I've only been doing short sales for a couple of years but have noticed a disturbing trend as of late. When I started doing shorts the 2nd lien holders were typically getting 10% of their balance approved by the first. Later on that went down to 5%, and more recently with direction from Fannie Mae and the HAMP program they have gone to $3,000.
Greentree seems to be bucking the system. I have two right now where the first has all but approved the deal but Greentree is demanding 5% of the PURCHASE PRICE! Now we are used to outragous claims but after weeks of negotiating they are not coming off the price and seem more than willing to let the borrower and the first burn rather than accept 3% of the purchase price. At 3% they are getting far more than most in these deals.
Since they are signed on the HAFA are there any pressure points we can leverage to get some movment from them? If anyone here has been able to over come a similar situation I would appreciate your input.
I've only been doing short sales for a couple of years but have noticed a disturbing trend as of late. When I started doing shorts the 2nd lien holders were typically getting 10% of their balance approved by the first. Later on that went down to 5%, and more recently with direction from Fannie Mae and the HAMP program they have gone to $3,000.
Greentree seems to be bucking the system. I have two right now where the first has all but approved the deal but Greentree is demanding 5% of the PURCHASE PRICE! Now we are used to outragous claims but after weeks of negotiating they are not coming off the price and seem more than willing to let the borrower and the first burn rather than accept 3% of the purchase price. At 3% they are getting far more than most in these deals.
Since they are signed on the HAFA are there any pressure points we can leverage to get some movment from them? If anyone here has been able to over come a similar situation I would appreciate your input.
Spring in Maryland.
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