I am completely at a loss with this one--anyone who can provide guidance, I am beggin' ya!!
Here's a quick synopsis: I represent the buyer on this one, seller's agent is not an experienced short sale agent, so it has been a struggle but on January 9th we received approval for the short sale.
Shortly after that Quicken Loans (who my buyer chose without any guidance from me) discovered that they couldn't make an investor loan the way the contract was written--with $5000 in seller contribution on a $137,000 purchase. Any lender I might have recommended would have picked that up the minute they looked at the contract and certainly long before we submitted it to Wells Fargo for ss approval, but Quicken is a factory, and I don't think their loan officers get a lot of training. I have enough to remember doing my job, so lender guidelines are not something I am up-to-date on.
Anyway-this was supposed to be quick synopsis--
Seller's agent didn't have a clue what to do, so I reworked the HUD for her, and we created an amendment to the offer, changing the price and seller contribution to conform to the 2% requirement for investor loans, lowering the price so that my buyer's net was almost unchanged and getting Wells Fargo an amount that was actually a little higher than the originally approved HUD. I provided the listing agent with the revised HUD and text to explain the situation to Wells Short Sale people, and she submitted it along with the amendment to the contract. The listing agent cut and pasted the response from Wells to me, and it seemed clear that the person responding understood the situation but since the contract price changed we would still have to wait 2-4 weeks to get what she thought would be a simple revised approval.
Yesterday (8 weeks later) after no word at all, we got an approval--
of all of the original numbers except that the new net to WFB was on this approval. The old $137,000 with $5,000 seller contribution is in the new approval, still a loan that can't be written.
My name is not on the 3rd party authorization, the seller's agent is
not nearly aggressive enough to make something happen, and not articulate enough to explain exactly what needs to happen in the first place.
I have gone to Quicken to see if there is another product that the buyer might qualify for, and I have asked the closing attorney to get involved thinking they might talk to him, where they won't to me, as he is listed in the approval paperwork as the closing agent.
I need a solution and am at my wit's end.
Thanks to anyone who can help--