This Is Not My First Rodeo! Apparently!
This is not my first rodeo! Apparently! Well, this was not the kind of fun I want to have again anytime soon! I listed a beautiful home here in Escondido, a beautiful city in North San Diego County. From the beginning it was a short sale and everyone knew it! It was the same routine as any other short sale listing, we have done this many times before! We put it on the market, do our marketing, get multiple offers. Seller picks the offer they want to submit to the short sale lender and we are off and running! Two weeks, 14 days after our short sale package is submitted, we have approval! I call the selling agent and the very next day, her buyer cancels! Ok, it's the market, onward!
The backup offers are contacted, they have all moved on, again, that's the market! Put the home back on the market, get multiple offers and the seller selects an offer to re-submit to the short sale lender. Buyer orders septic test and septic fails! Buyer cancels! I am sure we are not jinxed here! Put the home back on the market and again, this time we are disclosing, as we should, that we have a failed septic. Offer comes in, Seller accepts and now we have to find out if the City will require that we hook up to sewer or if we can repair the septic. Short sale lender instructs that we not submit an offer until we know for sure which option will be the remedy for the failed septic. City says its the County Health Department's decision and the County says that is true but depending on the City's requirements. Finally, we get the green light from the County to repair the septic and the short sale lender refuses to pay for it. Buyer knew that they might be required to pay for the septic repair and they are motivated and prepared. We submit the short sale package with the new offer and the lender posts a notice of trustee sale on the property, sale date is Monday 2/14/2011. I contact the negotiator for the short sale lender and he indicates that the investor will not postpone the trustee sale without short sale approval. So, if the short sale lender takes too long to re-approve this short sale, my client loses their house even if they did nothing wrong and just for the record, they did everything that was asked of them!
So, we start watching the dates, it only took them 14 days from the receipt of the package to approve the short sale originally, this is a re-approval, it should take less time, right? We have three and a half weeks, almost twice the time as the first go round, we will be fine! Not so fast! I riddled the negotiator with calls and emails the last two weeks and kept getting the same response over and over to my many trustee sale postponement requests "The investor will not consider postponement of the trustee sale without short sale approval" UGH!
So, this keeps bouncing around in my head, so I input the property address in Fannie Mae's website and "Match Found"! Fannie is the investor on the first! What the short sale lender is telling me is not true! Fannie has postponed dozens and dozens of trustee sales in the past simply to give the lender ample time to approve the short sale!
So, I call and email the negotiator to let him know respectfully that I know differently. Then I call Fannie Mae and my congressman! I send an email to Fannie Mae and copy my congressman on it and low and behold, our short sale was approved today! Less than one business day before they were scheduled to sell my clients home at foreclosure!
Lesson here is be respectful and make sure to keep their dignity in tact, but question everything! Do your research and ask, ask, ask!