All Forum Posts by: Paul Cordero

Don't expect any institution to change their addendums to meet your criteria. Having the bank sign a clause that penalizes them $100/day won't ever happen!

Its called bad servicing, hence the reason Deutshe Bank just transferred 1.5 billion worth of NPNs and REO to my company to service.

Have you put in any offers?

I would suggest getting an agent involved. You will need a Pre-Approval letter from your lender at very least.

It is possible if you are looking for major rehab SFRs or light rehabs in $$$ million bulk range. I doubt you will find move in ready properties @ 60 cents on the dollar in those areas unless you are buying big. Also, That 60 cents that most broker's are talking about is probably not based on current valuations, but based on old BPOs or even worse, origination appraisals.

No, without earnest money there is really nothing to bind you to your offer.

We have buyers walk away from offers and even contracts all day. The fallout sucks for us, but if it doesn't work for the buyer no one can close.

I think the mindset that Chris is referring to is the old school REO bank employee. My company, on the other hand, prides itself on quick liquidation times for our investors. We have the mindset of "If I sell it, they will send more, and I will have a job longer" :lol:

I would say at least 2 more years. It will be different for different areas.

Option #3 seems like the obvious choice, but there are behind the scene numbers that only the bank will see. $20K in additional losses might make this deal a no go according to the investor who owns the REO. There are thresholds that every bank has for accepting offers. This is where a lot of agents/buyers get fustrated with banks and the REO process. They don't understand the bank's logic when they won't accept their offer that is $20K less, then 3 months later it is still on the market and the bank has lowered the list price by $20K. This is the bank's gamble to try to meet their criteria, for example, Lets say the market conditions are stable, and marketing times are 30-90 days according to the agents BPO, or an appraisal, the bank might be inclined to accept offer #1 with a 30 day close and keep the other 2 offers as back ups. It the offer doesn't close in 30 days, the bank will go back to the other two offers and see if they are still around, or lower the list price.

As for the 5 day period before an offer can be accepted...I have never heard of this and it doesn't make sense, but I guess anything is possible. Different banks might have different rules. I would contact the agent via your agent and make the offer anyways. They should keep your offer until the 5 day cooling off period subsides and then accept if it is more than the list price.

The bank buys it back from itself at the FCL sale and then it becomes an REO. I am still trying to figure out why FHA considers this flipping :roll: