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Regular Contributor
Jacque383
Posts: 131
Registered: ‎07-05-2007

Re: Tales from the other side, part 2

Hi,
 
I'm not sure I've got all the pieces together in this, but I've taken over houses with liens much higher than the value of the house.
 
Here's what I would do:
 
Contact the lender of the $700,000 loan and offer him a grand to remove the lien. (Yes, they do take these offers all the time....).  Tell him that's what it's going to cost you to foreclose anyway and this will save you the hassle of having to do it in court. They often take these deals because it's free money at this point.
 
You can then get the Deed in Lieu of and move forward. Deeds in Lieu come in different flavors, so be sure you negotiate and not just agree to call things good by accepting it.
 
Get something in return for not doing a foreclosure against your buyer.  This is typically a note for whatever you can get them to commit to.
 
Hopefully, they've got something you can secure it to, but if not, at least there's a possibility of something to make up for your time and trouble.
 
(I'm assuming that by "buyer" you're referring to your current "buyer" alredy in the house).
 
Don't be afraid of contacting the 700K lien. Trust me, he's not going to get anything and he'll realize it real quick. He'll jump on money to remove the lien.
 
Hope this helps.
 
 
 
 
Established Contributor
TexMontana
Posts: 678
Registered: ‎05-29-2007

Re: Tales from the other side, part 2

"Hope this helps" ~ it does and thanks!
 
Yeah - you and I are thinking along the same lines. This bozo - the "buyer" doesn't seem at all receptive to the deed in lieu. I think he just wants to stay there until he is absolutely forced out. Sad. Like I wrote earlier - I pulled up his court dockets and he seems to let everything go to court - without showing up. One thing in my favor - they filed a BK in 2004, so they can't file again anytime soon!:smileywink:
" I like to live as a poor man, with a lot of money." - Pablo Picasso (who was a jerk.)
Regular Contributor
Jacque383
Posts: 131
Registered: ‎07-05-2007

Re: Tales from the other side, part 2

Well Tex another thing you can do (and I've seen this work a number of times) is to explore with your attorney any possibility of criminal charges. Maybe something along the lines of fraud!  Unfortunately, with the position it sounds like they are in threatening them with an IOU type of thing isn't going to do much, look at all the IOU's they already have against them.
 
In the meantime they have a place to live and trust me they will milk it for as long as they can.  You may also want to explore the possibility of  threatening the wifes job as a teacher, therebuy cutting of  their source of comfort money.  I once had a judgement against a teacher  and that particular school district  wouldn't allow teachers to have  a criminal record of any kind, and they were automatically suspended without pay if they had outstanding judgements. It was pay up or lose the job.
 
Now at the same time, if these people are simply behind in everything, have gotten way over their heads I'd really attempt to make a deal with them to leave. Sometimes it's easier to simply offer them $500 to leave on a certain date leaving the home in broom swept condition. I find that a lot of people hang on and push when they don't have a leg to stand on because they really don't have the money to leave. One guy of mine couldn't afford to leave, because I didn't trust him with the money instead I litereally rented the UHaul for him, provided a couple of guys and moved him out. Threw him a few hundred and we were done.
 
The old saying is true "you can't get blood from a turnip." It sounds like these folks don't have anything so instead focus on moving out, negotiating the liens and reselling. You can spin your wheels going after them and still wind up with nothing. Instead, find a way to bump them along, you can threaten all kinds of stuff, but be willing to negotiate in good faith.
 
Honestly, by doing so you'll find a whole lot less damage inside the house when you do get it back.
 
Best of luck to you.  
Established Contributor
TexMontana
Posts: 678
Registered: ‎05-29-2007

Re: Tales from the other side, part 2

Thanks for all your input ~ I really appreciate that you took the time to write.
I have actually paid people to leave rental properties, and it has been an excellent tool when you are dealing with fairly decent people who have just hit fiancial starits. However, this guy is getting $14K on August 15th as financial aid for school/housing. He just lives in a realm of indifference and non-chalance regarding his bills. It's like you pointed out - he has a long history of this stuff. I sent him a letter stating that I would get a judgement and that I would garnish wages. His wife is already getting two garnishments at present. I'm just really pi$$ed off that I thought these were good people who had some credit problems - you know, like of lot of US! And he has treated my offers to let him walk away with complete disregard. In short, I think he is a bad person. I would have preffered to help someone else.
" I like to live as a poor man, with a lot of money." - Pablo Picasso (who was a jerk.)
Regular Contributor
Jacque383
Posts: 131
Registered: ‎07-05-2007

Re: Tales from the other side, part 2

Tex,
 
I've been in a similiar situation many times over with some of my renters. It's difficult, but you do need to get them out.
 
It sounds like you're on top of it already, just wanted to mention one more thing. If the 23K is a property tax lien, contact the holder, get an assignment of it, (in a different name by the way). Now you're in the drivers seat, foreclose out everything, clear title. Depending on your state many tax liens don't go to Sheriff's sale, which is even better for you.
 
Anyway best of luck and keep us informed on how it goes.
 
 

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