Cape Coral Realtor Asks Winged Foot Title for Help on “The Hardest Short Sale Ever” (Part 1)
You’ve been there, I’ve been there – WE’VE ALL BEEN THERE!
That point in time when you look at all the facts in a transaction and come to question if it will ever close!!!
Do throw in the towel? Call for help?
If you are like most of us, you probable have invested a lot of time and energy into the transaction, so giving up and throwing in the towel is not an option!
That is when we enter the picture and I come to experience theĀ “The Hardest Short Sale Ever” š
In the spring of 2010, a Cape Coral REALTORĀ® who had heard me speak on short sales at the Cape Coral REALTOR Ā® Association called me to ask if we could help on a potential short sale. This was a seasoned professional; but I could tell from his tone that he seriously doubted that the deal in question would ever be able to close. Because of the size of the deal ($1M+) though, it made sense to at least give it a shot.
Here is a list of items that, at first blush, supported the realtorās doubts about the possible success of this Cape Coral short sale:
- The seller had filed Bankruptcy.
- A first mortgage with Bank of America and an original principal balance of $2,850,000. This mortgage had also given rise to a Final Judgment of Foreclosure by the time we got involved.
- A second mortgage with Bank of America and an original principal balance of $430,000.
- A third mortgage with a private lender and an original principal balance of $600,000.
- A fourth mortgage with a private lender and an original principal balance of $215,000. Default on this mortgage had also resulted in the filing of a Final Judgment.
- Outstanding Community Association dues to the tune of over $35,000. The outstanding dues had also resulted in the associationās filing of a Foreclosure action.
- Ā A Federal Tax Lien with a face amount owed of over $140,000.
- A Lien from Lee County for Delinquent Tourist Development Taxes of over $38,000.
- A Personal Judgment of $2,000.
- A Personal Judgment of $5,000.
- A Personal Judgment of $12,000.
- A Personal Judgment of $2,000.
In total, we were looking at outstanding debts of $4,334,000 on a property that was worth about $1,100,000. Oh, and by the way, the seller had no current proof of income, no bank statements, and no tax returns for the last couple of years. When we got a look at the whole picture, we understood the realtorās sentiments and were honestly not sure whether this deal was possible.
Stay tuned on what happened to “THE HARDEST SHORT SALE EVER”!Ā I’ll be writing more about it in our next blog post, until then if you have any questions, please don’t hesitate to call us at (239) 985-4142 orĀ contact usĀ online.
-Chris Black
