www.lasvegasmtg.com report: Wells Fargo will not bother extending close of escrow

Mortgage and Lending with All Western Mortgage Broker # 14210

Wells Fargowww.lasvegasmtg.com report: Wells Fargo will not bother extending close of escrow date starting now. Yesterday I received notice that Wells Fargo will institute a new policy that they will not extend any close of escrow once the approval has been issued. Will other banks follow as well? It is too early to tell, but I have talked with a small group of Realtors and the consensus is they will. As a mortgage professional I have instituted the following guidelines to try alleviate any possibility of not closing on time.

No big deal, right?

I just need to adopt the following steps.

  1. Immediately upon receipt of a short sale contract, determine with both agents if Wells Fargo is involved with the short sale.
  2. Make sure I address any major issues in the file so they are handled and out of the way.
  3. I will make sure that I will be submitting the loan to a wholesaler that gives good service and will give this file the priority it needs.
  4. Once the Wells Fargo Short Sale approval comes in, I will order the appraisal and update the file immediately, make sure my borrower understands the urgency in getting the updated paperwork immediately.
  5. Push the file as hard and as fast as possible through the system until it closes.

Sounds easy doesn't it?

ForeclosureIssues that I or Wells Fargo cannot control and makes this policy absurd is HVCC delays, HOA Demand delays, Appraisal not coming in at the contract price, RESPA Disclosure required mandatory 7 day time frames for disclosures if mailed. Everyone that is involved with a short sale know there is never any delays in the process with a second lien holder. What if there is a change of circumstance and you have to re-disclose and wait for 3 days to redisclosure? All of these issues can delay the closing, so what does Wells Fargo have to gain if there is not a short sale completion, because Wells Fargo refused to extend the close of escrow? Wells Fargo will gain another house in their foreclosure portfolio.

Posted by

         Kenny Salame                                                                                                  Equal Housing

Kenny Salame
Senior Loan Officer
All Western Mortgage Inc.
8345 W. Sunset Rd.
Suite 380
Las Vegas, NV, 89113
Mobile: 702--506-3301
Direct: 702-947-0609
Office: 702-369-0905
Fax: 702-952-0887

Comments (2)

Renée Donohue~Home Photography
Savvy Home Pix - Allegan, MI
Western Michigan Real Estate Photographer

WOW!  This is why we need teamwork more than ever!  Glad to see a very proactive lender working with agents to get the job done!

Sep 17, 2010 07:03 PM
Kenny Salame
All Western Mortgage Broker # 14210 - Las Vegas, NV
NMLS ID 313873

Renee, you are so correct that to be successful in Real Estate is going to require more communication skills with all parties then ever before. Home buyers are the ones who are going to suffer if banks take the attitude there are not going to be any extensions. I would like to know if this policy will be for clients that go through them? Is this the word they are putting out to the public to scare clients to use them instead of someone else? This is my take.

Sep 18, 2010 05:00 AM