| Re: Short Sale Tips
I think you are right to be careful. I was turned down for a short sale of my deceased mother's condo because the bank will not sell to a related party, even if the borrower is deceased and there are no other assets. I believe this is a FNMA rule and I wouldn't be surprised if most banks follow it. You need to check with your bank to find out whether they will allow sales to a related party.
Also, as Cat says, usually they want to see the home listed for 60 to 90 days and for the full amount of the loan balance(s). In my situation that would have been for $750k or over $300k above the last sale in the complex!
On the one hand I see where they are coming from but on the other hand they are going to do a BPO to determine price anyway. You would think they would be relieved that they don't have to pay commissions and other closing costs but it doesn't seem to work that way.
Also, even if you do find a friend or family member willing to buy the property, what is the plan? Are you going to continue to live in it? What position are you putting your friend/relative with respect to their credit and debt ratio?  |