All Forum Posts by: Ruben Ramon

I'm working on a short sale with a home owner. In Michigan, if the property is over 3 acres, the redemption period is 12 months, less is 6 months.

We are almost half way into the redemption. However, the realtor for the servicer (Chase) put a lock box on the property. The redemption period isnt over for over six months. I am tempted to just cut it off, but I want to know if there is a process to this.

So, per this article, I may have to have my property under an s-corp?

Sure, its the June 19, 2008 Realty Times, "Holding Property in an LLC Just Got Tougher" by Diane Kennedy

"Freddie Mac, one of the two largest underwriters of conforming loans on the secondary market, have changed their internal rules to state that they will no longer refinance a property that has been inside of a Limited Liability Company (LLC) for any time within the past 6 months."

Here is the link to the article:
http://realtytimes.com/rtpages/20080619_holdllc.htm

I just read an article recently that stated that Freddie Mac will not purchase a loan that has been under an LLC's ownership within the past 6 months. Is this true? If so, how will this affect investors?

good advise gainsville, thanks!

The contract specifically has those items reserved. The playhouse is real property, it has concrete footings.

I am coordinating a wholesale deal in Michigan. The seller is in foreclosure, and I am almost done negotating with the banks. I found out late last week, that to move out, she sold the fridge, microwave, shed, playhouse (real property) all the draperies and refuses to give all the keys back (she said that she only had one key, she has given that back). The house now smells like urine too. She did this in direct violation of our contract. My end buyer is P____ ___. The final price plus the assignment fee is going to be around $259,000. I stand to make around $15,000 on this deal.

I need to try to keep the deal together as I have a lot riding on it. She sold so much stuff that even if I assigned it to him for free, the seller will still probably have to put money into the property to put it back into the condition it was when all the contracts were signed.

Any suggestions? By the way, the seller has no money either.

When you get the assignment fee at closing, how does that work? I've found a large resistance to title companies doing double closings or paying out a large sum of money to someone just standing in the middle. Further, I've seen a lot of resistance lately from conventional lenders with double closings as well. I would love to be enlightened.

Let me understand this, I finish my negotations with the bank, and then have them directly buy me out.

This HAS to be done outside of closing then, correct?

EDIT: By them buying me out, they pay me an assignment fee.

So if the end buyer is a conventional lender, then pretty much nix the double closing and go with a cash assignment fee instead?