Collateral Issues with a Mortgage Transaction:
Maria – We are back for our 3rd installment of closing tough deals.
-covered 2 of 3 C’s (Credit and Cashflow)
Danelle – today we talk about the Collateral. Not all homes are perfect. And sometimes there are challenges to overcome. We are here to talk to a past borrower and his real estate agent.
Introductions – Hi, I’m Sam Siddall w/ National Parks Realty
Hi, I’m Bryce, the homeowner!!
Maria to Sam – What are some challenges you’ve seen with properties?
Sam – List examples of property repairs that can cost the whole deal to fail.
-Foundation Damages – Longevity of property
-Safety issues – Risks –
Sam to Bryce – We had some of these issues with your property –
Bryce – Talk about the roof needing repairs and the deck needing a safety railing
Danelle to Maria – These sound like reasonable things, so why can it be a deal breaker? Can’t they just fix it and move along?
Maria – Sometimes it comes down to money. How are the repairs getting paid for? Can the seller afford it? Should the buyer have to pay? What if they want to split it?
Sam – Talk about the option of seller fixes it and pays
Bryce – willing to maybe finance it into his loan and pay it at closing, but only if you can afford to increase your loan that amount
Maria – Sometimes, there can even be a compromise! Have the repairs done and the invoices paid at closing by both seller and buyer!
Bryce – That is what we did in my case because everyone really wanted the deal to close, so we opted to share the costs!
Maria – It’s really about working together to find the best solution for everyone & get the deal done!
Danelle – Thank you for watching. Thanks Sam and Bryce for helping out. Please like and Share!!