Oh, I was so excited when I received a cash offer on my first FL short sale! With 3 offers in less than one week it was a sign that the listing had been priced right. Although home still needed some additional work it was a great location in Naples Park.
Submitting the short sale package was pretty easy and my weekly communication with SunTrust seemed to be going well. Although it was an active foreclosure there was no sale date set when I looked up the home on the county site. No mention of an upcoming sale date indicate by the POC at SunTrust. BPO ordered in late December and uploaded to SunTrust system on the 4th of January and file submitted to investor on the 7th. Everything pointed to smooth sailing. One request for additional documentation was was done and completed hours within the POC requesting.
When I made my weekly call on Monday, January 14th, I was shocked to find out that the file had been denied! No reason was stated by the agent who was the back-up to the POC. I left the POC a voice message and tried to reach them a couple of times during the rest of the day.
Finally on Tuesday morning I was able to speak with another back-up who after doing some digging informed me that the offer was denied because it was insufficient but that the property had also been foreclosed on on the 10!! What, are you sure? There was no indication in their systemn but she did verify it with the foreclosure department. I received the contact information for the foreclosure attorney and was informed that yes it had been foreclosed on and that they did not even know that a short sale was in process!
Needless to say, after getting over the shock I had to tell my homeowner. She had not received any paperwork from SunTrust except something to do with the short sale and since I was handling it she didnt' think it was important. It was telling her that the offer was not enough. Now wy would they mail something like that to the homeowner when they had all my contact information and I was the one that was negotiating the short sale?? Why was the homeowner not given any notice??
Why did they send a letter to homeowner on offer not being sufficient? Why did they foreclose??? Why did the foreclosure attorney's not have the homeowner's mailing address in Chicago??
Although it is obvious that mistakes were made - neither the bank nor the foreclsoure attorney's would take ownership of the problem. They backpeddled and hid behind their corporate shield.
All the homeowner can do is file complaints with Freddie Mac and the Consumer Financila Protection Bureau. She tried to do the right thing but because the bank's systems could not speak with each other now she has a foreclosure on her record and the investor has another foreclosure property to dispose of. Meanwhile, the servicer continues to get paid for "servicing" the loan.
Don't get blinded by the Sun - Trust...and definitely don't put your trust in them at any time.