OfflineHi everyone, I have two homes where each owner is in foreclosure with a reverse mortgage. One owes $20k in back taxes and the other just wants out but the appraised value is less than what is owed. Please give suggestion as to how to structure the deal
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If there's back taxes owed, you will have to take that into consideration when writing up a contract. If the taxes can be paid, either by the buyer or the seller, and the price can still be low enough to have a wholesale deal, then it's a deal.
If the appraised value is less than the loan, there's not a whole lot you can do. If it's a short sale, you could partner with someone experienced enough to negotiate with the bank (if there's time before they foreclose). I know for a fact that you cannot, for instance, sell the house with a "wrap" on a reverse mortgage because only owner/occupant can reside in the home with that type of loan.
I purchased a house where the owner passed away and the children wanted the home but couldn't qualify for a loan. Since it's a reverse mortgage, then are getting payments from the equity of the home and once the owner passes or wants to move on, they have to sell or let the bank foreclose. Usually it happens really fast.
Not sure if anyone else has any ideas.
If you're interested in a short sale. I specialize in that area. We can partner up if like. I'm a great negotiator.
frankie
So what info do I need to make it work, taxes owed, $20k.
Hi all, I have two friends who are facing fc, reverse mortgage on both. One for taxes & the other wants out. $25k in back taxes. CT area.