Buying My Best Friends Home?

Scott gave you a good answer on this. You will have to purchase the property as an investment property, since you intend to let your friend live in it. Unfortunately, the easiest ways to transfer it back to him would involve you owning it free and clear before you transfer ownership; otherwise, you'll pretty much just have to treat it as a standard purchase. You can draw up a purchase contract between the two of you if he doesn't need to short sale the property. If you're buying this as a short sale, then a Realtor needs to be a part of the process and it needs to be demonstrated that it's been marketed and exposed to as many other people as possible... The first step for you is to determine if this is a short sale, or not; then, you'll need to get your mortgage in place. I only do loans in Utah, but I know a great loan officer who can help you in California, if you need. Contact me at http://www.homeloansinutah.com/forms/askAnExpert.html, if you need some help.

You can purchase it as an investment property with a minimum of 20% down. He can indeed sell his house directly to you. Since you already have an agreement, you can hire a real estate agent to complete the purchase agreement for a minimum cost. When he gets it back together and wishes to buy the home back, you can go through the process once again. It may take some time to age any mortgage lates off of his credit report. There is nothing illegal or unethical about this transaction as long as you handle it as outlined above.ThanksScott

Do you already own a home of your own? If so, you will have to purchase the property as an investment and will require sizeable downpayment. Depending where he is in the process of foreclosure and whether you are going to pay full price or try and negotiate a lower price, he may need the bank's approval to sell. I would suggest you have a real estate attorney handle this. You will need to get preapproved for a mortgage before the bank that is foreclosing will even consider an offer to purchase. I have done several of these over the years -- but they are complicated to work out with everyone involved. Again, I stress that you have an attorney. You will not need any realtors, etc. If the property is in the State of Illinois, call me at 630-567-1951 and I will attempt to explain what all is involved. Also, have an attorney out of Inverness, IL that has helped worked several of these types of deals for her clients. Darla Placencia, Mid Nation Mortgage Corp aka Equity One Mortgage

Max, he can sell it to you for what he owes. Chances are he owes more than the property is worth. A new lender is going to lend against current loan-to-value. You'll need to consider how much money will be required to make this happen. .... Happy funding, Rudi

Max, if the property is in foreclosure please call me for more information on how to move forward with such transaction. 949 242 5215,