The Motley Fool Discussion Boards
Financial Planning / Tax Strategies
|Subject: Re: question ...||Date: 6/21/2013 4:11 PM|
|Author: aj485||Number: 118727 of 121599|
DW, who has been handing our RE investments -- or mishandling them -- wishes to save a certain property from foreclosure, and has located a buyer who will buy it at a fraction of its cost, with an agreement to sell it back (at a fractional -- but higher -- price than that) in six months (by which time she believes she will be better able to handle the mortgage payments). The main reason she wants to get it back is that the people who are in there now want to buy the property in a year or so; she'd really like to sell it to those people right now, but they can't pay now....
This sounds (to me) like an expensive way of getting a loan for six months (the expense of the loan is mainly the difference between the two fractional prices I alluded to).
Actually, it sounds like fraud to me.
She needs to read her mortgage documents. It is very likely that the mortgage becomes due and payable in full if she sells it. And it is very unlikely that the mortgage on the property can be kept in place at all, much less in her name, when she does not own the property.
If DW hasn't done this yet, she needs to STOP immediately, and consult a real estate attorney.
If she has already done this, she'd better get a really good real estate attorney, and maybe a criminal attorney, too.
|Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us|