Lowell MA Short Sale CLOSED! Bank of America – Short Sale Negotiator

Lowell MA Short Sale CLOSED!  Bank of America – Short Sale Negotiator

 

Lowell, MA Short Sale

Lowell, MA Short Sale

I’m playing catchup on my posts today.  Thankfully we finally closed this Bank of America two Lien condo in Massachusetts with Lisa Johnson Sevajian.

I wasn’t sure about the short sale from the beginning. I have seen Bank of America hassle people in short sales due to end believing that there is an arms length transaction violation.  I’ve seen this am numerous times.  I was nervous on this sale because the buyer of the property was also renting the unit from the homeowner.  This was fully disclosed to Bank of America.  We did have an issue with the file shut down come to find out it was a bank of America error in not anything to it to do with the seller and tenant.  Thankfully fast forward and a lot of time wasted

Lisa Sevajian Johnson Short Sale Listing Agent REMAX

Lisa Sevajian Johnson Short Sale Listing Agent REMAX

we were able to get full short sale approval.

There were a lot of personal hurdles on this transaction between the seller and the buyer.  However I am happy to report we closed this literally e on the date the approval expired.

I could not have gotten this done without the help of Lisa, Julie in our office, and of course the amazing team at Grugnale law.

 

 

Maryann Little, VP Short Sale Mitigation
Nick Aalerud, Exec VP Short Sale Mitigation, Broker New Hampshire / Massachusetts
http://shortsalemitigation.net
http://twitter.com/rapidshortsales
http://aapremierproperties.com
978-384-0032
603-505-4642 (f)
Stoneham, MA - Plaistow, NH
Short Sale Negotiation in Massachusetts and New Hampshire

Broker Nick Aalerud & Maryann Little Short Sale Mitigation, LLC AA Premier Properties, LLC Serving Massachusetts and New Hampshire Homeowners with short sale negotiation.

Keep in Mind there IS an Owner Occupancy Guideline Dealing With a FHA Short Sale

Keep in Mind there IS an Owner Occupancy Guideline Dealing With a FHA Short Sale

If you have an FHA (HUD insured) mortgage in Massachusetts and are underwater with your loan, you may be looking to sell short.  FHA has very specific guidelines as to how you can short sale your property.  Their program is called the Pre-foreclosure Sale or as we in the short sale industry call it PFS.

There are many guidelines and requirements to be approved for the PFS program, but one in particular lately seems to be forgotten by many borrowers and agents.

The PFS Short Sale program requires that borrowers (or sellers) owner occupy the home, and only in specific cases will they approve you for the short sale program if it is not owner occupied:

1) If you must move out, you can be approved if you had to move for a job requirement.

2) If you are 90 days or more delinquent on their FHA-insured loan as of the date of the mortgagee’s     review; and have a credit score of 620 or below you can be approved for the program

3) The property may not have been rented for more than an 18 month time frame

Don’t panic.  After all, guidelines are not law, and if you have an unusual case, you can always reach out to HUD directly through its newest contractor and see if you can obtain an variance.

I have posted the new contractor contact information below:

Novad Management Consulting
Shepherd’s Mall
2401 NW 23rd Street, Suite 1A
Oklahoma City, OK 73107
Toll-Free Telephone Number: (877) 622-8525
Fax Number: (800) 489-1733
Borrower inquiries (HECM or Forward)
customerservice@novadconsulting.com

Maryann Little, VP Short Sale Mitigation
Nick Aalerud, Exec VP Short Sale Mitigation, Broker New Hampshire / Massachusetts
http://shortsalemitigation.net
http://twitter.com/rapidshortsales
http://aapremierproperties.com
978-384-0032
603-505-4642 (f)
Stoneham, MA - Plaistow, NH
Short Sale Negotiation in Massachusetts and New Hampshire

We negotiate short sales in Massachusetts and New Hampshire with many lenders such as, GMAC, Bank of America, AHMSI, Seterus, Wells Fargo, ASC, Chase, Select Portfolio, HSBC and many more.

CLOSED! Negotiated Spencer Massachusetts Short Sale – Fannie Mae Backed!

CLOSED! Negotiated Spencer Massachusetts Short Sale – Fannie Mae Backed!

