All Forum Posts by: Erick V.

Thank you Wayne.

But the bank is allowed to take a short pay off if they wanted to correct?.. I'm on title, and if I offer the bank a short payoff... are they legally permitted to accept? if they accept, and there are no other liens, does the property become mine free and clear?

I buy an HOA lien through foreclosure and get on title. If the borrower is deceased, and the 1st lien payoff balance is less than market value, can I sell the property?

Or if the payoff balance is more than MV and I have to do a short sale, is the bank allowed to accept a short sale or is a probate required first?

Thank you all for the replies. 

Hi all...

I know someone who has purchased a few np-notes and he "self-service" them instead of hiring an actual servicing company. I have recommended him to use a servicing company but he says that it is NOT a law requirement to have one. The notes he has purchased are usually in the final stages of the foreclosure, some already have judgments, and some even have sale dates.

I feel safer using a servicing company but my question is... is it required to hire a servicing company if you're a private investor, or can you do it yourself if you know what you're doing?

So the borrower still has the deed and the 3rd party investor has the title? So if I were to reach out to the 3rd party investor now to feel them out on their intentions, and theyre willing to transfer title to me for a price, and I close on the purchase of the note, I still have to reach out to the borrower? Can't I just do a "satisfaction of mortgage" like a gift from heaven to the original mortgagor?

By the way this is all assuming the numbers make sense, the hoa is up to date paid the 3rd party, etc.

also, I know all of this has to be done with the help of an attorney which I have but I love to hear from first hand experience and knowledge.

Thank you Dion. I appreciate the feedback. I'm not looking to buy the HOA lien. I'm looking to buy the 1st lien. The scenario is exactly how Wayne Brooks explained it.

I've only made a bid on the note, I haven't bough anything yet. First I want to see from experiences how cooperative these hoa lien investors/title holders are to work with.

Also like Wayne said, what would I do with the original mortgagor in this situation?

You're probably right. They'll probably want something close to what they would get in rent for the remaining time before the sale date. I guess I'll call the foreclosure attorney to see how long before we can get a court date for judgment and estimate the sale date after that.

Patrick I don't understand your responses. You're not really telling me anything. You're not telling me why you feel that way and/or why you think I should steer away from such a note.

Lets forget about this specific note and lets forget about me for a second. In general terms, would you buy a note in this scenario? why or why not?

Thank you Patrick. I honestly don't think its a complicated deal. I know that if I get this note I just have to proceed to taking it to foreclosure, however long it takes, and take title. I know there is no longer an "HOA lien" on the property since it has been paid off by the investor. However, I rather workout a cash for deed instead of waiting for foreclosure.

My question is more about your experiences in dealing with these type of title holders. I do plan on contacting them to find out what it would take to agree on a cash for deed.

My only real question is, the borrower, what role do they play now? Do I need to contact them for anything? If I come to an agreement with the title holder, do we need cooperation from the borrower? Or do I obtain title and then just satisfy the mortgage for the borrower?

I'm looking at a npn of a property located in a gated community with HOA. The title is currently under a company that purchased the HOA lien through auction a little over a year ago.

If I wanted to offer a quit claim deed/cash for deed, how would it work? Since now I'm dealing with two different people, the title holder and the borrower.

I know investors that buy HOA liens do it for the purpose of renting out the properties while waiting for the senior liens to foreclose. How hard is it working with these investors in trying to obtain title from them before the foreclosure?

Since the HOA lien is paid off and assumed up to date, Does this investor have a lien on the property or do they just have title? If they do have a lien on it, this would be an unsecure lien correct? and it gets wiped out at foreclosure correct?