Permit me to blow off a little steam after being abused by the servicers for the greater part of another 14 hour short sale day. To say I am mad as hell would be an understatement. To say I am angry at what the Banksters have brought upon all of us would be an understatement.
Yesterday, I blogged about three HAFA successes they were relatively small deals and went well. How fast our business makes an about face? Today I lost a BOA $570,000 short sale because BOA took too long the buyer walked, Today on another BOA short sale they took a $320,000 deal that they counter offered only 12 days ago which was immediaely accepted and sent back via Equator subject only to investor approval. I found out while we were waiting for approval they transferred the file pending service release. Still on the same day today another HAFA file seemed to have disappeared into Equator cyberspace and had to be resubmitted on Equator.
For a little while it seemed short sale processing was making some improvement, however, now they are back to square one. How long will it take for them to "get it" or is that the "impossible dream"? After all they've only had four years to get it right.
As Realtors we spend a lot of marketing dollars as we advertise, solicit and compete for new listings. Once we get the listing, we begin the long education process of educating sellers on how short sales work. Then the real work begins, photography, MLS entry, uploading and enhancing on all the websites we advertise. We arrange showings on weekdays and weekends all hours of the day and night. We answer dozens of inquiries from other Realtors and buyes, work offers, gather the 100 pages or more paperwork for the short sale package, copy, collate, number and finally send the package via fax, email or Equator to the servicer. Sometimes we get to do this two or three times. Then we get to have even more fun as we to wait and wait; negotiate and negotiate; grovel and grovel on only too many occasions to suffer abuses from servicers who don't answer calls, don't return calls, don't answer emails, don't give their phone numbers out or don't give their emails, need I go on. Finally the day ararives we get the long awaited approval and then our old job as Realtors begin. Remember the days before short sales as we only dealt with appraisals, inspections, repairs and a few other details that usually easily brought us to the closing table. Oh, least I mention on the 10 - 20 times more week we get to do working short sale we get our commission cut on most non HAFA deals. In the end it's still all worthwhile as we keep another family from the financial devastation of foreclosure.
Where has NAR been for the last four years? Do you get the impression they are in deep hiding? I feel, they have abandoned their member. Where are the Lobbyist we are paying for? Where are they now that we really need their big voices in Washington? Why are they not fighting for their members, but they are sure there when it comes time for them to rake in our dues.
If you have suffered any abuses I haven't mentioned below please feel free to add your own to this long list:
1. Homes must be sold over and over because the banks, investors and MI companies take so long to approve the Short Sale that the first, second, third or even more buyers walked away in desperation.
2. After taking months for Short Sale negotiations, the banks will foreclose on a home only to turn it over to the REO brokers who sells the home within days for thousands less than the Short Sale price previously offered. Again, costing the taxpayer or lender's stockholders wasted billions.
3. In the middle of negotiation the second mortgage is sold or assigned to an impossible to deal with collection agency that extorts thousands more than the $3000 government guideline to release the lien.
4. Lenders ignore the buyers FHA/VA appraisal and kill the deal or take weeks or months renegotiating.
5. Lenders stall the deal for months only to tell you the file has been closed and the Short Sale package has to be resubmitted.
6. Short Sale approvals often do not give enough time for the mortgage company to fund the loan. Extensions are begged for and can take weeks or even a month or two.
7. Short Sales require months and long hours to be worked only to have the lender cut hard earned commission and fees when the Short Sale is finally approved.
8. Lenders give an approved price and then renege.
9. Many times a Short Sale approval is good for only 30 days or less to close an FHA/VA sale that under the best of circumstances takes 45 days.
10. Lenders often give impossible deadlines to meet.
11. Broker Price Opinion and appraisals come in way over fair market value and it takes weeks of fighting with the bank to get a new evaluation.
12, How many times has the lender/servicer taken so long reviewing the file all the documents (hardship letter, financial worksheets, bank statements, pay stubs) become so old and they require updating so the docs all have to be resubmitted two, three and four or more times over months.
13. How many times has an abandon home needlessly deteriorated thousands of dollars while the lender's does nothing to expedite the short sale approval.