Would rather lose to Foreclosure than Sell - WTH??

[Jazzzy]

In the second situation, the realtor knows someone who knows this owner who is a single man with a penchant for cars, gambling, travel, etc, and the piggy bank has now dried up and he can't finance his lifestyle anymoere. Never would I try to judge anyone with a family situation who chose NOT to pay a mortgage over feeding their family if they don't have enough to do both. My own brother is in this exact situation right now, facing foreclosure with a wife and 4 kids and a house he can't sell his house because there are no buyers, he'd love it if someone came knocking at his door asking if they can buy his house. So that combined with my current situation is where my thoughts are now, and makes me wonder why someone wouldn't welcome this opportunity.

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Just couldn't resist adding a little fuel to this fire...

You could do what is being done elsewhere in the country. If you can get a deal signed, offer him $10k to $20k to move out and also pay for his mover.

You have to be careful and know what you're doing (because this decision will likely involve the bank), but this is the method being used in many areas to get people to move out. People are squatting until they get their best offer.

[Anonymous]

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@LynetteM wrote:

In the second situation, the realtor knows someone who knows this owner who is a single man with a penchant for cars, gambling, travel, etc, and the piggy bank has now dried up and he can't finance his lifestyle anymoere. Never would I try to judge anyone with a family situation who chose NOT to pay a mortgage over feeding their family if they don't have enough to do both. My own brother is in this exact situation right now, facing foreclosure with a wife and 4 kids and a house he can't sell his house because there are no buyers, he'd love it if someone came knocking at his door asking if they can buy his house. So that combined with my current situation is where my thoughts are now, and makes me wonder why someone wouldn't welcome this opportunity.

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Just couldn't resist adding a little fuel to this fire...

You could do what is being done elsewhere in the country. If you can get a deal signed, offer him $10k to $20k to move out and also pay for his mover.

You have to be careful and know what you're doing (because this decision will likely involve the bank), but this is the method being used in many areas to get people to move out. People are squatting until they get their best offer.

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Thanks for your comment. My realtor now has more info. She also found out that this guy owns at least 2 more houses in other parts of the state, and doesn't even appear to be living in this one at this time. When she went to the property earlier this week, she says his court summons to appear regarding the foreclosure is still tacked to the front door.  She has found his phone # and facebook acct and left messages for him in both places to contact her. Hopefully, he will do so soon, She says that he may not be able to do a short sale though if he has other properties and still has sufficient income but just chooses not to pay for this house. 

Stay tuned for more DRAMA. Hopefully it will have a happy ending for all of us (me, the homeowner, & the realtor)!

[happy0510]

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@Anonymous wrote:

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@LynetteM wrote:

In the second situation, the realtor knows someone who knows this owner who is a single man with a penchant for cars, gambling, travel, etc, and the piggy bank has now dried up and he can't finance his lifestyle anymoere. Never would I try to judge anyone with a family situation who chose NOT to pay a mortgage over feeding their family if they don't have enough to do both. My own brother is in this exact situation right now, facing foreclosure with a wife and 4 kids and a house he can't sell his house because there are no buyers, he'd love it if someone came knocking at his door asking if they can buy his house. So that combined with my current situation is where my thoughts are now, and makes me wonder why someone wouldn't welcome this opportunity.

---

Just couldn't resist adding a little fuel to this fire...

You could do what is being done elsewhere in the country. If you can get a deal signed, offer him $10k to $20k to move out and also pay for his mover.

You have to be careful and know what you're doing (because this decision will likely involve the bank), but this is the method being used in many areas to get people to move out. People are squatting until they get their best offer.

---

Thanks for your comment. My realtor now has more info. She also found out that this guy owns at least 2 more houses in other parts of the state, and doesn't even appear to be living in this one at this time. When she went to the property earlier this week, she says his court summons to appear regarding the foreclosure is still tacked to the front door.  She has found his phone # and facebook acct and left messages for him in both places to contact her. Hopefully, he will do so soon, She says that he may not be able to do a short sale though if he has other properties and still has sufficient income but just chooses not to pay for this house. 

Stay tuned for more DRAMA. Hopefully it will have a happy ending for all of us (me, the homeowner, & the realtor)!

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IMO, leave him alone and move on!!

[Anonymous]

I agree.  Move on.  Either the owner has no interest or or no options.  If he has multiple liens on the property for example, the chances of getting a short sale or loan modification on an investment property that is underwater and has multiple liens is almost zero.  The likely answer is just that the guy can not do what you are wanting. 

[Anonymous]

The house will get way cheaper after he finally drowns and the house goes REO.

Let him get cremated by the default first so the house is even more distressed.   Who knows you might see the house back up on MLS as a Bank-Owned REO if it doesn't sell at auction.

[Homebuyer24]

I do see the two sides to this.  We bought a short sale from a couple who lived for 2.5 years w.o paying and then were very difficult to deal with and even said they did not want to move out after we bought the home--we delayed the closing date for a month over this argument.  So I know it sucks.  There were a ton of houses in pre-foreclosure or in default in our area and it was so frustrating the banks were doing nothing--it should not take 2 years to foreclose on a homeowner who refied twice after buying 0 down--and took a home equity line of over 70K he also defaulted on--and trust me, he did not put that equity money into the home at all.

I also have a family member who is underwater by over 50% (700K, now 325K) with a high interest rate who tried to do a loan modify--presented a loan modification plan that the bank was on board with and approved--investor who owned loan did not approve--family member was advised by non-profit to stop paying because since she was current she would not get any help (does that make sense)--after repeated loan mod attempts the private investor refuses to modify the loan (all she was asking for was lower interest rate) so the family member is going to go to foreclosure.  She cannot refinance the loan as she is underwater. The reason she is not doing a short sale is because she has money in the bank and believes the bank would want her to pay something for the short sale.  That is why she is opting for foreclosure where the bank would not have recourse to go after her (in CA, first loan only).  And I can understand her position.  She is not a deadbeat and has already found a new place to live.  She is dumping a bad investment and moving on and ensuring she is not liable to the bank for any more money than they have already gotten from her.