USDA SS help!
Trying to short sale a USDA insured property through Wells Fargo. SS is being declined within 48 hours of me submitting documents. Have been told by WF that the loan does not meet USDA MI Guidelines but they have no other info to give me. One issue is seller no longer lives in the home, she moved for work 1 hour away, but not until we were days from closing on the house with an offer not requiring her to short sale. The appraisal came in $50K under contract amount, we disputed appraisal and the appraiser then dropped the value another $5K. Seller does not have the funds to cover that difference at closing but has to sell the home so our option was short sale.  Her expenses exceed her income by over $1500/month along with work relocation so she has a legitimate hardship.

A letter explaining the circumstances which caused seller to move out has been sent to Wells Fargo along with proof that she occupied the home for over 12 months (at WF request). Now for the fourth time we are back to square one and will be resubmitting all docs to WF to try again (at WF request) Have any of you dealt with USDA short sale, can I file a variance with USDA regarding non-owner occupancy like with FHA?  How can WF decline a SS within a couple of days based on USDA MI guidelines and not even know which guidelines aren't being met.  

Thanks in advance...