In short sale - if buyers back out - my options? - Loan Modification Forum

quattrospider · 07-20-2009, 05:53 PM

I am currently nearly 3 months into a short sale... the buyers are getting frustrated.

IF they back out now, what are my options?

I have an 80/20 situation with ING as my first and bank of america (countrywide transfer) as my second. Its about 380K / 100K

Would I be able to do a loan mod where The first keeps my 380K loan, and they pay off the second 5-10% or something to get them to go away, then I would just have my first mortgage?

Currently, the offer on the house is $355K and the first is working with the 2nd to accept it.

quattrospider · 07-20-2009, 05:58 PM

Sorry I forgot to put the lender in the title and I dont see how to edit the threat...

Moe Bedard · 07-20-2009, 07:06 PM

Hello and thanks for joining LoanSafe.org!

Unfortunately, if they back out, there is not much you can do. What you are experienceing is very common in short sales and they often get canceled because of the wait involved. I have seen these go for 6 plus months.

Pursuing a loan modification is definitely possible and so is paying off the second at 5-10 plus%. However, that payoff will not come from the first mortgage and the only way would be for you to settle with the second.

quattrospider · 07-20-2009, 07:14 PM

Thanks for the response! I know that ING initially has agreed and has a policy to offer the 2nd 5%, I'm hoping they would do 5% if it ended up being a loan mod as well. Especially since they would not be losing as much.

07-20-2009, 05:53 PM	#1 (permalink)
quattrospider Junior Member Join Date: Apr 2009 Posts: 4 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	In short sale - if buyers back out - my options? I am currently nearly 3 months into a short sale... the buyers are getting frustrated. IF they back out now, what are my options? I have an 80/20 situation with ING as my first and bank of america (countrywide transfer) as my second. Its about 380K / 100K Would I be able to do a loan mod where The first keeps my 380K loan, and they pay off the second 5-10% or something to get them to go away, then I would just have my first mortgage? Currently, the offer on the house is $355K and the first is working with the 2nd to accept it.

07-20-2009, 05:58 PM	#2 (permalink)
quattrospider Junior Member Join Date: Apr 2009 Posts: 4 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: In short sale - if buyers back out - my options? Sorry I forgot to put the lender in the title and I dont see how to edit the threat...

07-20-2009, 07:06 PM	#3 (permalink)
Moe Bedard Founder Join Date: Aug 2007 Location: Southern California Posts: 16,888 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: In short sale - if buyers back out - my options? Hello and thanks for joining LoanSafe.org! Unfortunately, if they back out, there is not much you can do. What you are experienceing is very common in short sales and they often get canceled because of the wait involved. I have seen these go for 6 plus months. Pursuing a loan modification is definitely possible and so is paying off the second at 5-10 plus%. However, that payoff will not come from the first mortgage and the only way would be for you to settle with the second. __________________ Moe Bedard Founder LoanSafe.org "America's #1 Home Loan Forum" LoanWorkout.org "America's # Loan Modification Blog" Get My FREE Loan Modification E-Book \| Please donate to LoanSafe.org \| Loan Modification Training For Attorneys \| Rate Your Mortgage Servicer The comments by me and the materials available at this web site are for informational purposes only and not for the purpose of providing legal advice. Most of the information you find here is easily available on the internet. You should contact your attorney to obtain advice with respect to any particular issue or problem. The opinions expressed at or through this site are the opinions of the individual author and may not reflect the opinions of the firm or any individual attorney. Please Read our Privacy Policy and Legal Disclaimer Here.

07-20-2009, 07:14 PM	#4 (permalink)
quattrospider Junior Member Join Date: Apr 2009 Posts: 4 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: In short sale - if buyers back out - my options? Thanks for the response! I know that ING initially has agreed and has a policy to offer the 2nd 5%, I'm hoping they would do 5% if it ended up being a loan mod as well. Especially since they would not be losing as much.

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