Short Sale Gone Wrong
i have been working on a short sale with a co-worker and countrywide. they denied the short sale after telling us to send in the numbers and put a note that the reason was because i was a co-worker. they also put a note on the file not to allow a short sale. is this deal completely lost?
Sounds like you did something to irritate them... but I have no idea what is was. Perhaps your offer was ridiculous.
Did they give you what they consider a "reasonable" offer?
Ryan J. Schnabel
Since you are the one bringing story, I believe you should know best what being the co-worker has to do with countrywide putting you on the black list ?
Are you saying your co-worker is in foreclosure?
If that is the case I know that they will not do a short sale for anyone that is in any way associated with the seller. They don't want the seller to get any benefit in any way with a short sale.
Next time approach it as a business deal only.
You might want to explain the details a bit better. Everyone is getting mixed signals here, who is who and where do you fit in the scheme of things here.
This might help others to figure out why the deal went south!! From the sounds of thing so far, sounds like a conflict of interest!! Not good in this area of business.
Quote:
On 2004-01-28 18:13, processing2001 wrote:
i have been working on a short sale with a co-worker and countrywide. they denied the short sale after telling us to send in the numbers and put a note that the reason was because i was a co-worker. they also put a note on the file not to allow a short sale. is this deal completely lost?
The other inquiries are right on. If the offering party is associated what so ever with the party in default, the Lender will frown. If the Lender thinks that the borrower is getting anything out of this deal, they will probably deny all short sale offers.
Jakluver
The specific language dealing with this is in the Homeownership Counseling Certification form from HUD:
"Finally, you must understand that the pre-foreclosure sale must be an 'arm's length' transaction - the buyer cannot be a family member, business associate or other 'favored party', and the real estate broker cannot share a business interest with the mortgagee. No hidden terms or special understandings can exist between seller or buyer and the appraiser, sales agent or mortgagee."
The Homeownership Counseling Certification form is part of Countrywide's short sale package - and several other companies, I'm sure - so if it becomes apparent to them at any point that you are a "favored party" they will end the deal.
Hope this helps...
Storm