- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
Anyone with experience of purchasing a short sale home?
Posted on 1/10/12 at 1:13 pm
Posted on 1/10/12 at 1:13 pm
I am in the process now. I was warned it would be long and painful and I am prepared for that.
My fear though, is that the buyer of my current property will get tired of waiting and I will have to find another buyer. As of now, they are content, and actually renting just up the street. I am content as well.
Just looking for stories/ advice. Thanks.
Oh, the seller I am buying from mortgage company is met life, in case any realtors answer.
My fear though, is that the buyer of my current property will get tired of waiting and I will have to find another buyer. As of now, they are content, and actually renting just up the street. I am content as well.
Just looking for stories/ advice. Thanks.
Oh, the seller I am buying from mortgage company is met life, in case any realtors answer.
This post was edited on 1/10/12 at 1:15 pm
2
Posted on 1/10/12 at 1:24 pm to deuceiswild
Just curious, why would you keep the buyer of your current property in limbo because you're buying a short sale?
Posted on 1/10/12 at 1:45 pm to Martavius
Not keeping them in limbo. They are aware that this can and likely will be a long process. I'm just not sure they understand just how long these things can take.
I'm doing pretty well for myself, but I'm not in position to hold two mortgages. The contract they signed to but my home is contingent upon my being able to purchase the home I'm trying to purchase.
I'm doing pretty well for myself, but I'm not in position to hold two mortgages. The contract they signed to but my home is contingent upon my being able to purchase the home I'm trying to purchase.
Posted on 1/10/12 at 2:31 pm to deuceiswild
This seems backwards, usually its the other way around...Why would you hold up the sale of your house for this?
I would sell and then rent until the short sale goes through for the house you want.
In this market, I'd be afraid of my buyer having problems and the sale falling through for any number of reasons.
I would sell and then rent until the short sale goes through for the house you want.
In this market, I'd be afraid of my buyer having problems and the sale falling through for any number of reasons.
Posted on 1/10/12 at 2:51 pm to deuceiswild
WHy would the process of buying a house hold up the process of selling a house? It's usually the other way around.
If you've got a qualfied buyer on the hook, you need to close the deal sooner rather than later. What you're doing doesn't make much sense.
If you've got a qualfied buyer on the hook, you need to close the deal sooner rather than later. What you're doing doesn't make much sense.
Posted on 1/10/12 at 2:52 pm to wolftiger
No way would I take this chance.
If it were simply the wait, then yes I'd agree with you. But it is FAR from a guarantee that the short sale will go through. Met life is a big company and there are lots of stories out there If you look around. The home can be sent to foreclosure even though they are already holding an offer from a purchaser. The seller can declare bankruptcy, etc. There are a TON of ways this can all fall through.
I listed my house simply to be able to make them a more solid offer....now they do not have to wait for me to sell my house first.
All I know right now is that my offer wasn't rejected. It's made it's way partially through the process. A BOP was ordered on the home. I have no idea how that will compare to my offer though. I am fairly confident that I will come out with 100K + in instant equity if this goes through. I don't need this house. I simply want it, and I want it at this steal of a price. If it falls through, then so be it. There's nothing wrong with where I am now except that it's an older neighborhood and lots of new people are moving in.
If it were simply the wait, then yes I'd agree with you. But it is FAR from a guarantee that the short sale will go through. Met life is a big company and there are lots of stories out there If you look around. The home can be sent to foreclosure even though they are already holding an offer from a purchaser. The seller can declare bankruptcy, etc. There are a TON of ways this can all fall through.
I listed my house simply to be able to make them a more solid offer....now they do not have to wait for me to sell my house first.
All I know right now is that my offer wasn't rejected. It's made it's way partially through the process. A BOP was ordered on the home. I have no idea how that will compare to my offer though. I am fairly confident that I will come out with 100K + in instant equity if this goes through. I don't need this house. I simply want it, and I want it at this steal of a price. If it falls through, then so be it. There's nothing wrong with where I am now except that it's an older neighborhood and lots of new people are moving in.
This post was edited on 1/10/12 at 2:55 pm
Posted on 1/10/12 at 2:54 pm to deuceiswild
quote:
I am fairly confident that I will come out with 100K + in instant equity if this goes through.
