A friend of a friend rented me her house, saying that she wanted to do a Short Sale. It was the area I was looking for and the size house I wanted, and I was ready to buy a home. I paid her market value rent, and did all the upkeep and maintenance because she was unemployed and didn't have much income. After 5 months of paying rent (we were going to contact the bank to work out the Short Sale contract at 6 months) a Notice of Trustees Sale was put on the door! I called her and asked her what was going on and she said that she had to file bankruptcy, and the house had been in default for almost a YEAR! I asked if we could go ahead with the Short Sale now, and she stated that her bankruptcy lawyer advised her NOT to do a short sale and let the house go back to the bank. She told me that I could work out something with the bank instead, but the bankruptcy would hold off the trustees sale for a while, so please go ahead and keep paying her the rent. What? So now I am living in a house that the Landlord will not do maintenance on, the Bank won't talk to me because the house is not through the foreclosure process yet, and I REALLY needed to purchase a house before the end of the year. Is my only option to go find a different house, cut my losses and have to pay movers again? Any advice or direction is greatly appreciated! Thanks.
I do have loss. I have a written agreement to enter into a short sale negotiation. I moved into this home with the expectation of owning it and I have put in a couple of thousand dollars worth of repairs.