Another short sale story.  Grab you fuzzy bunny slippers and get comfy.  I have been working on a short sale with Wells Fargo since May.  Submitted the sellers life history along with a ream of paper in the fax machine to a fax number for Wells Fargo.  Did the same thing to another fax number for the second loan, also Wells Fargo.  This file is starting to look like a Manhattan phone book, it is so thick.  After about a week, check with the bank to make sure they have the documents.  Of course they didn't receive them.........that seems to be the normal response for a short sale packet.  Repeat all of the above once again.  Finally they get the paperwork, several phone calls later finally get assigned a loss mitigator.  Worked with her for a fe weeks, then was assigned to a different person.  That person made sent several emails to me.  In the meantime to also had to talk to the 2nd lien holder (Wells Fargo also).  All the time these conversations are going on, these two people are not talking to one another. 

Finally a decision is made the offer is not high enough.  This was the only offer I had after having the property on the market since March.  I reduced the price several times and still only had one offer, which was low.  We finally decided to let that offer go.  After about a month, I called the other agent to see if her client was still interested, he was.  I sent an email to the loss mitigator and asked if I had an offer of a certain amount , did they feel they could work with it?  She needed to see the HUD, but after reviewing it, said yes, they could work with that.  The second lien hold in the meantime spoke to the seller and worked a deal where the seller would bring $5K to the closing table plus they would get $3K from the frist (all on a $39K second). 

The other day I get the approval letter from Wells Fargo, I think everything is ok, then the second lien holder (Wells Fargo) calls me up and says they need the seller to pay off the second in full.  This will stop the short sale from going through.  The first mortgage is loosing about $115K and the second could force this to go into foreclosure if they push the issue.  I explained to the second that the seller does not have the funds to pay that off in full.  He didn't seem to care.  I sent an email to the first to ask if she can put pressure on him to let this go through.  She said not she could not do that, other agents have been fired for interferring with other departments negotiations. 

NO WONDER OUR BANKS ARE FAILING............This is the same bank and they don't talk to one another.  For a small loan of $39K that they will lose $31K on, they are going to cause the bank to spend thousands and force this home into foreclosure.  This just doesn't make any sense to me.........

Oh, and they have a cash buyer would will take this home off their hands...............