Seaoned Investors...please help clarify short sale

[Audrey01]

I am a beginner investor hoping that someone can answer a question to help with a short sale.

Can I negotiate a short sale if I do not have hard cash to pay off the bank?  I was intending to get financed by my mortgage company to pay off the existing (short sale) loan on this property... (to the bank that holds the original loan).

I heard that Banks (with whom I am negotiating the short sale) always want cash.  How do I make the short sale still work with funds financed by the mortgage company instead of cash?  I do not think I can buy the property on a cash basis.  However, I can obtain formal proof of financing approval for this property from the mortgage company ahead of time.  Do you think that will be sufficient for the Bank?  

Can anyone tell me how exactly I can make this work?  I would sure appreciate any help.  

Audrey
512-358-8897
512-925-1433 c

[tedjr]

One investor I heard about sent out cashiers checks with a deed to banks and got really good response on short sales. If you have a preapproval letter you should still be good to go. Still make the offer subject to financing so you will not loose the earnest money unless you have no earnest money at risk, then I would not even make the contract subject to financing. That will make it seem stronger when it actually is not.  Good luck on it and ask more questions

Thank you,

Ted P. Stokely Jr
11505 Sw Oaks
Austin, Texas  78737

512-301-9171 home
512-587-6177 mobile