestion of videotaping the property before signing a contract. I'll definitely do that.

This area is "hot" despite the softening national RE market. In the 500-800 price range, there ARE no decent homes available for sale. I've been looking for 4 months now. I have to be careful not to put in an offer that's TOO low. Don't want the bank to throw out my application. I'll be hiring an attorney in the next few days.

thanks, DD

I have never followed any "tricks" to increase credit score. The only thing I have consistently done is to make loan payments in a timely manner. Score is 797.

Oh, couple of things came up.

1. The lender is Countrywide, not BofA. Maybe she said BoA because they bought Countrywide. Anyway.

2. I'm quite sure she had PMI. There's no way she put more than 20% down when she bought the house. Can't Countrywide just collect from the insurance company instead of entertaining a short sale arrangement? Just wondering if the seller having PMI works in or against my favor.

thanks, D

Originally posted by David Peeples:

I suggest that you get your own attorney.

PS - things like this don't matter to the bank:

This makes me an ideal buyer as far as the seller is concerned. More importantly, the seller doesn't have to wade through agents, scores of "potential" buyers when most aren't going to be as much of a perfect "fit" as I am.

You are right in a perfect world. However, the loan servicing industry is far from a perfect world. Picture a call center with dozens of callers answering the phones. They are hourly personnel that are armed with a script and a computer. Their sole job is to get a "complete" file and forward it on to the next level "negotiator" or "loss mitigator" or whatever. The person answering your call has no authority to make any decision other than forwarding your file or not.

I'm not trying to bum you out, I just think it's helpful to know what to expect.

Thanks, I agree that the bank is a whole different ballgame. I haven't gotten to them yet. Right now I'm still wallowing with the seller and her attorney. To THEM, I should be a perfect match. The bank is going to be a whole different game, like you said. baby steps....

Yes I'll definitely be getting an attorney if I see this going forward....no question about that for sure...

I remember going to cali on business trips and making excuses to skip paid business lunches, so i could gorge at In n Out. Yep, that's some really good stuff.

Originally posted by Caitlyn Coyle:

If you have 3.5% for a down payment, you can obtain FHA financing; provided, however, that the property meets FHA's minimum standards for health and safety.

Don't give the homeowner one thin dime "outside of escrow." You and the homeowner must sign a statement under penalty of perjury that no side agreements were made as a result of the lender's approval of the transaction.

I'll be putting down 30-40%, have a credit score of 797 and I can close in 1 month or 6 months. This makes me an ideal buyer as far as the seller is concerned. More importantly, the seller doesn't have to wade through agents, scores of "potential" buyers when most aren't going to be as much of a perfect "fit" as I am.

As for offering the seller money "on the side", the seller has asked me to talk to her RE Attorney tomorrow. As per her attorney, it is perfectly legal for the seller to do a side deal with me for 30k as money paid towards house furnishings. She'll show that the house is being sold fully furnished. If I were the bank and I knew she's getting 30k for whatever she sold, I would go after that money, correct? So yes, I don't feel comfortable with this. Let's see what her lawyer hits me with tomorrow.

thanks, DaDeep

Just made a small donation. Looking forward to making a big donation upon completion of my first 'deal' :)