BOA short sale negotiator experts- I need some tips on how to get that boiler plate deficiency language removed

The short sale is approved after having had to escalate this to the area manager.

 

Now seller's attorney advised seller against closing due to the deficiency language in the note which you are all familiar with.

 

 

I have no problem raising hell with whomever I need to but need a little direction.

 

What level do we deal with on this if we want to push the issue?  

 

 

The canned response the buyer's attorney received from the closer was that' BOA does  not make any exceptions in the state of florida- period.'

 

Has anyone specifically in Florida ever had the deficiency  language removed .?

 

'Is what the closer told the attorney true or just an out and out lie?  .

 

Sound advice greatly appreciated. 

 

 

Al Goldin

Florida     

Views: 64

Replies to This Discussion

very interesting- thanx-
Al, what is the deficiancy language the buyer (and his attorney) is objecting to?
It is the seller and sellers attorney who objects to the phrase indicating boa "may pursue the borrower for any deficiency -----". It just happened to be that the buyer's attorney called the closer at boa.
It is the seller and sellers attorney who objects to the phrase indicating boa "may pursue the borrower for any deficiency -----". It just happened to be that the buyer's attorney called the closer at boa.
Sorry Al, I meant 'seller'. (I should respond to emails when I can't sleep in the middle of the night...) Is this homesteaded property, primary residence?
He purchased it as his homestead in 06 but actually has moved out.
Al, I'm new at short sales and I'm certainly no pro- but I've used the attached link to 'persuade' lenders to let borrowers off the hook on homesteaded primary residences. If the deal meets the parameters in the attached .gov site, then most likely they will remove the verbiage.

http://www.irs.gov/individuals/article/0,,id=179414,00.html
I try to get all my BoA sellers thru HAFA - then BoA must do a full release
The last 11 short sales I have completed, 9 of them were full mortgage settlements. Meaning the approval letters had language that stated in some way that the lender was accepting the short sale as payment in full and waived their right to any deficiency. The other 2 were with BOA. I have not yet been able to get them to change the verbiage. I have talked with several other agents who have had this same issue. I have also heard of a couple of the big brokerage attorneys contacting BOA and trying to get them to change the approval letters when the investor agrees. So far I have not heard of any progress.Check and see who the investor is. I have read in quarterly reports that FNM is not seeking deficient against home owners, but only second homes and investors.Nothing concrete, but its a place to start. In Utah we have a 3 month statute of limitations on collections for the mortgage foreclosing. So in some instances a home owner with a BOA loan may be better off letting it go to foreclosure.
Al: I've done a number of BofA short sales and they will NOT change the language. Period. The best success I had was they deleted the deficiency language but that doesn't remove their right to pursue. BoA's verbal position (no, they won't put it in writing) is that they reserve the right to go after the deficiency but they don't intend to pursue unless they determine there was fraud committed in the course of the short sale. Good luck.
At the risk of sounding dumb, just ask them to remove it. I have done it on several. I still don't think that it means that they can NOT pursue a deficiency in Florida unless it specifically says they wont...
the last 3 that I closed had the language removed......

Barbara J. Rice said:
Al: I've done a number of BofA short sales and they will NOT change the language. Period. The best success I had was they deleted the deficiency language but that doesn't remove their right to pursue. BoA's verbal position (no, they won't put it in writing) is that they reserve the right to go after the deficiency but they don't intend to pursue unless they determine there was fraud committed in the course of the short sale. Good luck.

RSS

© 2014   Created by Bryant Tutas.   Powered by

Badges  |  Report an Issue  |  Terms of Service

********************************** like buttons ************************