Need To Arrange A Transaction For SS With Loss Mitigiation Dept....

rayosx profile photo

Hi there,



I am back again on my feet. I will be with you guys more often.



I have very important questions if someone can help me.



I am a real estate agent now and there is a family who wants to sell their house to someone else. they have 3 late payments and they received a letter that sooner they will sell their house if they do not pay what they owe, still there is not date as far as I know, not 100%.



I heard that someone can make arrangements with Loss Mitigation Deparment with a Stay Foreclosure , so the process can be longer so I can list their house, etc.



This is my first transaction and I would like any advises how can I approach to Loss Mitigation dept and what would be importants steps to do and not do do approaching to Loss Mit Dept. so they can accept what I want to do.



I am worried for the time and maybe they will not want to accept a "Stay Foreclosure" and what to do first or second. No clue.





I will appreciate in advance any help





[ Edited by rayosx on Date 07/26/2006 ]

[ Edited by rayosx on Date 07/26/2006 ]

Comments(11)

  • tbelknap26th July, 2006

    All you can do is call the loss mit department and explain to them you are trying to sell the house and want some time. No magic words. They will do what is in their best interests regardless what you say.

    How long does it take to go to sale there?

  • rayosx26th July, 2006

    tbelknap,

    Not sure, how can I find out that information? Calling them too? Public records does not show still. So no public information for that property yet.

    Can I negotiate price with loss mitigation? if I have a buyer that is willing to buy that property? Or it is not a good idea to try to negogiate it?

    I am asking those stupid new questions because this is my first deal trying to get a buyer for a short sale transaction and there is plenty of doubt / fears. because I do not want to screw up the deal at first time.

    I need to do as you told me , no magic words, but I do want to screw it up at first call and then have an automatic rejection or something else

  • tbelknap26th July, 2006

    Quote:
    On 2006-07-26 10:11, rayosx wrote:
    tbelknap,

    Not sure, how can I find out that information? Calling them too? Public records does not show still. So no public information for that property yet.

    Can I negotiate price with loss mitigation? if I have a buyer that is willing to buy that property? Or it is not a good idea to try to negogiate it?

    I am asking those stupid new questions because this is my first deal trying to get a buyer for a short sale transaction and there is plenty of doubt / fears. because I do not want to screw up the deal at first time.

    I need to do as you told me , no magic words, but I do want to screw it up at first call and then have an automatic rejection or something else




    I would do what SS stated. Put the house up for what is owed on the house. Unless the property is worth more. When you get a buyer then you can negotiate with the loss mitigation department if the buyer wants to purchase for less. The loss mitigation department will want to see that you have marketed the property and that you have a buyer. No reason to negotiate price until you got someone ready to purchase.

    Now, if you want to stay the foreclosure then you will need to call up loss mitigation and tell them you are currently marketing the property. They may stall the foreclosure and they may go ahead with the foreclosure. It would be beneficial for you to learn the timeline in your state,[ Edited by tbelknap on Date 07/26/2006 ]

  • rayosx26th July, 2006

    Quick Question

    Any of you is Real Estate Agent ?

    Guess What, We have enough time, I called novastar and property it is not on Loss Mitigation dept it will be after 8/1/2006 so, we will have between 45 - 60 days after they send to the owner that property will be sold and to play on this short sale with the Bank

    I appreciate if you can give me a hand to finish this transaction. We will have time !

    [ Edited by rayosx on Date 07/26/2006 ][ Edited by rayosx on Date 07/26/2006 ]

  • rayosx26th July, 2006

    SSP

    thanks for the explanation, I will list this property and later one after a time I will follow up advances on this transaction

    Best Regards
    Ray

  • TheShortSalePro26th July, 2006

    Make sure the listing agreement contains contingency language, and the homeowner make formal application for short sale consideration. Choreography is key.

    You want to make sure all parties are fully informed... the last thing you or the seller needs is an impatient buyer unprepared/unwilling to wait out an approval which may take from 45 to 90 days or more depending on the lender and circumstances.

  • rayosx27th July, 2006

    thanks guys ,

    I will follow up your advises and I will keep posted when it is time to update information I hope that this topic will help new agents / new investors.

  • toddm1528th August, 2006

    A friend of mine has a 2BR 1BA home that he owes Wells Fargo $62K. The "assessed" value of the home is $47K (Tax purposes). He paid $65K in 2004. I want to know what I need to do to start the process. I know that I need some sort of authorization form so the lender will speak with me. Does anyone have a copy of any forms that may help me and if so, could they email them to me please?

    Also, can anyone tell if the aforesaid situation sounds like a decent investment opportunity and if anyone has experience can they advise approximately how negotiable Wells Fargo may be. Keep in mind they have just started the foreclosure process and have not even retained an attorney as of yet.


    Thank you for any help.

    Todd

  • tracy59638th August, 2006

    Does anyone have a link to HUD guidelines for short sale Myabe I am missing something.

  • toddm1528th August, 2006

    Mt friends property needs aprroximately $3500 in cosmetic work and an AC unit to be sold.

    The assessed value is $47K and the appraised value is $73K

  • tracy59639th August, 2006

    Hi Todd E-mail me at wtmills1 www.yahoo.com and I will get you the forms you need .

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