Short Sale Strategies

<p> Has anyone had any success with short sales at Chevy Chase Bank/now Capitol One? I&#39;m working with them on a short sale where the buyer walked, then the property values dropped. They won&#39;t reduce the amount of the short sale approval, and the house will no longer appraise. Can&#39;t find any buyer who will pay above the appraised value in this market. </p> <p> Puts the sellers in a very tough spot because the bank won&#39;t modify the loan terms either. </p> <p> Thanks, </p> <p> Tamara </p> <p> ---- </p> <p> Tamara Inzunza, Associate Broker<br /> McEnearney Associates, Inc. Realtors<br /> Serving Northern Virginia &amp; DC<br /> <a href="http://www.MovingToNova.com">www.MovingToNova.com</a> | mailto:Tamzoo@MovingToNova.com<br /> 703-623-8759 </p>

<p> I have a listing that I was supposed to write a short sale offer on today. The seller just received their approval letter from Citi for a deed in Lieu. I can&#39;t get the loss mitigator to respond to my questions. Will they still look at the offer? Does the seller still sign it? Has anyone else had this unfortunate timing situation? </p> <p> Kris in MN<br /> kris@mncabinfinder.com </p>

<p> We have 7 day extention to close. Buyer can&#39;t get financing set until 4 business days after. It is a Fannie Mae loan - BOA sez Fannie has to approve and Fannie sez BOA must approve. </p> <p> We were working this as a short sale when the sale date came up. $178,000 offer on a $168,000 BOA payoff w/ a second lien holder and commissions. Day of Sale Date BOA rejected the Short Sale saying it was a &quot;full payoff&quot; (NOT) Buyer increased his offer, I cut commission and we can get it closed. But not in the 7 calendar days BOA is giving. </p> <p> My Equator &quot;file&quot; was wiped out in an hour after the rejection - Phone calls to BOA still show it scheduled for sale LAST WEEK. Attorney sez they can only get the original 7 day extention. </p> <p> Second has agreed to payoff - BOA gets FULL payoff but needs to wait an additional 4 business days. </p> <p> Any contacts/names/numbers in BOA anyone can share - other than going to the media, other suggestions/approach? </p> <p> Thanks! </p> <p> Mary Krummenacher </p> <p> RE/MAX Properties West </p> <p> St. Louis, MO </p> <p> 314/496-8286 </p>

<p> I&#39;ve always had good experiences with Wells Fargo. I&#39;ve gotten approvals all summer within a month on first loans. No problems. Until this one. </p> <p> So borrower moving for his JOB. Submitted full package. Wells orders appraisal, asks for a couple of updates and a resend of some things already sent (typical for any short sale of course). The processor sat on this for almost 5 weeks, then asked for one more update on bank statements and pay stub. Tells me its going to negotiator. </p> <p> 10 days later now, she says he doesn&#39;t qualify because he&#39;s not 30 days behind on his payment. Now mind you, I&#39;ve done many short sales for people not behind when it is a hardship like this (moving for his job). </p> <p> So I asked the rep if she&#39;s saying that people must outright abandon their properties before Wells Fargo will help and she basically said yes. Blamed it on investor guideline, etc. etc. etc. </p> <p> I&#39;ve escalated to Executive Resolution, but not one contact back. Borrower too has called an Exec Resolution person he had become familiar with in his loan mod days (trying to reduce interest to keep the home and rent it out). </p> <p> So Wells Fargo now joins the ranks of the banks that are punishing those wanting to do the right thing. He tried to modify the loan to make it accessible to keep it and rent it. He&#39;s tried to short sell. We have a good buyer, full price, market offer. Now they&#39;ve just said &quot;nope, sorry.&quot; Now realize if they had told us this LAST MONTH, he could&#39;ve stopped his July payment. But now we&#39;re looking at the earliest we can resubmit being SEPTEMBER. </p> <p> He&#39;s moved. His house is vacant and now it has to sit another 6 weeks vacant? He&#39;s finding it hard to not just want to walk away. He&#39;s been given the run around from Wells for over 4 months now, first loan mod , now this. </p> <p> Anyone have success overturning this must be 30 day late thing? </p> <p> I&#39;ve done more than a dozen short sales with Wells where the people were NOT late. I&#39;ve done dozens of short sales w/ other banks where the people were NOT late. So why this ONE investor? </p> <p> Anyone have a higher up contact? Higher than Executive Resolution team? </p>

