More Short Sale Info.
anyone know should i talk over the phone and make an offer before i send a contract to bank i have already faxed authorization to release it would seem the way to go rather than mailing contracts until they accept all info. greatly appreciated 
rayshir,
Most lenders require a completed short sale package from the mortgagee, a properly executed sales agreement, a specific closing date, and verification of buyers funds to close. After completing these tasks the Loss Mitigation Officer handling the file with then normally make a determination and in most cases must get approval from the in house attorney or manager to make a final approval of a short sale. Talk is cheap in the short sale world as there are alot of dreamers that bend the officers ears all day long about how they will save the day for the bank and then cant close the deal. Properly executed legal contracts and verification of funds talk loudest in the short sale ring. Im sure you will find exceptions but I would not count on verbal negotiations.
Hi rayshir,
Verbal commitments are worthless when negotiating a SS. Both from you and accepetance from the Lender. Always put it in writing, and more importantly, get their acceptance in writing.
If you have already faxed the ATR form, call them back and ask them if they will go ahead and order the BPO, and let them know that you are the contact person. Go ahead and fax them your Purchase offer, based of what you think you can get the BPO to come it at.
Best of Success!
BAMZ
......... By the way, the required Short Sale Package will depend on each lender. Some have a complete package that they must mail of fax to you so that you can have the homeowner complete it, and others will simply tell you that they need a Hardship Letter, HUD-1, POA, Banks Statments, and or Tax Returns from the homeowner. Most 2nd mortgages do not require the whole ball of wax!
The generally wont order the BPO until you have given them all of the info that they need. Ask each L/M rep in advance what they need to consider a SS so that you can begin preparing the homeowner to get all of the docs ready!
Best of Success!
BAMZ
I dunno - I just did one with GMAC and they were falling ordered the BPO the same day I made my offer by phone. I asked them to send me a SS package but they got the ball rolling on the phone.
I am sure that is not normal and your advice to the petitioner is very good.
C-
Hi cpifer,
Although it is out of the ordinary, with the last SS I did with GMAC, they also ordered the BPO right out of the gate.
The good news is that nothing that I say or anyone on this board is absolute, however it is a good summary to work from.
Best of Success!
BAMZ
A mortgagee ordering a BPO isn't anything out of the ordinary. During the course of a delinquency, default, and foreclosure process as many as 6 BPO's are ordered as a mechanics of loan servicing. It's routine.
A self-important loss mit clerk announcing that he'll order a BPO is pretty much the same as asking, "paper or plastic..." or, "Would you like fries with that?"
Thats true. But just because a "investor" calls in and says they want to buy the property, generally wont get Another BPO ordered . . . until the SS package is complete.
Somewhere in the chain they probably already have a BPO on file, but with the flood of calls they get, they generally wont waste their time ordering another one unless they have a complete package.
Like I mentioned above, nothing is absolute, but it is a good summary to work from.
BAMZ
thank you all very much you have been very helpful