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[ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] You might have overpaid—if your market is soft. Posted by Ward-CA- on April 09, 2002 at 6:39 AM In Reply to: I bought the 2nd...Did I do something wrong???? posted by mark on April 08, 2002 at 2:25 PM : I need some input on this one... : House is in preforeclosure worth probably 112k. First is foreclosing with FJ about 82k...I took assignment to the second mtg of 27k..I got it for 5k. Third is not negotiable and they want all 6k. Here is the story. : Lady gave me written authorization to talk to the lenders and get payoffs and such, but did not want to sign a contract or deed if I couldn't promise to purchase the property and clear her name from mortgages. So I got all my figures and in the meantime she said she was going to contact a person who promised to buy her house. I ran ads and scheduled an open house and when I arrived she said she'd just signed a contract with the other investor/buyer. So I left. : The next day I sent my 5k cashiers check to 2nd lender and took assignment to their mortgage and planned to negotiate with the investor or even recoup our money at the courthouse. I then sent her certified letter letting her know I now owned the 2nd. Now three weeks later I get a call from the owner who says I went behind her back using information she supplied to get her mortgage at a discount. The owner of the contract told the owner she can go to an attorney because I'm messing up his deal.... : Does anyone know if I did anything wrong ... thanks.. : Mark =•=•=•=•=•=•=•=•=•=•= Mark, I fail to see where you did anything wrong or where you’re liable for anything to the defaulting owner or to the new buyer. From the facts recited above, neither of them was interested in buying the beneficial interest in the 2nd lien. So there’s no preemption of any opportunity that they had evidenced or disclosed to you. And I really think it’s ludicrous that the buyer tells the seller to initiate legal action against you because somehow you’re interfering with the buyer’s deal?? If that was true why doesn’t the buyer bring his own action against you, why have the seller do it? Go for the payoff. I just hope you get more than the $5K you paid for the 2nd. This looks like a very skinny deal to me because the $82,000 of the foreclosing 1st and your $5,000 already come to 78% of the fair market value ($112,000) of the property. Unless you’re in some real estate hot spot like Southern California I doubt the 1st will be bid up to $87,000. Good luck. Follow Ups: Post a Followup: Name : E-Mail : Subject : Comments: : : I need some input on this one... : : House is in preforeclosure worth probably 112k. First is foreclosing with FJ about 82k...I took assignment to the second mtg of 27k..I got it for 5k. Third is not negotiable and they want all 6k. Here is the story. : : Lady gave me written authorization to talk to the lenders and get payoffs and such, but did not want to sign a contract or deed if I couldn't promise to purchase the property and clear her name from mortgages. So I got all my figures and in the meantime she said she was going to contact a person who promised to buy her house. I ran ads and scheduled an open house and when I arrived she said she'd just signed a contract with the other investor/buyer. So I left. : : The next day I sent my 5k cashiers check to 2nd lender and took assignment to their mortgage and planned to negotiate with the investor or even recoup our money at the courthouse. I then sent her certified letter letting her know I now owned the 2nd. Now three weeks later I get a call from the owner who says I went behind her back using information she supplied to get her mortgage at a discount. The owner of the contract told the owner she can go to an attorney because I'm messing up his deal.... : : Does anyone know if I did anything wrong ... thanks.. : : Mark : =•=•=•=•=•=•=•=•=•=•= : Mark, I fail to see where you did anything wrong or where you’re liable for anything to the defaulting owner or to the new buyer. From the facts recited above, neither of them was interested in buying the beneficial interest in the 2nd lien. So there’s no preemption of any opportunity that they had evidenced or disclosed to you. : And I really think it’s ludicrous that the buyer tells the seller to initiate legal action against you because somehow you’re interfering with the buyer’s deal?? If that was true why doesn’t the buyer bring his own action against you, why have the seller do it? : Go for the payoff. I just hope you get more than the $5K you paid for the 2nd. This looks like a very skinny deal to me because the $82,000 of the foreclosing 1st and your $5,000 already come to 78% of the fair market value ($112,000) of the property. Unless you’re in some real estate hot spot like Southern California I doubt the 1st will be bid up to $87,000. : : Good luck. Optional Link URL: Link Title: Optional Image URL: [ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] WWWAdmin 2.0a © 1997 Matt Wright and DBasics Software Company, All Rights Reserved

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