Twitter Counter

Will short sale flips be eliminated?

I just posted the following post as a guest blogger at wannanetwork.com:  http://www.wannanetwork.com/2010/01/02/will-supplemental-directive-09-09-eliminate-short-sale-investor-flips-quickturns/

I thought visitors here might find it interesting.

1 comment to Will short sale flips be eliminated?

  • Richard

    I am investor in Georgia We buy both short sale and non shortsale homes paying as much as fair market value.
    We do legal flips . The key is full disclosure. That is why we do our negotiations. When we submit our contract to the lender we tell them we are reselling the property for a profit and tell them how much we are making. We limit our profit to 15% which most lenders agree is a fair profit.
    We demonstrate to the lender that our cash offer today is better for them than than a foreclosure and sale in 6 to 8 months.
    The service we provide is the cash offer. In my county I see homes go to foreclosure every month when listed with realtors waiting for offer. Buyers in my area are not buying shortsales because of the time involved. And we have never refused to sell to a FHA buyer unless we have an offer from cash or conventional buyer. If Fha is all we have and we don’t want to hold property we step aside. The homeowner avoids foreclosure, the realtors get commissions and the lender gets out of loan. And just getting the liens removed makes getting an offer more likely.
    While like in all areas of business there are greedy investors taking advantage of others please don’t lump all investors in the pot.
    If we can not create a win for homeowner, realtors, lender and us we simply step out of deal.
    Our experience has been that even if lenders say approval is for particuliar buyer we have never had a lender refuse a sale when we step out and submit another buyer.
    If realtor is having sucess listing shortsales and finding buyers and stopping foreclosure they do not need us. But if realtor is seeing listings go to foreclosure then does it not make sense to do business with ethical investor? THEY DO EXIST!

Leave a Reply

 

 

 

You can use these HTML tags

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>