All Forum Posts by: Isaac Black

The house is in Gladstone Missouri.

I have an extremely interesting situation in front of me. I found a home that is pre-forclosure and set to sell at auction in 10 days. I have contacted the home owner and found that he is 6 months behind on his mortgage owing 16k in unpaid monthly mortgage costs. He has claimed that he spoke with his loan attorney and if I wanted to pay off his last 6 months that he would transfer the title of the house and mortgage to my name. He still owes around 127k on the house. Supposedly I can take over the mortgage and refinance it however I like. Is there any validity in this? This house has an ARV value of roughly 290-320k hence my great interest.

The payment would be a wired transaction where we sit down with his attorney and title company to sign rights to the home over. Given that the bank still would have an unpaid note I do not understand how this can be something that they would go for. Should I instead discuss paying him the 127k remaining + 16k in owed mortgage to total 143k? What can I possibly do?

@Jason DiClemente 

Ah! Brilliant, thanks for the clarification. 

Something I do not fully understand is people saying they buy a house for 100k, fix it up for 40k, refinance with appraisal where house is work 160k, and then they claim they pocket 20k? This concept does not very well make sense to me, can anyone better clarify? Hopefully this is not too vague.

With the drug and theft issues in saint joe I think its a very risky investment personally. That being said if the tides shift, saint joe could be a good long play.