Involving the Investor of a Short Sale in Massachusetts
So what does that mean? In most short sales we work on in Massachusetts, we are working directly with the servicer of the loan. Servicers usually have delegated authority for an investor, and sometimes you can never find the investor. I have a short sale I’m working on in the Cape, in which the servicer has a very high value. Anyone in this business knows when a value is high, that pretty much dooms your sale, unless you can show the servicer why that property will not fetch that amount, e.g. a value dispute.
We did the value dispute on this property and it came back at the same amount we were quoted, so we knew something was wrong. They SENT us their reconciled value and low and behold, it was the amount the buyer was offering, so something is even more wrong. After MULTIPLE left messages for the Director of Loss Mitigation at Specialized Loan Servicing, and faxes, we felt we had to direct to the investor of the loan:
Good Morning James,
I’m writing today regarding the above property located in Massachusetts, which is a default property serviced by SLS.
Your company is listed as the investor on this loan, and before you tell me SLS has delegated authority, I just want to understand how a value reconciliation done on this property by SLS showing the value of $225,000, is denied and countered at an unrealistic value of $270,000. I have tried calling in several times to show them this error, and were are being told this is the number the investor wants.
This number will seal the homeowner’s fate to foreclosure, which he has been trying to avoid for some time now.
I am unsure what to do as I notified Darren Bronaugh several times via fax and email and still have yet to hear back. I also reached out and left voice mails for Christophoer Chavez (SLS loss mitigation supervisor) and emails, none of which were returned.
I would imagine that investors have some threshold for the authorization of a short sale. I can imagine if a property value came back at $400,000 and the offer was $300,000 it may make more financial sense to send that property to foreclosure, but I’m trying to understand how a property value of $225,000 with an offer of $225,000 is being denied and countered as too low.
I don’t often reach to an investor directly as there is no need because we can usually work smoothly with a servicer, but considering no one in management has addressed this issue even though I have reached out multiple times, I wanted to go to the investor.
Please let me know what I can do to help or assist and if there is anything that can be done on this property. Thank you.
Maryann Little, VP Short Sale Mitigation
Short Sale Mitigation, LLC
AA Premier Properties, LLC
500 West Cummings Park
Woburn, MA 01801
The information in this email is confidential and may be legally privileged. It is intended solely for the addressee(s). Access to this e-mail by anyone else is unauthorized. This email does not in any case constitute a binding offer, and any price or other contract term contained in this email is subject to written approval by the parties entering the contract. Short Sale Mitigation, LLC is a Massachusetts based loss mitigation company assisting homeowners and Realtors through the arduous Short Sale Process. Short Sale Mitigation, LLC is not associated with the government, and our service is not approved by the government or your lender. We are in no way affiliated with any government entity. We are an independent 3rd party negotiation services company. – Short Sale Mitigation, LLC is under the direction of AA Premier Properties, LLC in New Hampshire License # 066518
Today I’m patiently waiting for someone from SLS to respond, however am losing hope on this sale. Poor valuations PLAGUE the short sale market and unfortunately there is no oversight to this. How does the investor truly KNOW they will get more for the property if they foreclose? They are basing their decision on a valuation. Anyways, say a prayer for this homeowner as we patiently wait out and see what happens. I was told the investor was reaching to SLS and would ask SLS to respond to us.