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COUNRTYWIDE CHANGE THEIR RULES!

By Kathy Morris

Education & Training with Helen Adams Realty

March 28, 2008 06:44 AM

Listen up all you Realtors and Investors that are doing short sales with Countrywide.

THEY ARE NO LONGER CONSIDERING SHORT SALES ON INVESTMENT OR RENTAL PROPERTIES.

Any files submitted to them that have yet to be processed and it is not the borrowers primary residence will be denied! If your BPO has been ordered on your file then you may scrape through the system but if not there is little or no chance that they will process the request.

This decision is due to the amount of short sales being requested and it is their Investors decision to take this action to alleviate the work load.

Even if the short sale is the borrowers primary residence they have to have SEVERE HARDSHIP to qualify which means in Countrywide language 30 days or more delinquent and unable to make payments, job loss, pay cut, medical condition etc. so it also appears that the so called "hope department" was a futile waste of energy.

I'll keep you all updated on anything else I hear so don't spin your wheels with Countrywide on investment or rental properties - the answer is NO!

Kathy Morris

Comments(13)

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Jeffrey DiMuria 321.223.6253 Waves Realty

Waves Realty - Melbourne, FL

Florida Space Coast Homes

I am surprised by that decision...it does not make sense to cut it off...only to be more discriminating.

Mar 28, 2008 06:45 AM

Aimee Ghimire

Phoenix Home Loan Expert (www.aimeeloans.com) - Phoenix, AZ

Kathy,

Wow. I'm not surprised quite honestly. I'm sure their REO departments are overloaded.

Keep us posted.

Mar 28, 2008 06:49 AM

Christopher Bonta

The Bean Group - Londonderry, NH

Realtor, Integrity and Honesty

I have to agree with Kathy I am not surprised by the move.

Mar 28, 2008 06:58 AM

Steve Loynd

Alpine Lakes Real Estate Inc., - Lincoln, NH

800-926-5653, White Mountains NH

This a typical corporate move practically give something away (loans) and then refuse to help service them when there is a problem. If this was a product rather than a service the consumer protection agency would force a company to repair of replace defective items. People that are walking away from loans shouldn't have been able to get them in the first place (easy to get impossible to return).

Mar 28, 2008 07:05 AM

Helen Adams Realty - Huntersville, NC

Hi Guys,

Thank you for the responses. Steve - I completely agree with you but unfortunately they are corporate and can basically do what they want.

I also believe they are just shifting the workload from one department to the other, I guess time will tell. People are already walking away from properties because they just do not want to deal with it.

I wonder when Countrywide will announce this publically - sometime never!!

Mar 28, 2008 12:04 PM

Billie Dalessio

Home Run Realty, LLC - North Haven, CT

does anything they do make sense?

Mar 28, 2008 04:09 PM

Hi Billie,

I can understand why they are thinking what they are but it does not resolve the problem. As I said, it only moves the issue from loss mitigation to REO - kinda delaying the obvious.

Mar 29, 2008 12:14 AM

Zen Ziejewski

Keller Williams Realty - Laguna Niguel, CA

Laguna Niguel Real Estate

I just think that the banks are over whelmed and under staffed for all the foreclosures and short sales that they have to make decisions and figure out a way to deal with this problem on a bank by bank basis. It doesn't surprise me because we still have a ways to go before we get through this crisis.

Mar 29, 2008 01:03 PM

Roy Kelley

Retired - Gaithersburg, MD

This appears to reflect the general attitude in the industry.

If any assistance is given, it will be directed to owner occupants and not investors or second homes. Why should they be responsible for bad decisions by speculators?

Countrywide already owns 35,000 properties more or less. And the REO volume is increasing every day. They and other lenders are compelled to be selective with their assistance.

Mar 30, 2008 09:09 AM

Gene Allen

Fathom Realty - Cary, NC

Realty Consultant for Cary Real Estate

Sounds like they are just moving the mess from one department to another. Oh well.

Apr 01, 2008 12:42 AM

Rob Jacobs

Short sale pathways - Rockwood, MI

Short Sale Specialist

If they are only the servicer for th loan, they make more money by foreclosing and charging the investor until it sells in REO. That's why OCWEN stopped accepting short sales all together. Expect more moves like this as the banks try to find a way to make money to appease the stock holders. The right thing to do is never an option. it is whats right for that particular company

Apr 01, 2008 04:25 PM

Wendy Rulnick

Rulnick Realty, Inc. - Destin, FL

"It's Wendy... It's Sold!"

Kathy, Was this a specific negotiator that gave you this information? Was it on a particular file, and that was there "pat" response? Wendy

Rob, Will OCWEN work as a second as a second on a short sale? Thanks, Wendy

Apr 03, 2008 10:15 AM

Alex Inskeep

HomeSmart International - Chandler, AZ

ABR, REOS - Bilingual

Not surprised, but Good to know, thanks for sharing!

Apr 03, 2008 06:48 PM

COUNRTYWIDE CHANGE THEIR RULES!

Comments(13)

Kathy Morris

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