Webcast Tonight: REOs vs. Short Sales. Is the Bank’s Mistake Your Problem or Your Profit?Posted on October 12, 2010 by
Webcast on REOs vs Short Sales is Tonight, Tuesday, Oct 12th, 2010 at 7PM ET.
Did you hear about Bank of America, JP Morgan Chase and GMAC putting the brakes on the foreclosure process? What does all this mean to you as an investor, mortgage broker, realtor or homeowner? First off, the attorneys who were representing the Mortgage Companies have documentation with wrong information. As a Homeowner, it will allow you additional time for work a loan modification or a Short Sale. Just because the Mortgage Companies say stop the foreclosure action for a while, it does not mean the Judge needs to comply. The Court will not automatically stop the foreclosure action unless the attorneys working for the Mortgage Companies file the necessary paperwork. Learn the foreclosure process and understand the foreclosure time line. Check the court docket in your area to keep informed. You will need to make sure that the mortgage companies’ attorney has filed the necessary Motion to delay the foreclosure process. Mortgage Companies don’t always know when their attorney has scheduled a sale date. We had to stop a foreclosure sale on a house we bought and resold many times.
What happens to all the Real Estate Owned (REO) properties that have been purchased from the above mortgage companies? Recently there were three closings were postponed at a Title Company just this week that were REOs. As an investor, I would not be buying REO’s from any of the above lenders due to the fact that title companies are going to have a problem with insuring clear title to the property. Title Companies insure when property is transferred the owner has clear title and there are no liens other than what is listed on the title commitment. I believe Investors who have purchased these properties to flip are going to have problems selling the properties if no title company will insure them. This happened to me when I bought a property at Tax Sale. In order for me to obtain title insurance, I had to conduct a Quiet Title Action which took about 6 months. A Quiet Title Action notifies the public I just purchased the property and if anyone has any interest or claim in the property and/or liens against the property, they would need to come forward or forever waive their rights. Finally my local title company agreed to give me title insurance so I could sell it. Thank goodness I used my own money and didn’t use a hard money lender to eat up the profit!
Join me, Kimberlee Frank, Tonight, Tuesday, Oct 12th at 7PM ET to hear more about if should you invest in REOs or Short Sales! Especially if you just purchased an REO from the above banks – YOU DON’T WANT TO MISS THIS WEBINAR!!!!