.........if you don't want to do Short Sales then please quit wasting everybody's time pretending you do. On November 1st you implemented the new "streamlined short sale" guidelines. Read the new servicer guidelines here.
Excerpts:
Determining the Market Value of the Property
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Fannie Mae requires that the property valuation for a short sale be based on an interior and exterior inspection of the property which can be either a broker price opinion (BPO) or, if licensing requirements in the state dictate use of an appraisal for these purposes, an appraisal (performed in accordance with the Uniform Standards of Professional Appraisal Practice(USPAP). The property valuation must be dated or have been refreshed by Fannie Mae within 90 calendar days of the short sale approval
Evaluating Short Sale Offers
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The property valuation is the basis for the determining the minimum net required (MNR) proceeds and list price guidance from Fannie Mae. The servicer can only approve a short sale if proceeds from the short sale meet or exceed the MNR. The servicer must document Fannie Mae's MNR in the mortgage loan servicing file. The MNR must be kept confidential and must not be shared with interested parties to the transaction (for example, the buyer, seller, or real estate agents).
From the Federal Housing Finance Authority:
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These new guidelines demonstrate FHFA’s and Fannie Mae’s and Freddie Mac’s commitment to enhancing and streamlining processes to avoid foreclosure and stabilize communities,” said HFA Acting Director Edward J. DeMarco.
Well Edward, it all sounds great on paper but know that Short Sales are far more difficult now than they were prior to November 1, 2012.
Fannie Mae is now making getting a Short Sale approved very, very difficult. I guess they forgot to mention that even though it is now easier to qualify for a Short Sale it won't happen because Fannie Mae will only accept deals that are far higher than market value.
Why do you continue to keep agents in the dark about the value of the property? Why not sort out the price first and then let us do what we do to find a buyer. After all we are the experts when it comes to pricing and selling property.
Countering every contract we submit at far more than market value achieves nothing. And it's funny that this issue didn't exist until you decided to make Short Sales "easier".
And did you know that your servicers are giving us "approved" listing prices, based on your criteria, only to have you counter the price? We find a buyer at the approved price or higher and yet you, Fannie Mae, decide the price you gave us 30 days ago is no longer any good.
Here's a recent example of a failed Short Sale due to Fannie Mae's incompetence. You recently denied one of my Short Sales over price. We priced at $88,000 based on a full blown appraisal ordered by the servicer that was only 45 days old. Seemed like this price would be acceptable since it was also very much in line with market value. You countered at $125,000!! This over priced property now sits on the market. Maybe in 4 months time you will consider taking a deal at $88,000?
Sorry, Fannie Mae but your new property valuation method is not working. Properties are not going to sell at the prices you want. So save us all a lot of frustration and time and just move straight to foreclosure. Why continue to make us go through the motions?
Short Sales would not happen without hard working experienced agents pushing the deal forward. And that's a fact. Lenders, servicers, investors and the borrowers would all fail at getting the deal done. Yet you continue to crap on is.
Selling properties multiple times is not an efficient method of disposing of a non performing asset.
Fannie Mae please get your act together. The market is turning and we can see the light at the end of the tunnel. Let's work together to clean up the rest of this mess so we can all move towards a brighter future.
I call the new Fannie Mae Streamlined Short Sale process BS. Please get your act together while us agents are still willing to help you unload these bad debts. Is that asking too much?
Here's a good discussion on this issue over at http;//ShortSaleSuperstars.com
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