I was working with a client for about 6 months. They were looking for a newer home, over 1500 square foot under 175,000. We found one and got it closed. It was a short sale too. My clients were so excited.
They wanted to buy in Southfield MI but the issue we were running into was that the taxes were so high that my clients debt ratios were off. They couldn't buy the Southfield homes because they wouldn't qualify for the mortgage because the taxes were too high and their debt to income ratios were off.
We had one shot at a Southfield foreclosure but there was an end run by the listing agent to sell it to somebody that he knew. We offered $165,000 but it was sold for $137,000. How do you explain that to your customer?
We put in another offer on a Redford home but the issue was that the owner owed too much. The house was only worth about $110,000. The owner wanted $150,000 because he owed that much. So it was impossible deal. The bank wouldn't approve the mortgage because the house wouldn't appraise. So it was a dead deal before we even went to far.
We looked at many homes but we got lucky. We went and looked at a short sale Van Buren home that had a offer in on it. We got lucky. The day we went and looked at it the first deal fell apart. We were lucky. The agent told us exactly what we had to bid. He told us exactly what to bid so they would not have to start over.
The first mortgage bank had approved the short sale already at $165,000 with 3% sellers concessions. If we came in with an offer any different the short sale process would have to start all over. So my clients talked it over and they were happy with that price. So we put the offer in.
Well in less than a month we closed on the Van Buren short sale home! It was a race to the finish because the deadline was yesterday. The night before I would have said we needed an extension. But Eddie Orow of National Home lending pulled it off. Eddie and his assistand Danielle did a great job of pushing everything to get the job done. My clients got a beautiful newer house (only 4 years old) at a great price.
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