bostonbubble.com

showgunx · Joined: 14 Jul 2005 Posts: 60

http://www.reuters.com/article/gc03/idUSTRE4BE0EZ20081215

I read above article this morning, and here is my master plan:

1. find an in foreclosure process house in decent area (brookline, newton, weston, needham etc., I want nice houses, I don't want cheap sh*t in gun zones), contact the owner and ask him/her to allow me to live in this house and sign year or two contact, with symbolic rent like $100 bucks a month. (I bet the owner would love to get any cash for the foreclosured property)

2. When the bank finish all the paper work and take the house from the owner, I become the paying tenant that will not get evicted. Then I can start bargain with the bank: I can tell the bank if it lower the price further, I can take the house, so the bank can save money on clean up the house, auction fee, all the paper work and time of finding new buyer etc.

3. If the bank refuse my low ball offer, I will STAY in this house as the tenant until the end of my rental agreement, which blocks the bank from selling the house fast. As the housing price keep falling and foreclosure keep going up, the longer it wait, the upper hand I will get when negoiate with the bank.

The whole idea is put myself in a situation that make the bank think I am the best option for it as the buyer, while I have certain right as paying tenant to block the bank from selling the house to other. Then keep low balling the bank until it give in.

What do you guys think? Feel free to try it out if you think it is doable. Cool

john p · Joined: 10 Mar 2006 Posts: 1820

You're an animal. I love it.

It sounds like the stars would have to be aligned to get the pick you want, in the neighborhood you want, etc. etc. If you're pretty flexible it might work.

You're going to have to go through some emotional wear and tear if you put yourself in that sort of situation and given that we're not designed to live forever, so you want to give up a lengthy period of your life in that sort of a situation?

I would plow my efforts into something industrious that would be fuit bearing while continuing to be a good capitalist and shopping and negotiating. This way, all the b.s. you'll go through won't cannibalize your efforts to grow your top line. If you make this endeavor your part time job it might impinge on your ability to stay focused on your employment is basically what I'm saying. I think you can keep your eye on the ball and still get a good deal. I think you're smart, however, to amp up your thinking as this is that big of a deal and if the stars were aligned you could save quite a bit.

Good luck!

JCK · Joined: 15 Feb 2007 Posts: 559

I think it could work, but as john p points out, it might be very stressful.

Consider that this could be going on for years. Fighting with a bank for your home doesn't sound enjoyable to me. If they want you out, I suppose they could engage in some sort of legal harassment, I don't know...

Good luck. Personally, if I were in your situation, I'd spend some time finding a comfortable rental place (that you'd be happy spending several more years in) if you're not in one already, and negotiate with sellers from the position of strength (i.e., that you're under no pressure to buy until you find the right price).

showgunx · Joined: 14 Jul 2005 Posts: 60

http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/12/18/BA6T14PVAE.DTL&hw=rent&sn=002&sc=583

This will soon happen in Boston...

JCK · Joined: 15 Feb 2007 Posts: 559

"Her gas has been off since October because of a leak; the bank still hasn't made the necessary repairs."

I wouldn't want to be in this situation. Think about all of the things that a bank could do to you (or not do for you). It might the worst of both worlds: none of the convenience of all calling the landlord to fix the problem, but being forced to pay for it (either with your time, money, or both) in a place you don't own.