Short Sale CASE STUDY: 008

Minor Updates – Still Waiting on the Bank

After a few messages to the bank had not been answered I decided to have the seller fax me the form letters he received from Wells Fargo to see if there was a contact number I could find to speak to the processor directly.

I didn’t find what I was looking for but did see that they gave him the option of faxing his financials to them outside of the Equator system.  Since I am still unable to upload any information into Equator I decided that I needed to  [Read more…]

Short Sale CASE STUDY: 007

Form Letters and Red Tape

The seller received a notice from the Lender late last week acknowledging that they received the request and were processing the short sale.  The letter also directs him to have his agent upload his financial information into the Equator system to avoid the file being cancelled.

It has been over a week since I last uploaded information on this file and I am still not able to [Read more…]

Short Sale CASE STUDY: 006

Now For The Dirty Work

Yesterday Wells Fargo assigned 3 separate tasks and gave us until 6am tomorrow to get them complete.  These are the tasks I have been preparing for and why it is so critical to get all of your paperwork lined up in advance to avoid delays.

I will describe the tasks in the next few paragraphs but want to point out a few things first.  Remember that this particular short sale has an FHA loan in place that is being serviced by Wells Fargo.  The tasks in Equator are going to be different depending on who is servicing the loan and what type of loan is being serviced.  The following tasks may be different if [Read more…]

Short Sale CASE STUDY: 002

The Details

Every time I start a new short sale there are a few basic questions I want to know up front.  These questions help me determine the work flow, timeline, and identify any lender specific or program specific forms I will need to use to get the short sale moving. Here are some of the basic things we need to know about this particular short sale and how they will impact the process.

What is the Hardship?

A hardship is crucial in a short sale.  When asking the lender to take a loss on a loan it is important that there be a reason that the homeowner is selling.  Most people don’t consider the fact that if they would just stay put for 30 years the loan would be paid off.  There needs to be something forcing the sale.  A hardship.  In this case, [Read more…]

Big Changes Coming to HAFA

It was announced on March 9, 2012 that the Home Affordable Foreclosure Alternative (HAFA) program was extended until the end of 2013.  Along with this extension come several huge changes that will benefit homeowners and allow for more participation in this program.

 

  • Occupancy Guidelines Waived
  • $3000 to seller even if tenant occupied
  • Up to $8500 to subordinate lien
  • Qualify even if current on payment
  • Credit reported as Paid in Full
Please note that I have not officially verified this information.  www.makinghomeaffordable.gov has not been updated to include this information.  I received this news from Alex Charfen of CDPE.

Let’s elaborate on these changes.

The first 2 changes mean that…