Sometimes short sales are just painful. This was one of those instances. Shortly after we listed, Bank of America sold both of my client's loans. The first to Nationstar and the second to Greentree. This caused some additional paperwork on our part, refilling out authorizations and financial documents - not that big of a deal.
The problem came with the processing and negotiators assigned. We ended up going through 3 negotiators with each lender, each one less responsive than the next. At one point, I spoke to a supervisor with Nationstar and she stated that they only had one underwriter for their short sales at the time. This is a pretty poor level of staffing considering they just bought a big portfolio of loans from Bank of America.
We had a buyer within 90 days, a typical marketing time frame for the area - then things just dragged out. Call after call, email after email for at least twice a week, each time getting less answers. Finally after 6 months of solid persistance, we were able to magically break through the wall and get a short sale approval from both Nationstar and Greentree. 2 weeks later after home inspections, our buyer walked.
Not wanting to go back to square one, we didn't tell either lender that the current buyer walked. We did not want to have to start over again. Having some pretty serious issues come up after inspections, we reduced the price by 33% and gathered estimates for repairs. Shortly thereafter, we were able to secure a new cash buyer. Having the new buyer in hand, I then went to both lenders, told them the old buyer had walked but that I had a new offer for them with repair estimates. Using this strategy we were able to keep the same negotiators, and get a pretty quick approval after a new appraisal was done ( just under a month ). We then sailed to a closing with a full waiver of deficiency for my clients with a small cash contribution.
Here are the details:
Sale price: $71,000
Cash contribution at closing: $1,000
Total closing costs allowed: $9,500
Deficiency waived by Nationstar: $80,000
Deficiency waived by Greentree: $50,000
Patrick
Why settle for less than 5 stars?
Featured in Connecticut Magazine's March 2011 and March 2012 issues as a top real estate agent in overall satisfaction. Contact me for more information about attempting a short sale in Connecticut.
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