Short Sale Specialist

When Chase started sending incentive solicitation letters to their borrowers in hardship early this year, many in the real estate industry were excited about the potential positive impact it could have. Sending letters to home owners offering $5,000 to as much as $35,000 BACK as a short sale incentive was a revolutionary way to get the borrower to take action and participate in a short sale. While this has certainly made a difference with some borrowers who can really use the money, unfortunately it rewards those who have made poor decisions and punishes those who are still responsible in many cases.

Chase incentive

Here is just one of those cases. We just got a Chase short sale approval letter today from a local file in our Jacksonville, FL brokerage company. The purchase price was only for $60,000. The property and situation qualified for the HAFA program, and the borrower was excited about the possibility of getting $3,000 back to participate in a short sale. Short sale package was received and HUD was sent over showing a net to the lender of just over $47,000. After a short time of waiting and processing, we finally got an approval letter today. But something was different.

After reading the first page of the approval letter, it said that Chase was to receive only $37,000 back at closing. Instinctively, our initial reaction was that this must be some mistake, Until we read further. As it turns out, without the seller or their broker even asking for additional money back, Chase gave the borrower an additional $10,000 back. Including the HAFA money, this seller will be getting $13,000 cash back short sale incentive at the close of their property. Here we have a borrower, who in one way or the other defaulted on his financial responsibilities, and was rewarded with more money than many will see at any one time in their lifetime.

I guess they are just giving defaulted borrowers a little taste of the wall street style executive bonuses that we have become accustomed to hearing about within the banking industry. Where is the justice in this? How is this fair to those who work hard to continue paying a mortgage that is more than the value of their property?


For Original Article See:

Chase Bank Overdoes it With Cash Back Short Sale Incentive

 

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Yes.  I just got an approval with $23,000 to the seller and CHASE told me what to do to get it.  They didn't ask for it.  It's good news, but I wonder long term what this means.

I closed one deal almost 4 month ago and the homeowner got $20k from Chase and the $3k from Hafa.

I am ready for the second one in the same situation. approval in comming in a few days.

Good luck. It's true.

I love Chase short sales.

Maria C Esquibel

Property Expo Realty

also just closed one, 20K from 1st, 3K from second..more money than seller, who had trashed house and property, deserved.So, is the lender then getting the difference from?????

provably insurance...

What do you mean, the second pay the seller $3000? who was that? I never heard that

the second also contributed to the seller. never saw it before either.

without asking for? wich Bank?

 

I have two. Both are investment non owner occupied properties. One closed already. Purchase price was $30,000. Seller got $10,000. The other is set to close in a couple of weeks. Purchase price $70,000. Seller is getting $20,000. These were both part of the Chase homeowner outreach program. The lead came in the form of a Chase representative calling me and conferencing in the seller asking the seller if they would like to work with me on a short sale. Both were no doc short sales.

wow, how do you get Chase to call you?!

They called off the CDPE advanced list for agents in the immediate area. If you do not answer they hang up an go to the next person in line.

thanks, I was just looking at CDPE wondering if it was worth the money to take the course..I guess that answers that!

I wouldn't join CDPE with the hopes of getting Chase listings...

did you find value in the courses?  I have done many short sales, do not do too many reo's..but some.  I was wondering what the value of the course was, there are several agents in the area, but I believe Remax subsidizes the course also..

 

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