Wells Fargo FHA Short Sale Closed in Woodbridge NJ
We're pleased to announce another successful Wells Fargo FHA Short Sale has closed, this one located in the Avenel section of Woodbrige, NJ.
This bi-level was located on a quiet street and was a good value. This Wells Fargo Short Sale home was in good condition offering 4 bedrooms, 1.5 bathrooms, built in garage, hardwood floors, central air/heat.
As this was a Wells Fargo FHA Short Sale, our team knew exactly how to proceed. FHA Short Sales follow the HUD Pre-Foreclosure Sale (PFS) Program guidelines. First, we completed the HUD PFS welcome package with our client. Wells Fargo also ordered an appraisal. Once both of these items were completed, we received a HUD PFS Approval to Participate. This clearly states how much to list the property for, and what the minimum net proceeds must be.
We marketed the home as instructed, and within a few weeks, we had multiple offers on the property. After selecting the strongest offer, we submitted the purchase agreement, buyer's mortgage pre-approval and a proposed HUD-1 Settlement Statement to Wells Fargo Short Sale department. Within a few weeks, we received a HUD PFS Sales Contract Approval (SCRA).
At that point, the Buyer made his mortgage application and applied for the Certificate of Occupancy (it's our policy on Short Sales that buyers pay for the C of O, since our short sale clients are usually in a distressed financial position). Once the buyer's mortgage was approved, we submitted a final HUD-1 and the HUD PFS Closing Work Sheet to Wells Fargo Short Sale Department. After some minor revisions to the HUD, the closing was approved and we had a successful settlement.
Our Short Sale sellers were happy, because they got to walk away from their under water home without owing anything, and without any cash contribution or promissory note. Our sellers even received a borrower incentive fee - an actual check - at the closing.
Another Wells Fargo HAFA Short Sale in the books, and we hope to close more over the rest of the year.