Short Sale with Private Loan

Profile picture for lbcnola
I am interested in a property listed as a short sale. I've done a little research into short sales and realize it can be a lengthy process that will require a lot of patience and follow up with the bank. I'm currently unemployed due to health reasons but I receive money on a yearly basis from a generous family member. This person is willing to continue supporting me indefinitely as well as write me a private loan. I'm wondering if the bank that holds the current mortgage would approve this considering I don't have a job.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Stating a discriminatory preference in an advertisement for housing is illegal. If you think this content is discriminatory or otherwise inappropriate and feel it should be removed from Zillow, please let us know by completing the information above.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.

0Yes

June 15 2010 - New Orleans
 Share
 RSS
  • Be a Good Neighbor. Be respectful and on-topic. No spam or self-promotion! See our Good Neighbor Policy.

Answers (5)

Profile picture for MainStreet Realty
Wow, that's great that you have such a generous family member.  They should purchase the home in their name and the bank shouldn't have a problem with that, so long as they can prove they have the funds for the deal.  Then, I would recommend having the realtor &/or  title company you used to represnet you in buying the home help them either "gift" the home to you or sell it to you using seller financing that way it is all recorded properly according to your states requirements.  This allows you to aviod any issues the bank might have with such a unique situation.  Good Luck!
  Flag content
Close
Report a Problem

Please enter a valid email address.

Stating a discriminatory preference in an advertisement for housing is illegal. If you think this content is discriminatory or otherwise inappropriate and feel it should be removed from Zillow, please let us know by completing the information above.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.

0Yes

July 24 2010
Profile picture for michand98
your benefactor would/should  be the one to negotiate the short sale in their name and then they can sale, rent or do an act of donation to you.

Have your benefactor give me a call,  we may be able to help with financing
  Flag content
Close
Report a Problem

Please enter a valid email address.

Stating a discriminatory preference in an advertisement for housing is illegal. If you think this content is discriminatory or otherwise inappropriate and feel it should be removed from Zillow, please let us know by completing the information above.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.

0Yes

July 24 2010
Profile picture for RichardReid
The bank is likely to consider the private loan similar to an all cash deal, provided you include a letter from the person willing to issue the loan, and they provide proof of funds available to close.  You may sweeten the deal by offering a quick close.  Nothing is quick in the short sale world, but it will present as a stronger offer.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Stating a discriminatory preference in an advertisement for housing is illegal. If you think this content is discriminatory or otherwise inappropriate and feel it should be removed from Zillow, please let us know by completing the information above.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.

0Yes

June 18 2010
Profile picture for natewolf
As long as you have verifiable income it should not be a problem. That family member may consider taking the mortgage in their name to help facilitate it.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Stating a discriminatory preference in an advertisement for housing is illegal. If you think this content is discriminatory or otherwise inappropriate and feel it should be removed from Zillow, please let us know by completing the information above.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.

0Yes

June 15 2010
Profile picture for Colorado Lender
If you would have the cash and could prove it to them with the offer they wouldn't care.

  Flag content
Close
Report a Problem

Please enter a valid email address.

Stating a discriminatory preference in an advertisement for housing is illegal. If you think this content is discriminatory or otherwise inappropriate and feel it should be removed from Zillow, please let us know by completing the information above.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.

0Yes

June 15 2010
 

Have a question? Ask it here.

What's this?
Close

By starting a discussion, you can expect more of an interactive, back-and-forth experience where the conversation can go in many different directions.

Or start a discussion

E-mail successfully sent!Submission failed!

Related Questions
Profile picture for Sandy Williams
QuestionWho is responsible for submitting offers on HomePath homes?
  • Latest answer by Sandy Williams
  • March 22
Profile picture for Matthew Dorsey
Questionwhat do you mean by pending?
  • Latest answer by Matthew Dorsey
  • October 19 2011
Profile picture for jessen1
QuestionSave to favorites on a forclosure
  • Asked by jessen1
  • April 05 2011
Profile picture for Joanna Botelho
QuestionShort Sale with Private Loan
  • Latest answer by Joanna Botelho
  • July 24 2010
Related Articles
GuideForeclosure Primer
GuideBank Foreclosures versus FSBOs
GuideThings to know when buying a foreclosed property
GuideForeclosure Overview
GuideForeclosure Eviction Techniques
Compare Mortgage Rates

See New Orleans, LA mortgage rates

Be A Good Neighbor

Zillow® Advice depends on each member to keep it a safe, fun, and positive place. If you see abuse, flag it. More on our Good Neighbor Policy