Interest in Real Estate Contract

On the petition date, the Debtors’ had an interest, as sellers, in a real estate contract (“REC”) entered into with Cecil Stevens, Jr, as the purchaser, for real property and a mobile home located at 1420 Linda Lane, Hobbs, NM 88240 (the “Property”). There is an underlying mortgage on the Property held by Greentree. Security Title Escrow of Lea County, LLC is the escrow agent under the REC. As of December 29, 2014, the principal balance owed to GreenTree under the Mortgage was $3,033.54. As of December 31, 2014, the amount owed on the REC to the debtor’s was $27,667.37. By my calculations, there is $24,633.83 of equity in the property. Regular monthly payments from Mr. Stevens under the REC are $547.89, which Mr. Stevens makes directly to the title company. The title company then pays the principal and interest due under the mortgage to GreenTree in the amount of $500, pays $37.80 each month in property taxes, and its own fee of $10.09 per month. Mr. Stevens regularly makes the monthly payment due under the REC, however, sometimes his payments are late. When his payments are late, he always includes a payment for the late fee, which is then sent on to GreenTree to pay the late fee due under the mortgage.

Attached are the following documents:

1. Subpoena responses from GreenTree containing loan documents, payment history, and a screen shot of the principal balance as of the date of their response;

2. A copy of the underlying REC provided by the title company; and

3. A payment history and current payoff on the REC provided by the title company (current through today).

Trustee intends to sell the Debtors’ interest, as sellers, under the REC. The Trustee is soliciting offers to purchase the Debtors’/Davis’ interest in the REC. If you should need any further information regarding this asset, please let him know. At this point, the Trustee is requesting that any offers to purchase the Debtors’ interest be made by e-mail on or before February 20, 2015 at 5:00 pm. The Trustee will review all submitted offers on February 21, 2015 and accept the best offer, subject to bankruptcy court approval. After an agreement has been reached, the Trustee will file a motion to approve the sale free and clear of any claims, interests, or liens, to the extent any exist. The Trustee is not aware of any claims interest or liens on the sellers’ interest of the REC, but a court order will provide to the extent there were any, the sale is free and clear of them. Once the motion is filed, there will be a 24 day objection deadline. If any objections are filed, the court will schedule a preliminary hearing on any objections. If we cannot resolve the objection, or if the court does not overrule the objection at the preliminary hearing, a final evidentiary hearing will be scheduled. It is rare that objections are filed in these situations, but the Trustee wanted to alert you of that possibility. If objections are filed, I will take the lead and pursue court approval. The Trustee makes no representations regarding the value of the asset for sale. Buyers are required to conduct their own due diligence. The Trustee will do my best to answer any question or obtain any documentation you may need.