How do you figure this? The house isn't going to magically appreciate just by changing hands.
You do realize that the home being sold for less than the outstanding mortgage for a reason, right? It's because that's how much the house is worth now.
This post was edited on 1/10/12 at 2:56 pm
Posted on 1/10/12 at 2:56 pm to Martavius
Right, but I know what other comparable homes in the neighborhood are selling for. And because we met the seller before the house was listed, I also know what she owes on the house. And I know she hasn't paid on it in over a year.
I offered 20K less than she owes (which is a lot less than other homes are selling for) with hopes that it will slip through.
I offered 20K less than she owes (which is a lot less than other homes are selling for) with hopes that it will slip through.
Posted on 1/10/12 at 2:58 pm to deuceiswild
quote:
Right, but I know what other comparable homes in the neighborhood are selling for.
THose comps are all going to go down once your short sale is factored into them. I'm sure your new neighbors will love you, BTW.
quote:
I offered 20K less than she owes (which is a lot less than other homes are selling for) with hopes that it will slip through.
When it "slips" through, that will be the new market value of that home.
This post was edited on 1/10/12 at 3:00 pm
Posted on 1/10/12 at 3:02 pm to Martavius
The home is worth somewhere between the appraised value and whatever someone is willing to pay for it. Simple as that.
Met life is losing money right now on this house and they have insurance to cover these losses.
I'm not here asking for assurance or to get a nice fuzzy feeling. I am prepared for this to fall through and possibly have to offer more money. Yes, I'm trying to get the home for a steal, counting on incompetency of met life, and corporate buffoonery. I'm hoping this one slips through the cracks. If it doesn't, then so be it.
Don't be fooled into thinking these companies do their homework on every single one of these things. There are countless stories out there where the company had solid offers for full list price, but sat on it for so long the home ended up going to foreclosure and they got even less money for the property.
I'm taking my chances is all.
Met life is losing money right now on this house and they have insurance to cover these losses.
I'm not here asking for assurance or to get a nice fuzzy feeling. I am prepared for this to fall through and possibly have to offer more money. Yes, I'm trying to get the home for a steal, counting on incompetency of met life, and corporate buffoonery. I'm hoping this one slips through the cracks. If it doesn't, then so be it.
Don't be fooled into thinking these companies do their homework on every single one of these things. There are countless stories out there where the company had solid offers for full list price, but sat on it for so long the home ended up going to foreclosure and they got even less money for the property.
I'm taking my chances is all.
Posted on 1/10/12 at 3:07 pm to Martavius
quote:
When it "slips" through, that will be the new market value of that home.
We can agree to disagree on this one. If you haven't noticed, there are several areas of south Louisiana that are not participating in the recession. Would the neighbors love me more if I bought it at a foreclosure sale? I am not in trouble with my mortgage. I am not selling the house short. I'm only trying to buy it. Do you think icshould just fall in line and buy it for 100k more since it's more "I'm line" with other home sales? Whatever.
As I said, I'm not asking for warm fuzzy feelings here. I'm asking if anyone has gone though this before and if they have any advice.
The home is well worth what I'm going to get it for, if I get it. That's what matters.
Posted on 1/10/12 at 3:13 pm to deuceiswild
quote:
If you haven't noticed, there are several areas of south Louisiana that are not participating in the recession.
quote:
Do you think icshould just fall in line and buy it for 100k more since it's more "I'm line" with other home sales?
Where did I say that? You are the one that seems to think this distressed property is going to magically regain all of it's lost value after you buy it.
quote:
As I said, I'm not asking for warm fuzzy feelings here. I'm asking if anyone has gone though this before and if they have any advice.
My advise is to get more realistic on what you expect the home to be worth after you purchase it. You could end up in a negative equity situation yourself if your part of South La. decides to start participating in the recession. Home prices are still falling. The guy across the street coud go into default and his home sells for $50K less than what you paid. It's a very realistic possibility.
quote:
The home is well worth what I'm going to get it for, if I get it. That's what matters.
And you should be of the mindset that it's not worth a penny more than that.
