I am completely disgusted with IndyMac. Has anybody else had them try to REFUSE to even LOOK at a short sale package because it wasn't submitted 14 days prior to Trustee's Sale date (or 15 depending on who you talk to or what side of the bed they got out on that day)?
***RANT WARNING***
I've been communicating with them since Feb 09 on this file.
- The homeowner tried diligently to refinance or obtain a loan modification - no help at all there.
- Both husband and wife lost jobs, he has a health condition that affects his ability to work.
- Very cooperative in supplying financials.
- Have a 1st loan with IndyMac, small 2nd with Countrywide/B of A
- We did all possible to get a higher offer to cover as much of the obligation as possible. No go, nice house they lovingly upgraded with a lot of expert sweat equity, but in a very uneven neighborhood.
This is where it gets weird. The Trustee's Sale date is 9/21/09-Yes, TOMORROW.
On 8/31/09 I called to see if they might consider a postponement to allow us to market in the busier fall season (OK, so I'm an optimist. Asking's free).
They basically not only said absolutely not without a contract (still not surprised); then they hit me with this 14-day prior "rule", which not only had NO ONE EVER MENTIONED, there was also NO MENTION OF IT ON THE WEBSITE OR IN THEIR SHORT SALE PACKAGE!
The agent I spoke with (let's call her "Rita") was very brusque when I questioned her and made the following statement: "Our investors make the rules and THEY DO NOT WANT US TO DELAY ANY FORECLOSURES"!!!
Am I nuts, or isn't this the bank that WE THE PEOPLE, THE TAXPAYERS OF AMERICA BAILED OUT?!
This was right before the Labor Day holiday weekend, so I dropped the price to below market, obtaining FIVE OFFERS, 2 at list price, 3 above, bringing us to somewhere in the neighborhood of current fair market value for this property. It ain't going to get any better.
I spoke to several IndyMac reps over the next few days, one of whom verified the 'rule' but said she'd seen them accept packages and postpone closer to the sale date, so I forged ahead.
We did the best we could do time-wise as Sellers now live 4 hours away out of area in a trailer on raw land in a remote area. Due to the holiday everything was closed (including IndyMac OF COURSE) so by the time we got the package back it was 9/9/09 - 12 days prior to the sale date. It was a very complete package.
I spoke to one agent on 9/8/09 who told me she showed that a letter had just been sent to the seller stating that they had 10 more days to submit their package.
I then spoke with an agent who verified receipt and said they would "probably review but no guarantee".
Then I got one of the most arrogant agents it's been my misfortune to come across...let's call him "Cory". He was downright unpleasant and said they they WOULD NOT and DID NOT WANT TO process the file! That "short sales are just an option, we don't have to offer it and we don't want to". HUH?
I requested a supervisor, was told they wouldn't help either, I suggested perhaps we should let them make that decision...finally hung up since it was clear this guy simply wanted to be obnoxious.
Desperate and Disgusted at this point (9/11/09) I called back and full-on groveled. I got a nice guy "Brandon" who did listen and got me a supervisor, who basically told me no again.
At this point I shared with her that in my opinion, not only was this the best opportunity their investors were likely to see, but that these are EXACTLY the homeowners we are supposed to be helping. These are not wanna-be investors who got in over their heads. They didn't lead a lavish lifestyle. THEY HAVE GENUINE HARDSHIPS AND NEED REAL HELP. They are behind because they CAN'T PAY, not because they don't feel like it. They've never been late before this happened.
It is absolutely ridiculous for IndyMac to say that they CAN NOT postpone with less than 14 days prior to the Trustee's sale. Banks are doing it EVERY DAY. B of A for instance won't initiate a postponement until you are within 5 days of the sale.
I just got an offer on another short sale on Thursday 9/10/09, submitted the package to ASC late that night - and THEY WERE ABLE TO POSTPONE A MONDAY 9/14/09 SALE DATE! And they did it with just ONE business day.
SO-let's be clear. It's not that IndyMac CAN NOT, it's that they DON'T WANT TO.
I shared with her my opinion that this position was a CHOICE on their part, and a very bad one, that would probably make VERY INTERESTING PRESS, and that I would feel morally bound to share this situation, as I believe it is the wrong choice for the investors, the homeowners and the health of the market in general.
At this point she agreed to look at the file while I held. She asked for 3 more items which I obtained for her, and said she couldn't guarantee that they could postpone but she would ask them to review it. Even though I figured she was just humoring me, I still hoped for a good outcome.
Yesterday I called and they told me my Third Party Authorization was 'expired' because it was 'only good for 90 days'. What baloney...it was dated 3/28/09, so if that's the reason why is it they've been talking to me every time I called in July, August and September? Why didn't they ask for it when they checked the package and 2 different people told me it was complete? It also states that it is valid until it is revoked in writing by the borrower.
I am so frustrated and discouraged and it feels like they are intentionally pushing these homeowners into foreclosure. There is no redemption period after a Trustee Sale in AZ.
I'm hoping I am wrong, but running out of reasons to believe they care, even about their investors if not the homeowners.
Has anybody else run into this 14/15 day rule? If so, have you had any luck fighting it?
Thanks for any advice you can offer.
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UPDATE: THEY WERE BOUND AND DETERMINED TO FORECLOSE. IT WENT TO TRUSTEE'S SALE 9/21/09 AT 10:00AM WITH AN OPENING BID AMOUNT OF (GET READY): $101,500
The List Price prior to foreclosure had been dropped to $139,000. We had a contract in the amount of $150,000. We had 4 other backup offers, 2 at list price and 2 above.
Needless to say, the opening bid had the chance of a snowball in you-know-where of being accepted even IF someone did show up to bid, so it reverted to the bank.
ASK YOURSELF WHY INDYMAC / ONE WEST BANK CHOSE TO FORECLOSE???
THEN READ THIS POST BY BOB HERTZOG OF PHOENIX AZ: http://activerain.com/blogsview/1243528/is-the-fdic-killing-short-sales-
It makes very interesting reading.
TUCSON, AZ, August 19, 2009 – “
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