We are on a roll with Keith Shaw. I can’t even recall how many Massachusetts short sales we close with him over the last few months. He did a great job on the sale.  Absolutely amazing.

Spencer Massachusetts Short Sale

Spencer Massachusetts Short Sale

This was a one mortgage Lien property with executions.  If anyone actually follows my blog what they would realize it is any Fannie Mae backed property that has a non mortgage Lien on title will not get any proceeds given to them out of the proceeds of the sale.  This has definitely caused major concerns.  Because of this new rule, which came out this past August, you can no longer offer a 2nd non mortgage Lien holder $6000 out of the proceeds, which you could before.  Any payouts either have to be done separately or the buyer has to bring them to closing.  Unfortunately, this is what we were faced with on this particular sale.  Keith of course did an amazing job and rallying everyone to do some type of contribution.  Wells Fargo was the servicer on the sale.  They did OK and we are able to get approval within our 60 day time frame that we like.  It was actually less than that, but hey, who’s counting? ;)

The biggest hurdle on this Massachusetts Short sale was the buyer side.  The buyer seemed to drag their closing out for quite some time and we ended up losing approval on one of the executions.  Once we lost that approval, the execution holder and

Keith Shaw, Keller Williams Short Sale Agent

Keith Shaw, Keller Williams Short Sale Agent

wanted more money to reissue approval.  You will find this happens quite frequently on second liens.  It’s like blackmail.  They knew they had us over the barrel and unfortunately ask for more money to extend their approval letter.  This money came from the buyer.  Because it was his delay that caused the second Lien approval to expire.  Thankfully he agreed and we are in able to get another approval and get the sale closed.

The moral of the story is follow your contract deadlines to the T.  If you don’t they could bite you in the long run on a short sale.

Thanks to Keith, Grugnale Law, and of course Julie in my office!  We have a great team!

Maryann Little, VP Short Sale Mitigation
Nick Aalerud, Exec VP Short Sale Mitigation, Broker New Hampshire / Massachusetts
http://shortsalemitigation.net
http://twitter.com/rapidshortsales
http://aapremierproperties.com
978-384-0032
603-505-4642 (f)
Stoneham, MA - Plaistow, NH
Short Sale Negotiation in Massachusetts and New Hampshire

Negotiated and CLOSED! Auburn MA short sale with Nationstar!

Negotiated and CLOSED!  Auburn MA short sale with Nationstar!

Auburn, MA Short Sale

Auburn, MA Short Sale

We are on a Keith Shaw roll this month.  I was nervous to work on this Massachusetts Short Sale because it was a Nationstar serviced.  I’m sure if you follow any of my blogs you can see the history I’ve had negotiating short sales with Nationstar.  Nationstar now uses a site called Auction.com to sell their short sales.  When Nationstar forces a homeowner to list their short sale, that is already under contract up on auction.com, it breaches several contracts.  One – it breaches the listing agreement with the list agent.  2 – it breaches the contract the seller has with the buyer.  3 – It breaches the contract that the seller has with me.  I find this practice shocking.

To this day I still cannot believe that someone in governments has not stopped in to stop this.  The reason this is bad is because this practice opens the homeowner up two lawsuits everywhere.  Interference in contracts is a big deal.  I know that Nationstar has already been sued by one of their investors.  One Nationstar investor found out that Nationstar was putting property up on auction.com they were sued.  I know it also as a fact that Ocwen is having the same issues with HUBZU.  Ocwen puts their short sales up on HUBZU and is now being investigated by several different government entities.

The worst part about this practice is the fact that it causes many delays.  At minimum it will delay a short sale 30 days, but I’ve dealt with ot

Keith Shaw, Keller Williams Short Sale Agent

Keith Shaw, Keller Williams Short Sale Agent

her people who said it delayed their short sales for months.  This works out great for the servicer because they are paid by an investor for servicing a loan, and when that loan closes they don’t get paid anymore.

