We got a call from a landlord/homeowner who was in the mood to start over in life....no more rental properties, sell the primary residence, re-marry and begin life over again....sounds like fun. The conversation began,
"I want to sell all my properties, I don't care if I don't make any money, I just want to pay off the bank."
While we were talking I began to pull up the tax records on mls...the would be seller ticked off approximate mortgage balances and continued talking about how this landlording thing was a drain on time and energy. I asked if property management from a professional may well be the answer...headaches gone. No, that would cut into the income. Income...
Are all the properties rented and there is cash flow ? I queried.
" Yes...I am good at property management ...I am just tired of it and want to move on and do something else."
A brief survey of the areas surrounding the properties and some simple subtraction....thousands would have to be brought to closing on any of the properties....upside down...Short sale.....? Not with this agent...."I don't wanna is not a short sale hardship."
It's like quitting a job you don't like and expecting the health insurance, paid vacation and some sort of severance pay to continue.....
There are sooo many legitimate hardships...people that every short sale listing agent works hard at helping...and yes....short sales close....and no....they don't all take 6 months in lender limbo. If there is a legitimate hardship...short sale specialists are the first ones to help homeowners in any/every way we can..."I don't wanna" doesn't qualify as a financial disaster.
Sally K. & David L. Hanson, ABR, CDPE, CSS, e-Pro,ILHM, REDS
Wow, it takes all kinds doesn't it................
You always make me thirsty Roger.....:)....it sure does....if it looks like an easy way out...think again..
My question is............do you think someone will take this on as a "short sale"?.............Let me shake one up for you with a twist!
I have had similar inquiries. Unless there is a legitimate hardship, no go. Thanks for the post!!!
The seller says she "knows"...and probably will...find a realtor to list the properties for more than she owes so she can "pay the bank" but that will never happen....the listing may...the sales will not.
Understood..............thanks.
Great post as always....I see Roger is shaking one up for you with a twist...I am thirsty! LOL
It's the Impossible Dream. He's better off to take your advice and hire a professional mangement company. Maybe that will sink in later.
kristin...you know where the watering hole is....maybe Val...time will drill some common sense....and then again...
Very interesting-I have had owners who did a short sale on a property and the local bank just reallocated the difference to other properties that they held mortgages on...This has happened twice--Same Local Bank! I am selling a short sale for another investor now with a different bank but the MI company has requested a NOTE for $30k which is still significantly less than what he owes...I think it depends on the client. Jen
Been there Jennifer....this person just doesn't want to own property..no re-allocation possible and wants to be debt free....with wishes like that...no can do...there are creative ways to move things around...bottom line is the bank is not Santa Claus and won't eat money becuz the seller doesn't want to be a landowner...
Some people just think they can walk away whenever they chose. The reality check will come when she actually has to submit for short sale approval. There were too many people who got into real estate investing thinking it would be quick and easy money. When want out when they find out actual work is required.
True Story Rodney....being a landlord/lady is more than collecting the rent check !
Sounds like that person has more problems than with the properties.
Astute observation Jay....bet Billy J agrees !
Gosh you are so right. "I dont wanna" will not fly with the lender.
Being a landlord/lady sounds easier than it is...it is a job which can be challenging.
Good for you to evaluate ahead of time to make sure you aren't "Wasting Your Time"...Thanks for sharing, Jen
Raising hopes for a seller for something that will never happen...not a good idea ....
I don't wanna be a home inspector anymore, but my creditors convince me each month that I should continue in that role. LOL
Sounds like he just needs to raise the rents to make it worthwhile for him again.
Sometimes....as in this case, rents are as good as they get ....just as in buying...the market dictates the amount of rent...and the ceiling is where it is...