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GOTTA SCREAM! Short Sale Insanity! This time it's Wells Fargo and/or the investor.

By
Real Estate Agent with Keller Williams Realty 0590712

 

Been working a short sale with Wells Fargo for TWO YEARS. We've had over five CASH offers $50,000 to $60,000 on 9 NE 9 Ct., Fort Lauderdale, Florida that were ALL TURNED DOWN! About a year ago they tried an auction company that did online auctions. I held open houses for them and made the property available for inspections by perspective bidders. We had no one come through the home and, I understand, the bids came in from $25,000 to $30,000 and the bids were also rejected by Wells Fargo. Despite all the facts and evidence all offers that I submitted which were +/- $60,000 were all countered at over $80,000 net. DOESN'T WELLS FARGO GET IT? This is all a ready, willing and able buyer is willing to pay. Here's why and what Wells Fargo doesn't get: This condo already has a $280 maintenance fee. It also has a land lease for an additional $196 per month for 58 more years for a total of $136,416.  The land lease cannot be paid off. Wells Fargo keeps accepting BPO's (Broker Price Opinions) that apparently do not and will not take the land lease into consideration.  They insist one comparing this condo unit to all the other that recently sold that have paid off land leases. I have stated my case many times and they don't understand that a land lease of this magnitude will reduce the value $20,000 - $30,000. Now, they have set a foreclosure sale date for 3-8-12. They MAY get $40,000 for this condo as an REO (foreclosed property). Let's look at Wells Fargo's additional losses as an REO: $60,000 (less closing cost) now or $40,000 (less closing cost) as an REO less the average cost to foreclose of $50,000 for future net loss of MINUS $10,000! Seems Wells Fargo or their investor needs a lesson in arithmetic.  Property addess is:  9 NE 9 Ct., Ft. Lauderdale, FL just in case Wells Fargo wants to get real.
Jean Hanley
Coldwell Banker Kivett Teeters - Hemet, CA
Specializing in Folks Who Want To Buy/Sell Homes

So let me see if I got this straight, Wells Fargo has dragged their collective feet so long on this now that they are probably REALLY underwater at this point.  lol  You're right....THEY DON'T GET IT!!!

Feb 21, 2012 10:56 PM
Shannon Coe
exp realty of California, Inc. - Oceanside, CA
760-586-5268, San Diego Realtor

I hear you loud and clear! Now Wachovia is adopting the Wells Fargo WAy...ugggg.

Feb 21, 2012 10:58 PM
Melissa Kiser
RE/MAX Landmark Wenatchee, WA - Wenatchee, WA
Real Estate Expert

I too have been working on a lot of short sales. It amazes me all the time that a lender could get a property closed right away by accepting a reasonable short sale from a willing buyer. They will lose thousands more by foreclosing!

Feb 21, 2012 10:58 PM