EMC (Chase) - BPO came in at 119k - But they will only accept an offer of 218k

Can someone explain this to me?

I have a seller whose going through a short sell with EMC

EMC ordered a BPO and that value came in at 119

My client had an apprasial completed value 115k

EMC says they will not accept anything less than 218,000

Does this make sense? Can someone explain this to me? EMC reps will not explain why or how they got that 218k value

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Permalink Reply by Jake Jacoby on September 4, 2011 at 12:31pm

Have you requested all of the loan docs with the intention of a Forensic loan audit?

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Permalink Reply by Ray Snook on September 7, 2011 at 12:56am

Sometimes this happens. You don't mention what the loan amount is, and that can have a bearing on how much the investor will be prepared to accept minimum. If the investor has MI covering the loan then they may net more in a foreclosure than in a short sale - just my fourpenneth. Happened to me recently with a BofA, the investor wanted 15k over market value and we could not get them to budge even after escalating. In the end a bofa rep called me to say that they would issue an approval next day for the 15k over price, but that even if we accepted it we had 14 days to close or it would go to auction. They refused an extension to the original sale date too.The investor wanted the short sale file closed and he got what he wanted.

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Permalink Reply by P Nicolas Velecico on September 9, 2011 at 11:57pm

When it seems that the servicer will not accept a SS or modication regardless of how much you think it makes sense for them to do so has to do with the original PSA agreement ( Pool Servicing Agreement ).

If it has a restriction a SS will never be accepted regardless of your BPO or appraisal