<p> Have an offer that has been held up by GMAC. They finally ordered an interior BPO by an agent from outside of the county and doesn&#39;t know the neighborhood. This home is over improved in a depressed area. This agent who did the BPO according to him is desperately trying to get into the REO business so he will take on BPO&#39;s in 3 counties. The problem with his lack of knowledge of the neighborhood is that he came back with a price 55K more that the house is worth and the neighborhood could support. </p> <p> I have suggested that GMAC have another BPO done for those very reasons. The buyers are max&#39;d on their offer. I do not think the house would appraise for that much more anyway. </p> <p> These short sales seem to get more complicated not easier. So now we&#39;re back to the waiting game. Any other suggestions on what can be done to fix this? </p> <p> Lucy Korzelius </p> <p> REMAX Gateway </p> <p> 732-684-1559 </p> <p> http://www.realestatelu.com </p>

<p> hi all, </p> <p> if anyone has some tips I can use for this following scenerio: </p> <p> 1st w/Aurora approved with a 6% commission and $2900 (approx) going to 2nd. The 2nd is with GMAC and they won&#39;t pay more than 4%!!! AND INSIST on $5000. so they cut the Realtors by 2% and they want double what&#39;s offered????? </p> <p> Any ideas here? the old &quot;well I guess it goes to sale&quot; didn&#39;t work, cuz the insurance will pay $6000 I&#39;m told. </p> <p> help! </p>

<p> Wow, how things change so quickly. In just the last month I&#39;ve had 2 letters revised due to the purchase money, non recourse status of the loans, today, I got this. Aren&#39;t we all so glad they&#39;re worried about wasting anyone&#39;s time? This is from the BAC closing officer: </p> <p> <em>We no longer send letters without the deficiency language, so if some others are still sending it then they are not following BAC&#39;s guidelines. If by law, we can not pursue a deficiency then we will not. However, we do not have separate letters for each state, therefore the deficiency language is in all letters. Also, the statement ends with &quot;unless prohibited by law&quot;, so if their state laws or new guidelines prohibit BAC to pursue the debt, then there should be no issues. In summary, the language can not be removed/changed, and if the seller wants to cancel the short sale, please let me know so no one is wasting each others time. Thank you!</em> </p>

<p> In a recent short sale, I had the buyer. We negotiated and waited for 6 months to get approval. On the day we were supposed to close BOFA pulled the contract for no reason and said since we didn&#39;t close we needed to write a new contract and start over. BOFA had cut commission from 6 to 5 and denied $2K buyer closing costs. </p> <p> We submitted new contract and 30 days later received approval with 6% commission and $2K to buyer, we then learned that the short sale was a FNMA loan and BOFA had made a big mistake. BOFA didn&#39;t want us to know and didn&#39;t want any record of the transaction which is why they made us submit a new contract. </p> <p> It ended up costing $1567, one point,because my buyer didn&#39;t close 5/31, which the agents and lender split. I shouldn&#39;t have to pay for anything BOFA did. Who do I report this incident to? I want BOFA slapped and our damages? </p>

<div> We just received an approval letter from IndyMac (One West Bank) with a list of conditions that included this statement: &quot;...acknowledge that Indymac Mortgage Services retains all deficiency rights as provided by the note, deed of trust and/or security agreement in accordance with local and federal laws.&quot; I requested that the language be changed to &quot;waive any deficiency rights&quot;, and received an immediate reply, &quot;Fannie does not waive their deficiency rights, and the wording of the approval letter cannot be changed in anyway. Please let me know if the sellers are willing to proceed, or if I need to remove the short sale workstation and proceed to foreclosure as scheduled.&quot; </div> <div> </div> <div> Anyone else had direct experience with this? </div> <div> </div> <div> Jennie Blackburn </div> <div> www.StopFloridaForeclosureNow.com </div> <div> Tampa Bay, FL </div>

<p> Hi all, </p> <p> My Chase/Chase 80/20 short sale is finally closing tomorrow. The 2nd Chase lien is being repped by a collection agency. Their approval letter reiterates that the seller is still responsible for any deficiency per the original terms of the loan. They are unwilling to change that language to hold the buyer harmless. From everything I&#39;ve read, most often they&#39;ll choose to write the deficiency off as a loss and 1099 the seller - - - but I&#39;m looking for your experiences with the same situation. Anyone have experiences to the contrary? By the way, Texas has laws to limit the amount they can collect to the difference between the loan amount and the fair market value in a FORECLOSURE situation but I can find nothing regarding short sales in particular. </p>