Short sale on family member's home

[BSH]

Some of you may have heard of my situation with my dad's house going into foreclosure. I was trying to find a way to short sale the house but the bank won't deal with me because I'm family--of course, that didn't surprise me. Foreclosure bail-outs are really frowned upon. Anyway, even though I understand, it's really frustrating because I can buy this house and really do something with it.

A friend who is also involved in real estate offered to be my "straw man." She's going to negotiate the sort sale and buy the house within my guidelines. I'm going to turn right around and buy it from her the same day.

I'm trying to keep one step ahead of the bank . . . I just want to know if you think the bank could take any issue with this. No, it's not their business, and no one is going to tell them, but if they somehow found out on their own, could this be a problem?

Also, on the financing side, she's using my money to purchase the house, but I want to finance it. I think seasoning is going to be a problem. Is the best way to just buy/title it in my name right away, sit on it 90 days and then finance, or what? I want to keep my out-of-pocket expenses to a minimum. Cash-out refi's tend to be expensive. Is there a better way?

Any advice would be greatly appreciated.

[J&M Investment Partners]

Give me a shout - I might be able to help you.



Mark

[ZNICK]

I suggest she buys it and puts it into a trust, then transfers beneficial interest.

Be very careful playing games like this...

Z

[shortsalesonly]

Why can't I find customers like that let me get this right she will work the short then sell it to you all in the same day... Just some advice if she/he is planning on doing a double close you will never know what she/he got the property for

Example I do the short Sale on a 200k house I get it for 130k I sell it to you for 180k and make 50k in the spread..

I guess all I am saying is watch out you could lose a ton of money in a deal like this.

I would love to do these deals full time.

I will tell you what send me an email and let me know who the lender is on the deal I probably have other deals with that lender anyway I will throw it in the mix and get it done for ya. And send you to my lender to get you a real loan not to mention I will show you how to put it in a Trust and still get the loan even though your Father owns the property.