Problem With Chase Manhattan Short
Spoke with Chase on an FHA loan in default.
Sellers are 4, soon to be 5 months behind.
It was one of those Nehemiah zero-down programs.
Chase call center rep says:
- the home must have been listed for 90 days to even qualify for short sale.
-Short sale package must be submitted at least 30 days prior to short sale.
Using this logic, the homeowner virtually has to list the home the day before they miss their first payment.
While I don't expect banks to make sense, is this true?
Does it make sense to submit a short sale package in spite of what this rep said?
Any info is appreciated.
Without getting into a bank's logic or lack thereof, I can tell you that yes Chase does require as a precondition that the property be listed on the MLS. I was able to get around it in one instance where the owner would have been completely upside down when the broker's commission was included.