Generally the first step the lender wants is to look at a temporary forbearance and repayment plan for short term problems.Then if the problem isn't temporary then they will look at a trial loan mod.Usually the trial loan mod is for 3 months and if you complete that then they will look at a permanent loan mod which is much harder to qualify for.Only about 10 % get a permanent mod.If you can't get a permanent mod then they want you to list as a short sale usually for 90 days.The short sale really doesn't do anything for the owner who wants to stay.Some list anyway and then reject any offers that come in.Then after that the bank will look at a DIL (deed in lieu) or foreclose on the property as a last resort.The DIL sometimes they will give you cash for signing away the property to them instead of foreclosing.Even if you do a DIL or the lender forecloses some banks are renting back the properties to the former owners.They would rather them live in the banks property for cheap then the property be vacant and get vandalized.The losses can be much more to the bank if vacant.As a last resort you could file BK and force the bank not to foreclose and then add in your back payments owed to your chapter 13 repayment plan.If you stop paying the plan however the lender can motion for an automatic release of stay on the property or if you pay the bk plan but not make the regular mortgage payment.This is not legal advice.Every situation is different by state,loan type,servicer and borrower circumstances.

My dad is still an active agent.......yes my father is still kicking and he has not done a SS either, so this should be interesting....LOLAfter I have a POA in hand and a listing, I think we can start.In the mean time, with the information I get I'll contact the bank and give their REO department a shot accross the bow, informing them of the circumstances and request a short sale package be sent to the owner's address in his name, I'm sure I can swing that.Just in my case, dad and I will go in and talk to the RE Broker with the listing and inform the broker of the circumstances and I will be his non-licensed assistant, hired gun, LOL.Second thought maybe I should do this before I do a POA as internally in that brokerage they may want a third party appointed.....hmmm, might have to deal with that mother after all.

He said some like to keep and rent for a while, guess in hopes of improvement in the market, and/or maybe refi during the 12 mo and keep as rental.He loans 85-90% of purchase price and will sometimes, under certain circumstances, finance some repairs too.He gets and gives 12% and keeps 4 pts.

“straddle play” option.One of the quiet creative options ... that you can leveraging when it comes to controlling the deal....Read some of Rick’s articles... at first it may naturally appear that Rick speaks in riddles... but as you gradually begin to read more and more of his posts about “probate”... the more and more you will become to get amused by his comments and gradually begin gathering incredible wealth of knowledge for how to deal with all sorts of probate related circumstances.Sometimes if scenario doesn’t allow for wholesaling perhaps some other type of exit strategy can suffice instead...Or perhaps connecting the dots in this circumstance under this specific set of conditions may perhaps not be feasible...

A partnership, HMLs, maybe you wanted it initially as a buy and hold but as circumstances change, you could buy and flip it.

Shane, yes you're right, but it depends as well, as to how your state looks at the issue in certian circumstances.

If you sign a contract promising to disclose information, it may be fraud if you don't disclose -- but that's true under any circumstance, not just short sales and dealing with banks.

You need to know in advance whether your lender will fund something in this condition, and under what circumstances.

That attorney may be thinking or know that the property is not owner occupied, being owned by an LLC for example, under those circumstances you may be required to have a mortgage originator (or attorney) draft and originate the loan..Much has been written here on the subject of notes and seller financing, search and you'll get lots of info.

It sounds like with your circumstances, a listing agent is needed, especially if you are moving and it hasn't sold yet where same model, worse locations actually have sold.