Thankfully after we did our research of this loan we knew that it was Freddie Mac backed.  I’ve had many short sales with Freddie Mac and know they’re very decent to deal with.  I also know that Freddie, Fannie, and FHA do not force their home owners to list there already under agreement short sales on Auction.com.  Immediately, Nationstar told us this sale would have to go up on Auction.com.  We immediately pushed back and said “no” this would cause a lot of duress on the homeowner because she was severely sick and had a hard time moving around.  Showings would be a huge inconvenience to her.  Nationstar pushed back saying they didn’t care so we escalated to Freddie Mac to explain the situation and within 24 hours had approval of the short sale.  Now had we been forced to put it up on auction.com we would have wasted another month or two trying for auction.com to get an offer.  They’re rationale is that a entices the best offer.  But if an agent has done their job in a servicer has done their job with an appraisal.

Thankfully with a great team including Keith shaw, Grugnale Law, and of course the Short Sale Mitigation team we were able to get this done!

Maryann Little, VP Short Sale Mitigation
Nick Aalerud, Exec VP Short Sale Mitigation, Broker New Hampshire / Massachusetts
http://shortsalemitigation.net
http://twitter.com/rapidshortsales
http://aapremierproperties.com
978-384-0032
603-505-4642 (f)
Stoneham, MA - Plaistow, NH
Short Sale Negotiation in Massachusetts and New Hampshire

Closed! Worcester Massachusetts short sale – VA LOAN With Bank of America

Closed! Worcester Massachusetts short sale – VA LOAN With Bank of America

Keith Shaw, Keller Williams Short Sale Agent

Keith Shaw, Keller Williams Short Sale Agent

Thanks again to Keith shaw.  He’s an amazing Keller Williams agent that we work with constantly.  This Massachusetts short sale was definitely touch and go all throughout the process.  I knew from the beginning it was going to be rough because the buyer’s attorney and lender were really putting me through the wringer.  I was told initially by the buyer’s

Worcester, Massachusetts Short Sale

Worcester, Massachusetts Short Sale

lender that they wouldn’t allow short sale negotiation fees on the Hud.  I explained to her that I always have our fee on the Hud.  I find it very sneaky when the lender tells me to take it off the Hud.  I also showed her multiple other financed deals where it was on the Hud.  Thankfully she backed down.

There was a tough title defect to deal with too so I have to thank the crew over at Grugnale Law.  They worked through it and of course we got this to close.  Even though this was a Bank of America sale, they did a good job.  I don’t usually give Bank of America a thumbs up, but on this sale they performed well.

This is another Massachusetts short sale down and DONE from the Short Sale Mitigation Team!!  Nick, Maryann, Julie and Amy!

 

Maryann Little, VP Short Sale Mitigation
Nick Aalerud, Exec VP Short Sale Mitigation, Broker New Hampshire / Massachusetts
http://shortsalemitigation.net
http://twitter.com/rapidshortsales
http://aapremierproperties.com
978-384-0032
603-505-4642 (f)
Stoneham, MA - Plaistow, NH
Short Sale Negotiation in Massachusetts and New Hampshire

CLOSED and Negotiated! New Bedford Massachusetts Short Sale with HOMEVESTORS!

CLOSED! New Bedford Massachusetts Short Sale with HOMEVESTORS!

Massachusetts Short Sales with Homevestors!

Massachusetts Short Sales with Homevestors!

I’m super excited that I was able to work with one of the Massachusetts Homevestors branches on this New Bedford, Massachusetts Short Sale.  I have never worked with them before and all I can say is this particular branch in Randolph was amazing and very professional to work with.

This was a Wells Fargo sale in which the homeowner had tried over and over for a modification and eventually gave up.  The house sustained damage and when he called his insurance company to assist, he found out the water damage was not covered.  The house eventually sat and sat and thankfully we were able to negotiate a short sale completed on this property for him.

I have to once again thank Meghan Grugnale, for her amazing response time, Mike Falotico out of Homevestors and of course my office negotiators for getting this done!!