This post was edited on 1/10/12 at 3:16 pm
Posted on 1/10/12 at 3:18 pm to Martavius
quote:
And you should be of the mindset that it's not worth a penny more than that.
Fine. I get your point. I'm not buying this home with intent to flip it, even though I most likely could at a decent profitt.
Now, have you ever been involved in a short sale? do you know anything about them other than what they are by definition?
Posted on 1/10/12 at 4:04 pm to deuceiswild
Make sure you stay on top of the bank to get it processed. It's very easy for something to get lost in the shuffle. Find out the processor handling the file (the realtor for the seller has probably been in contact) and make sure that person has everything that's required for an approval. Keep pushing and it'll get done a lot quicker.
Posted on 1/10/12 at 4:17 pm to fillmoregandt
Yeah, I hear from my realtor a few times per week (he's doing all the work, obviously). We know the name of the MetLife negotiator, but contacting this person is next to impossible. You get a different person every time, and many times the person you talk to has no clue what's going on. On one phone call though, a person who seemed to care did say they felt like this deal was going to go through, but that was about it.
I'm just hoping their own beaurocracy hinders them and this one slips through.
I'm just hoping their own beaurocracy hinders them and this one slips through.
Posted on 1/10/12 at 4:49 pm to deuceiswild
deuces,
I like your plan and hope it works out well for you. We are looking to upgrade to a larger home sometime in 2013 with a similar plan. I have struggled with the same issue of finding a FSBO buyer then quickly pouncing on a distressed property to buy - the trick being keeping the buyer lined up despite the bureaucracy.
Good luck with everything!
I like your plan and hope it works out well for you. We are looking to upgrade to a larger home sometime in 2013 with a similar plan. I have struggled with the same issue of finding a FSBO buyer then quickly pouncing on a distressed property to buy - the trick being keeping the buyer lined up despite the bureaucracy.
Good luck with everything!
Posted on 1/10/12 at 5:01 pm to Bayou Tiger
I hear you, but the way this all came about wasn't really 'a plan' for me. It's just working out this way. There's a lot more to the story that I haven't mentioned because it didn't apply to my actual question.
I've been dealing with the seller for about 8 months now- long before the house was actually listed. I actually offered to pay the property off. MetLife didn't even respond. Actually they responded 6 months later and told her she had to list the house with a realtor when they approved her to short sell the house. I feel my advantage is that the seller spilled all the beans to me long ago.
Then after reading story after story on realtor forums, and realizing that many of these mortgage companies can't seem to get out of their own way, I figured I was gonna sign a contract with the realtor for much less than I originally offered. There are countless examples of companies dragging their feet for so long and losing out on many thousands of dollars because of it. I'm hoping it works out for me.
That said, regarding the earlier discussions, I fail to see how the seller being unable to pay their mortgage diminishes the value of the house. Actually someone can easily make MetLife an offer much higher than mine right now, since they haven't officially accepted my offer yet. My offer is in limbo. We're just waiting.
I've been dealing with the seller for about 8 months now- long before the house was actually listed. I actually offered to pay the property off. MetLife didn't even respond. Actually they responded 6 months later and told her she had to list the house with a realtor when they approved her to short sell the house. I feel my advantage is that the seller spilled all the beans to me long ago.
Then after reading story after story on realtor forums, and realizing that many of these mortgage companies can't seem to get out of their own way, I figured I was gonna sign a contract with the realtor for much less than I originally offered. There are countless examples of companies dragging their feet for so long and losing out on many thousands of dollars because of it. I'm hoping it works out for me.
That said, regarding the earlier discussions, I fail to see how the seller being unable to pay their mortgage diminishes the value of the house. Actually someone can easily make MetLife an offer much higher than mine right now, since they haven't officially accepted my offer yet. My offer is in limbo. We're just waiting.
Posted on 1/12/12 at 3:36 pm to deuceiswild
I waiting 5 months and then the bank changed their mind and decided to foreclose on the owner instead of selling the house to me. In foreclosure they will get a lower price than my offer.
Page 1 of 1
Popular
Back to top
Follow TigerDroppings for LSU Football News