Note purchase offer in leiu of short sale

Note purchase offer in leiu of short sale

In the note purchase offer in lieu of short sale, the details of the company are mentioned and it is addressed to the loss mitigation representative of an institution. This is with regards to the short sale request where the person informs that based on the conversation had on the date mentioned, they are sending the offer letter. The offer letter informs of the discounted note purchase which is made against the mortgage which is held by the borrower.

In this letter, the person informs that they are ready to tender a deposit which will be non refundable which is to be deemed as good faith so that the investor can postpone the foreclosure sale of the property which has been mentioned earlier in the letter. In this document, it also says that they require an agreement which is signed before the funds are sent and then based on the lending criteria they are submitting to the institution two different offers in terms of the timeframes as well as in terms of the funding dates.

The first offer normally closes the entire transactions within a quarter and the second informs of the date that the closing can occur and the purchase amount which will be paid.

They also inform of the details of the transactions when the response is received and they also mention about the calculations, the interest cost, fees, property condition and holding time.

Incase the financial institution would like they are ready to furnish the details as well.

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Note purchase offer in leiu of short sale

Your Company Name
Company Address
City, state, Zip
Phone: (555) 555-5555     Fax: (444) 444-4444

Date:

To: Institution Name
Attn: Loss Mitigation Rep. Name
Phone: (agency Phone)
Fax: (agency Fax)

RE:  Short Sale Request
Acct.# xxxxxxxxxx
Property Address  123 Main St;

Dear Mr. / Ms

Pursuant to our conversation on ______________(date) this offer letter outlines a discounted note purchase for an assignment of mortgage currently held by ___________________(Institution name).

We are prepared to tender a non refundable deposit of $____________(deposit amount) as good faith to have your investor postpone the foreclosure sale on the aforementioned property. We will “require” a signed agreement prior to sending funds. Based on our lending criteria we are submitting two offers which differ based on timeframes and funding dates.

OPTION 1- Close this Quarter

$_____________(deposit) non refundable deposit once we have an acceptance in writing. A note purchase amount of$_____________(purchase amt.). Funds transfer by _________________(date), before close of business. Total purchase price to your institution $_____________(note purchase amt + deposit amt.)

OPTION 2- Postpone Foreclosure Sale Date

$_____________(deposit) non refundable deposit once accepted.  Foreclosure sale postponed. Closing to occur on_______________________(closing date). Note purchase amount of $______________(Purchase amount). Total purchase amount to your institution $_________________(Deposit + note purchase amount)

Transaction details to follow with logistics once we have a response. We have calculations from our REO NET Ratio indicating holding time, Interest cost, fees and property condition that justify the offer price.
Calculations are available upon your request. Please let the investor know we are prepared to fund and remove this liability.

Sincerely,