Maryann Little, VP Short Sale Mitigation
Nick Aalerud, Exec VP Short Sale Mitigation, Broker New Hampshire / Massachusetts
http://shortsalemitigation.net
http://twitter.com/rapidshortsales
http://aapremierproperties.com
978-384-0032
603-505-4642 (f)
Stoneham, MA - Plaistow, NH
Short Sale Negotiation in Massachusetts and New Hampshire

There is No Such Thing as an APPROVED SHORT SALE in Massachusetts or New Hampshire

There is No Such Thing as an APPROVED SHORT SALE in Massachusetts or New Hampshire

shortsaleapprovedOk, let me explain before everyone goes into panic mode. Yes you can have an approved short sale in Massachusetts or New Hampshire. We have hundreds of approvals in both states. An APPROVED short sale means there is a contract to purchase the property, and a lender has agreed to the price of the sale and issued an approval. Most approvals include the approved buyer’s name, approved seller’s name, approved proceeds, approved settlement costs, and of course have verbiage regarding the deficiency and lien.

What I see inexperienced agents do is advertise their listing as an APPROVED SHORT SALE. Most agents who have experience with short sales know if they are listing a property and there is no purchase contract then there is no SHORT SALE APPROVAL. What they should do with their listing is say, “Lender has approved list price” or in the case of a FHA sale where you have an ATP (Approval to Participate) already and a number you know the seller’s lender will accept is state the lender has ISSUED ATP for the sale at list price. If you had a buyer drop out after the short sale was approved, you still cannot market it as an APPROVED SHORT SALE. You should put a disclosure similar to, “Lender recently approved a sale at list price”

Anyone marketing a short sale as an APPROVED SHORT SALE in Massachusetts or New Hampshire is misleading a buyer, and if you see a listing like that, I encourage any buyer’s agent to ask the listing agent for a copy of the approval letter. What you may get back is an approval for a past buyer, or ATP approval, so you must keep in mind that if you are submitting a new offer, based on an approval for someone else at the same price the lender CAN still counter and up the offer. Just because the previous buyer was approved at list, does not mean your same offer will be approved.

Short sales are already confusing enough to have something this misleading out of the gate.

Maryann Little, VP Short Sale Mitigation
Nick Aalerud, Exec VP Short Sale Mitigation, Broker New Hampshire / Massachusetts
http://shortsalemitigation.net
http://twitter.com/rapidshortsales
http://aapremierproperties.com
978-384-0032
603-505-4642 (f)
Stoneham, MA - Plaistow, NH
Short Sale Negotiation in Massachusetts and New Hampshire

CLOSED! Amesbury Massachusetts Short Sale – Fannie Backed with Tom McGuirk

CLOSED! Amesbury Massachusetts Short Sale – Fannie Backed with Tom McGuirk

Amesbury MA Condo Short Sale

Amesbury MA Condo Short Sale

This was a condo that Tom brought to us to negotiate, that actually had another agent listing it, but he admittedly had no short sale experience.  He thankfully knew Tom who has a TON of default property experience or short sale experience in Massachusetts and New Hampshire.  I actually have lost count as to how many deals I’ve worked on with Tom, but any with Tom are a pleasure.

This was a FNMA backed condo so we immediately knew there would be a counter and we prepped the buyer. So we definitely called it and FNMA through Seterus as a servicer countered, and our buyer accepted. FNMA will ALWAYS counter. Sometimes their counters are completely off the mark and some thankfully are within range of what a buyer is willing to pay.

What we didn’t account for was a bogus condo association statement.  Fannie wouldn’t allow the overdue condo

Tom McGuirk - Short Sale Realtor

Tom McGuirk – Short Sale Realtor

charges which left it up to us to be creative.  The problem is the statement we got was not even remotely accurate.  I will tell you this was not the condo associations fault, but that’s all I can say.

I AM happy to say that between all of us, agents, attorney, our firm we were able to get the condo dues paid and this deal closed.  Not the way I wanted, but any closed short sale is still a win!!!

Thanks to Tom, Julie in my office, Grugnale Law and Seterus for approving the sale!

Maryann Little, VP Short Sale Mitigation
Nick Aalerud, Exec VP Short Sale Mitigation, Broker New Hampshire / Massachusetts
http://shortsalemitigation.net
http://twitter.com/rapidshortsales
http://aapremierproperties.com
978-384-0032
603-505-4642 (f)
Stoneham, MA - Plaistow, NH
Short Sale Negotiation in Massachusetts and New Hampshire