OfflineAm I reading this right?? If I buy a Foreclosure home and want to sell it in less than 18 months I have to give 82% of my profit to the previous owners?
It seems to me they are almost forcing you to have to rent out a foreclosure in MD:
"A Foreclosure Purchaser is a person who has acquired a property as the result of a foreclosure reconveyance agreement with a homeowner. (See Md. Code Annotated, Real Property Article, § 7-301(E).)
If a Foreclosure Purchaser sells the property to a person other than the homeowner within 18 months after entering into the foreclosure reconveyance agreement, the Foreclosure Purchaser must provide the homeowner with cash payments or consideration of at least 82% of the net proceeds from any resale of the property. (See Md. Code Annotated, Real Property Article, § 7-311(B)(2)(II).) The Foreclosure Purchaser also must make a detailed accounting of this payment to the homeowner on this form. (See Md. Code Annotated, Real Property Article, § 7-311(D).) The following are instructions regarding filling out various items on the Homeowner Payment Accounting Form."
about right to me. That's something you need to do some digging (research) into. Why would you even have to pay back proceeds to previous Lender/owner your invested interests into the property if you turn around & make a small/large profit?
"I will NOT BE BROKE! ANYMORE!"
In the name of Allah, the Beneficent,
the Merciful.
22.He is Allah besides Whom there is no God: The Knower of the unseen and the seen; He is the Beneficent, the Merciful.
23. He is Allah besides Whom there is no God: the King, the Holy, the Author of Peace,the Granter of Security, Guardian over all, the Mighty, the Supreme, the Possessor of greatness. Glory be to Allah from that which they set up (with Him)!
24. He is Allah: the Creator, the Maker, the Fashioner: His are the most beautiful names. Whatever is in the heavens and the earth declares His glory: and He is the Mighty, the Wise.
Why would you pay the 82% to the former owner within 18 months? Would you think that you would be paying to the bank that foreclosed the house before you pay the previous owner. I dont think you have to pay back because you already have invested into the property and you are the sole owners. Maybe you need yo ask the local real estate lawyer. Take care
Paul T. La Moy
"foreclosure reconveyance agreement with a homeowner."
"sells the property to a person other than the homeowner"
I am no attorney but this sounds like purchasing at current market price to sell to the existing homeowner.
If MD law says existing owner has 1st right to purchase out of a foreclosure situation, how can they qualify for a loan when they are facing defaulting on the current loan?