All Forum Posts by: Jay Feldman

We handle all of it.
I am not sure I understand what your are asking. We start with a customer who is upside down and will be foreclosed on if they cannot sell. We negotiate on there behalf with the bank building a case that proves it makes more sense to sell the house at "X" price then let it go to foreclosure. Throughout the process we attempt to convince the bank not to ask for a deficiency judgment. In the end we either buy the house or find a buyer. Along the way will in many cases list the house, supply comps, do estimates on the repairs needed, what ever is necessary, etc. When we succeed the customer avoids foreclosure and hope fully a deficiency judgment. I have seen conflicting info on exactly how much better a short sale is than a foreclosure or deed in lieu but in all cases we (and our customers) feel they come out ahead as well as having some one to hold their hand along the way. Considering the options it is a win/win solutions for all parties.

In all short sales I have seen, the bank stipulates the seller cannot receive any cash from the sale. Therefore that leaves only the bank to pay fees for loss mitigation. I believe with the huge back log the banks have and the tsunami of defaults that are coming there is a overwhelming demand for our services. Problem is like you said above we have to get paid for the vast amount of time these require. Does that answer your question?

Originally posted by "NCREOATTORNEY":

I am getting a ton of calls about performing loss mitigation work for home owners... To all of you doing this work who pays your fee??? Banks ot Debtor??

What are the fees?? $100s or $1000s.... I am not an agent and I do not do BPOS or inspections,, I am an attorney, and I negotiate and draft documents.... I would love to help these folks out and take on this work, i just have to get paid...

I too am very interested in any responses to this thread. We have have had a lot of success getting short sales approved. Some if them we purchased, rehabbed and resold, some we have just resold and others we have just found buyers. I would like to concentrate on buying and rehabbing and negotiating short sale for others. Doing the latter we could have an unending amount of business if we can find a way to get paid a reasonable fee (like 3.5 % of the purchase price) by the banks in addition to the realtors fee. We are experimenting with a number of methods to gat paid. (all from the bank) Unfortunately non of them are proven yet. I am not a realtor but my partner is. Working for only the realtor fee is just not a viable route.
Happy Holidays

Are you allowed to advertise here? Most forums do not allow it.

Got it.

Yes I have read a number of articles about it (Bushes plan) and have questioned all along weather it would really make a lot of difference. I do not think so.

I believe there is a tsunami of foreclosures coming in 2008. Tighten your seat belt, we are going to be in for one hell of a ride. (or is that crash) I feel bad for a lot of folks but someone has to pick up the pieces and if we can make a difference (for the better) and a profit at the same time helping with the recovery so be it. Do not get me wrong I am not one of the vultures. It is amazing how many of them are out there in this industry as well as the folks who do know what they are doing (but know one told them) and do not realize the caution one needs to have when working with someone else's credit and life especially in the emotional state most people are in when going through a foreclosure. It might be me but I think it is ridiculous when I hear news that the market will start to improve the end of the first quarter of 08. My feeling is it will be at minimum 12 months if not 24 before we see any significant improvement. And thats if we are lucky.
Thats my 2 cents

Yes I could down load it and yes sounds like it is a massive problem and getting worse.

I probably missed it somewhere but who is

"Bush and Paulsen claim to have a plan to reverse the problem, but that won't fly because most of the defaulted loans are in securitized portfolio's. "

Please keep the articles coming.

Test sucessful

Thanks

I would like to see the article as well. How can I get a copy?

Originally posted by "4EverLearning":

3- setup a land trust with them ( which they will be the beneficiaries and either me or a disinterested party the trustee)and have them sign a "warranty deed to trustee" doc which i will record at the my local court house,

Just my 2 cents. Be very careful about recording anything at the court house when working a short sale. If the bank finds out there is a transfer of deed on the land records it can kill the whole deal. In addition Simultaneous closing are becoming harder to do in some states (for all I know all states) . Beside the "practicing real estate with out a license" you can be charged with bank fraud. We will not do any simultaneous closing because of that. Talk to you attorney and get his opinion before you proceed. A good attorney will pay for themselves by saving you money you would have lost and keeping you from being sued. That said unfortunately there are very few attorneys who understand how investors should work, stay with in the law and also be ethical.

This is my first post. This forom is excellent.
I am not sure if this is the right place to post this but I am working a short sale deal and the end buyer will be using an FHA loan to purchase. I have read that with FHA the seller has to be the "owner of record" and they have had to own it for at least 90 days. I want to double close this but I am not sure what vehcle to use. I assume there must be away around this. The rules are to prevent preditory lending and excessive profit this is an honest deal with a reasonable profit. Please help.
Thanks
Jay