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Permalink Reply by Short Sale Superstars LLC on December 17, 2012 at 2:00pm

Ann,

I would be pushing to see if a bpo/appraisal needs to be ordered on this file. Also, I'd be reaching out to Citi's Escalation Response Unit to have this file pushed forward as quickly as possible.

Warm regards,

[email protected]
www.ishortsalenow.com
310-564-6389

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Permalink Reply by Kevin - Greenville, SC on December 17, 2012 at 9:20pm

Postponement of Foreclosure Proceedings
Servicing Guide, Part VIII, Section 107.01: Servicer-Initiated Temporary Suspension of Proceedings;
Section 107.01.01: Borrower Response Package Received Within 30 Days of Post Referral to
Foreclosure Solicitation Letter; Section 107.01.02: Borrower Response Package Received After 30-Day
Response Period But Before 37 Days Prior to the Foreclosure Sale Date; Section 107.01.03: Borrower
Response Package Received After 30-Day Response Period But Within Days 15–37 Prior to the
Foreclosure Sale Date; and Section 107.01.04: Borrower Response Package Received Less Than 15
Days Prior to the Foreclosure Sale Date
Fannie Mae currently requires that if a servicer makes an offer for a foreclosure prevention alternative when a
mortgage loan that is equal to or less than 12 months delinquent to the borrower in:
 Judicial Jurisdictions — the servicer must continue to delay the Motion for Judgment (or equivalent
action although defined differently in various jurisdictions) for up to 14 days for the borrower to
respond.
 Nonjudicial Jurisdictions — the servicer must delay the next legal action for up to 14 days for the
borrower to respond.
Fannie Mae is changing the requirements for when a Fannie Mae liquidation alternative (short sale or deed-inlieu of foreclosure), excluding Fannie Mae HAFA, is communicated to a borrower. The requirement to continue,
the foreclosure process during the borrower response period and the servicer must not delay the foreclosure
process 14 days for the borrower to respond. The servicer should continue to delay the foreclosure process for
14 days for the borrower to respond if a retention offer is extended to the borrower.
The Borrower Response Package must be complete before any legal action may be postponed, except if an
offer for a short sale has been made based upon Streamlined Documentation.
Postponement of a foreclosure sale for a mortgage loan delinquent greater than 12 months as measured by
the LPI date will continue to require prior written approval by Fannie Mae.
BORROWER RESPONSE PACKAGE RECEIVED WITHOUT A SHORT SALE OFFER
When the servicer receives a complete Borrower Response Package without a short sale offer, the servicer
must follow the requirements in the Servicing Guide to determine if the foreclosure process should be
suspended. When required, the servicer must evaluate the borrower for all foreclosure prevention alternatives
following the Fannie Mae workout hierarchy. 2012 Fannie Mae. Trademarks of Fannie Mae. SVC-2012-19 Page 16
BORROWER RESPONSE PACKAGE RECEIVED WITH A SHORT SALE OFFER
When the servicer receives a Borrower Response Package with a short sale offer, the servicer must determine
if the foreclosure process should be suspended based upon the criteria outlined below.
 Borrower Response Package and short sale offers received more than 75 days prior to the
foreclosure sale date: The servicer must follow requirements in the Servicing Guide (Part VIII,
Section 107.01) to determine if the foreclosure process should be suspended. When required, the
servicer must evaluate the borrower for all foreclosure prevention alternatives following the Fannie
Mae workout hierarchy.
 Borrower Response Package and short sale offers received within 75 to 37 days prior to the
foreclosure sale date: The servicer must attempt to conduct a review in accordance with Servicing
Guide Announcement SVC-2012-07. If the servicer cannot do so, it must conduct an expedited
review of the Borrower Response Package and short sale offer purchase prior to the foreclosure
certification date.
 Borrower Response Package and short sale offers received within 36 to 15 days prior to the foreclosure
sale date: The servicer must conduct an expedited review of the Borrower Response Package and short
sale purchase offer prior to the foreclosure certification date.
 Borrower Response Package and short sale offers received less than 15 days prior to the
foreclosure sale date: The servicer is strongly encouraged, but not required, to conduct an
expedited review of the Borrower Response Package and preforeclosure offer.
If the servicer approves a short sale purchase offer with a complete Borrower Response Package (or other
acceptable documentation under the Streamlined Documentation Requirements), it must suspend the
foreclosure sale to allow the short sale to close as permitted under state or local law.

https://www.fanniemae.com/content/announcement/svc1219.pdf

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Permalink Reply by Ann Wilkins on December 28, 2012 at 12:14pm

Just an update - a happy one - for this CitiMortgage transaction.  While out of the country on vacation, I heard from the negotiator that Fannie Mae wanted an addtitional $20,000 for this loft condo, increasing the price to $235,000.  The buyers jumped on it so within 24 hours we had a signed addendum for the increase and an updated HUD1 - this was on Thursday Dec 20.  Negotiator passed it on to Fannie Mae who approved the short sale and the foreclosure auction was cancelled on Dec 26th.  I was impressed - it did go fast even with the Christmas holiday and CitiMortgage sent me emails updating me on the status.  They also sent an email to the Buyer's agent with an update.  Now we are just waiting for the short sale approval letter. 

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