Each has their own situation but basically I am not collecting enough in rent to cover my costs. I have been through every scenario. Can't sell them b/c they are worth far less that what I "paid" for them (I found out they were fraudulent transactions from the broker, who is being prosecuted by the county) Short sale is an option but these are basically distressed properties now due to high tenant turnover and my lack of funds for repairs.
I am facing missing my first payments ever in my life. I can deal with the credit hit if I can deed in lieu these back to the bank. They've been up for sale for over a year and I can't take the stress of the tenant relations, evictions, and repairs any longer, plus I am literally out of money. I have a new home I moved into due to family growth with some equity in it. What's the chance of these lenders coming after me hard and suing me and taking my equity or worse my personal home? Tenants and houses are HORRIBLE , NOT my screening. Thanks!
2007-12-25 08:44:52 · 4 answers · asked by confused 1 in Business & Finance ➔ Renting & Real Estate
oh yeah, I'm in Ohio
2007-12-25 09:14:52 · update #1
The Broker that had sold these properties to you. Can be the one that you can go after and get them to purchase the homes/rental properties off of you including the mortgage company that sold the loans to you. (in house i`m sure)
Hire a very competent attny. If you are having tenant problems contact me. And i may be of help. Getting rid of problem tenants would be better than keeping them around and devaluing your property even more.
2007-12-25 09:38:02 · answer #1 · answered by Big Deal Maker 7 · 0⤊ 0⤋
I belive that Ohio is a no fault state, this means that they most likely will come looking in the equity of your investment properties than in the property you live in.
Having said that i belive your best bet is to start loking for tenants that pay the ammount you are paying in the properties so you dont loose the homes. Try negotiating with your existing tenants when you have someone with the cartacteristics you are loking for as ideal tenants. They will most likely evict in a hurry if you dont penalise them moneywise.
I have 3 investment properties and it was a pain when it came about fixes so i pay $50 / year / house so that an insurance agency takes care of 3 electrical, plumbing, and estetics damages ocurred by tenants or by run down existing homes.
Hope this helps but youre not alone.
2007-12-25 14:32:05 · answer #2 · answered by Anonymous · 0⤊ 0⤋
The deed in lieu situation with no further recourse would be you best deal if you can get it. A short sale usually requires extensive reporting of your assets and income to the lender. They will be less generous if you have something they can get. Does your state offer a homestead exemption? Be sure to record a homestead if an affirmative recordation is required in your state. This entire problem might be more manageable if you can get some cooperation with at least one of the lenders. You can see it as analagous to a plea bargaining situation in which you take the role of the DA. The first one to roll over and co-operate will get the best deal. The others will face the unhappy and expensive task of foreclosure. See Nolo Press www.nolo.com in general for debt management suggestions, but specifically the pointer below regarding Homesteading.
2007-12-25 08:57:36 · answer #3 · answered by artwhiterealtor 3 · 2⤊ 0⤋
in the tip, no. even though it does remember the way it gets recorded in the journey that your investment business enterprise is integrated. Ask your accountant to make certain it gets recorded properly now, and whilst the business enterprise will pay you lower back sooner or later.
2016-11-24 23:54:56 · answer #4 · answered by ? 4 · 0⤊ 0⤋