Real estate question-Our landlord made this proposal…should we do it??

admin — Sun, 27 Nov 2011 05:24:32 +0000

Question by me: Real estate question-Our landlord made this proposal…should we do it??
We’ve been in some difficult times.We’re drowning and don’t want to have it spill on you.
Simply we’d like you to take over the mortgage for purchase. We’d make nothing.We’d save our credit. You’d get a heck of a buy. You don’t have to try and qualify for a loan.WinWin! The loan is not assumable but we could document a sale between ourselves. I’m a real estate investor by trade and have the documents. You can bring them to your attorney for review, of course. You could then pay the mortgage comp. directly to ensure you know the mortgage is getting paid.The primary mortgage is $ 1042.99 a month. It’s on my credit that used to be good. A 30yr @ 6.5% fixed PITI built in. Total loan = $ 142,938.60. We pulled a LOC $ 27,000 leaving well over 80% LTV still in property. It’s variable @ prime + 3 (ouch). It’s monthly due is currently about $ 250 – interest expense.5/2007 it appraised for $ 235,000. I know the market is hurting and it would be less now. I also know it’s just a matter of waiting for values to increase. The cost to you would be just $ 169,938.60. Since you’d be helping us as much as we’re helping you, we are not asking for any money down. Just pay the mortgage and LOC. We would simply put a change of address in with CountryWide and you’d get the bills and track your payments. If interested, happy to fax original loan docs and templates of our agreement any time. if you two think you can qualify, you can just buy the house.The price$ 170,000 buyer pays all assoc. fees.

Best answer:

Answer by Dizzy_Lizzy
So what I see is that your landlord wants you to pay his mortgage. So he’s still getting credit for those payments, and you’re keeping your house.

Who would legally own the house?
What happens if someone wants to sell this house in a few years – who has the right to sell it?
What guarantee does this agreement lay out that the landlord can’t reclaim his house later?
Is that line of credit still open? (If it is, no flipping way is this a good idea. As you pay in, this guy could keep taking money from the line of credit since the stupid loan is in his name. Basically, he’d still have access to the credit line, but you’d be paying his bills!)

I’d consider it only after hiring my own attorney, but I probably wouldn’t do it because of that line of credit issue.

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Latest Mortgage News: Hartford’s McGee Says Money to Be Made in Commercial Property

admin — Thu, 10 Jun 2010 03:09:59 +0000

Hartford’s McGee Says Money to Be Made in Commercial Property
June 9 (Bloomberg) — Hartford Financial Services Group Inc. , the insurer that sold commercial mortgage assets after more than $1 billion of writedowns since the end of 2007, may increase its holdings amid signs of a rebound.

Steve Rhodes

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Real estate question-Our landlord made this proposal…should we do it??

Latest Mortgage News: Hartford’s McGee Says Money to Be Made in Commercial Property