A day away from losing it all

Ok, so it’s not uncommon for us to meet with people days before a pending Trustee sale.  However, in this situation we connected with an elderly lady Mrs. Jasibel, who was a day a way from her Auction.  Being this close to a sale date makes things very tricky for us to resolve her problem.  Not impossible but tricky!

We met with Jasibel first thing in the am so that if there was something we could do we would have all day to work on her auction.  In meeting with her we uncovered another rental property in trouble and a lot leakage in her finances.  Jasibel was certain that the problems she was having with her rental and the money she had to spend to fix the entire situation cost her the money she would regularly have for her primary residence.

Elderly people that we meet with are usually on some type of fixed income and either something happens to that flow or there is leakage in her cash flow.  Jasibel was the latter and with a problematic, costly rental and no savings for her rental, made getting that property whole again very costly.  Another common thing with elderly people is the lack of family support or the desire to not make family aware of their problems.  Jasibel’s situation was both.  Her only family was her son and he was dealing with a lot issues himself and she didn’t want him to know her problems so as not to add to his.

But now the tricky part, Jasibel has so many people wanting to ‘help’ her and since we now connected I feel the responsibility of making her situation right.  There is only so much she can do and being that we connected with the day before the sale it’s very likely had we not stepped in her home would be lost.  Jasibel wants to keep things as status quo as possible.  So what do we do??  She needs to have an entire overhaul of her finances much like an audit.  So we can detect where the leakage is happening.  We need to find an accountant that will overlook her finances on a regular basis.  She needs to either short sell or let her rental property go.  It’s upside down, and is costing her like $500 dollars a month.  It doesn’t work for her anymore.  Finally she needs to sell her home and salvage what she can with the equity that’s left.

Our proposal to her was to purchase her property and allow her to rent it back.  We would have her carry back the equity she has and have it secured by this home.  She could name her son as the beneficiary so she takes care of him as she wanted.  We would pay a reasonable rate for the note and allow her to rent the property back for the as long as she lived or could no longer pay.  Things wouldn’t change for her, she’d get to stay in home and live out her remaining years there.  The only last piece is that it’s her best interest to make her son aware of this deal so she’s protected in case something ever happens.  I’m gonna meet with him this week to sit down about his situation and let him know whats going on with his moms.  Let’s see what happens! =)