Fannie Mae Deed In Lieu Program vs Short Sale in progress

By
Real Estate Agent with Young Realty Group, Inc. BK3055753

I have had a few foreclosure attorneys send my customers offers for "cash for a deed in lieu".  I questioned the servicer as to why the attorneys were sending investors and second homeowners letters for cash.  Bank of America states that this is an option if a short sale does not work out.  Why the attorneys are sending out letters for deed in lieu instead of telling homeowners to FIND A REALTOR and list for a short sale is troubling.  I have asked Fannie Mae to tell me why as a tax payer we are paying investors money to give back property?  Why are foreclosure attorneys being paid a bonus ($1500) to complete deed in lieu's?  Why are Realtors asked to help lenders and servicers but it seems like we are being cut out on our own deals?  I have had two deals in for short sales with cash contribution requests from Bank of America.  At the same time the borrower is asked for a deed in lieu where the lender will pay them cash?  Tell me why the borrower would want a short sale and have to pay money?  The deed in lieu program allows foreclosure attorneys to offer cash AND FULL RELEASE of DEFICIENCY.  We are sending the wrong message.

IF YOUR SELLER HAS RECEIVED A ATTORNEY LETTER FOR A DEED IN LIEU WHILE IN AN ACTIVE SHORT SALE, PLEASE EMAIL ME THE DETAILS.  LET ME KNOW IF YOUR FILE WAS FANNIE MAE OR FREDDIE MAC AND IF YOU WERE IN EQUATOR UNDER REVIEW.

LORI YOUNG PA REALTOR

NAPLESAGENT@YAHOO.COM

 

Comments (1)

Not a real person
San Diego, CA

Oh, you ask way too many good questions. Too bad we’re probably not going to get any good answers from the powers that be.

Feb 08, 2011 01:28 PM