: Do Lenders Rule? NAR LET'S GET THESE SHORT SALES FIGURED OUT!!

Do Lenders Rule? NAR LET'S GET THESE SHORT SALES FIGURED OUT!!

 

Some short sales are easy, some not so much!

The closing agent (in NJ, at least this part of the state is a Title Agent) had the closing instructions from both lenders…as requested, the HUD 1's were sent to both lenders in this short sale.

But despite the buyers loan being fully funded, we received no documents to close.  So we wait, and wait…and well you know!

The home did not close today…not because the sellers negotiator did not do his/her job, not because the Title Agency didn’t do their job, not because the buyers did not do their job, not because the buyer’s bank did not do their job.

 The lenders getting shorted were the problem.  They didn't send a final approval letter...they would not even speakwith closing agents. 

 We’ve found many ways to improve this system…I say there’s much more to do

Why isn't our national association doing something about this.

HEY, NAR LET'S GET THIS SHORT SALE THING FIGURED OUT!  SUPPORT US!

(It’s 5:06pm as I write, I guess we’ll have to wait for Monday for the outcome.)  

 

 
 
 
  

     
Comment balloon 8 commentsLaura Giannotta • June 08 2012 02:23PM

Comments

Laura:  So sorry to hear that, once again, there was a big snafu in a short sale.  Unfortunately, these types of occurences give ALL lenders a bad name and make it more difficult for ALL moving forward.  Hope this issue works itself out to your and your clients' satisfaction ... and you get the support from NAR for the future ...

Gene

Posted by Gene Mundt, IL/WI Mortgage Originator - FHA/VA/Conv/Jumbo/Portfolio/Refi, 708.921.6331 - 40+ yrs experience (NMLS #216987, IL Lic. 031.0006220, WI Licensed. APMC NMLS #175656) about 6 years ago

Wow sorry to hear this news it is a shame when things like this happen for everyone involved buyer's and seller's.

Posted by Pat Champion, Call the "CHAMPION" for all your real estate needs (Coldwell Banker Camelot Realty) about 6 years ago

All importance...it's give n to the bank...has anyone considered the buye & seller... that's what NAR's job is!!

Pat, but our Association (I must belong to be part of the MLS) NAR isn't doing it's part!

Posted by Laura Giannotta, Your Realtor Down the Shore! (Keller Williams Realty - Atlantic Shore ) about 6 years ago

It will take a lot more effort than what NAR was /is willing to make, and many lenders don't care what NAR says anyway.

Posted by Jeff Pearl, Full Service Full Time Realtor (RE/MAX Distinctive / LIC in VA) about 6 years ago

Jeff...those lenders sure care about NAR support in other areas...just sayin!!

 

Posted by Laura Giannotta, Your Realtor Down the Shore! (Keller Williams Realty - Atlantic Shore ) about 6 years ago

  This sounds to us like a listing agent who was not experienced in short sales...schedule a closing without a letter...yicks ! not not in our practice...

Posted by Sally K. & David L. Hanson, WI Realtors - Luxury - Divorce (EXP Realty 414-525-0563) about 6 years ago

No, we had the approval letters with a priliminary HUD. But the banks also require prior approval of the final HUD 1, 24 to 48 hours prior to closing.

Posted by Laura Giannotta, Your Realtor Down the Shore! (Keller Williams Realty - Atlantic Shore ) about 6 years ago

I agree with Sally (comment #6). I chalk this up to "sellers negotiator did not do his/her job". The final HUD needs to be submitted to the closer 48 hours before closing. I make sure they got it when I send it in and if I can't get confirmation that same day because the closer is sick or whatever, I make sure management knows about it. That final approval letter is in my hands the day we close. I have never had a closing not happen because we didn't get final approval.

My problem is if the funds don't get wired within a certain time frame, the buyer's loan funds need to be returned.

I also don't think NAR can do anything nor do I think I want them involved. As it is, the more the banks and government get involved, the more issues and headaches we face!


Great blog. Thanks for taking the time to post it.

Posted by Satar Naghshineh (Satar - Amiri Property and Financial Services Corp.) about 6 years ago

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