Replies to This Discussion

Permalink Reply by Wendy Martin on March 12, 2013 at 9:39am

Evelyn,  I just had the same thing happen with a BofA FHA SS.  The negotiator (worthless, slow, made me insane) said these are "new" guidelines".  We Realtors signed the contract (he said sign it "anywhere") and also put our names on the HUD.  After 9 months we would have given them our blood samples too. BofA is making everything harder.  They do NOT want to be in the short sale biz any longer.

Permalink Reply by Sheila Vardakis on March 12, 2013 at 9:56am

that is ridiculous...............I can tell you MO & KS don't require either of those requests either.  The most recent waste of time I had to do for BOA was the contract was handwritten and my disclosures were all typed.  They required me have all the parties to the contract initial where the buyers name was handwritten in on these forms.  THEN, once I got that done, they come back and tell me they won't even look at the offer because it is unlegible. 

Permalink Reply by ElizabethWeintraub00697006LyonRE on March 12, 2013 at 11:10am

Oh, good lord, this is just some underling who can't read. Moreover, the HUD falls under RESPA, which is federal guidelines. You need to speak with a normal person of authority at Bank of America and not these clerks on a power trip.

Permalink Reply by Evelyn Santiago on March 12, 2013 at 11:18am

A normal person with common sense at Bank of America...now that's an oxymoron.  I have spent most of the day emailing my local association who told me I can't sign the contract since I am not party to the purchase only the buyer and seller.  They are sending it to the State Association.

I sent the Consumer Financial Protection Board a request for clarification after downloading Hud's RESPA guidelines.  Their is definitely room for interpretation regarding having the individual realtors name on the HUD-1.  But if anyone that understands that realtors are paid via their sponsoring brokers and not directly due to local state law they would know that only the brokerage names would be on the Hud-1.

 

Apparently someone at Bank of America read the RESPA guidelines and decided that our individual names should be included.  Bad interpretation due to lack of understanding on how real estate commissions are disbursed.  Hud's National Servicing Center told me the bank has the right to request it, again based on the fact that they have no clue how real estate commissions are disbursed.

 

Stupid does as stupid is...or words to that affect from Forest Gump!  Just plain frustration at this point.  Hopefully, clarity will come tomorrow.

 

Evelyn

Permalink Reply by Anna Chroscicki on March 12, 2013 at 11:17am

Yeah....This is new I guess. I have not seen this one yet. But I had BoA asked me for LLC ( buyer) to sign contract....Not representative, president, etc. That we already had. Negotiator asked for LLC ( lets call it ABC Corporation) to sign. Has anybody ever seen signature of corporation ? Well...long story short....I would do anything that BoA asks for as long as it is legal. Otherwise- they will decline your short sale.   

Permalink Reply by joe beauchamp on March 12, 2013 at 12:08pm

Send your authorization to HUD, although my last contact with HUD for BofA was absurd, sometimes they are not. Unfortunately, HUD's "crack team" of people are simply BofA employees - the last one said that I had a bad account number??? and besides, she doesn't deal with short sales???? However, sometimes HUD can help.

Also tweet to @BofA_HELP. It might help - at least it will get your issue in front of someone other than the brain-dead you've been dealing with.

I think we've all been there - and much more since last June than before - yes, very frustrating, exactly what servicer management wants - get agents to run away when they hear "short sale".

Permalink Reply by Evelyn Santiago on March 12, 2013 at 12:21pm

Already spoke to Hud and they told me that the bank has the right to ask for our names on Hud-1.  I got the RESPA guidelines and there is some room for misinterpretation if you don't know how real estate commissions are paid out.  In IL all commissions must be paid out via the sponsoring broker so only the brokerage names are on the Hud-1 with the actual breakdown of commission.  If the names of the individual agents and brokerage firms are put on the Hud-1 the title company will issue the check in both names which might be an issue with our state Department of Financial and Professional Regulation.

 

Seller's attorney has sent emails asking for clarification and perhaps a work around.  I have sent the CFPB an inquiry for clarification on the RESPA guidelines. 

On signing the contract my board said absolutely not.  Attorney thinks another addendum might be possible depending on why BOA wants the agents to sign the purchase contract.

 

The lunancy continues and tomorrow is another day...

Attachments:

• huddoc.pdf, 683 KB

Permalink Reply by joe beauchamp on March 12, 2013 at 12:33pm

I have never run into this - in NJ, it is the same but more so - it is illegal for an agent to be paid by more than 1 entity - and that pay comes from the broker. So, BofA wants you to lie on the HUD-1 by stating that the agent is paid directly at closing and not the agency. That's a lie. I hope I don't run into these nimrods at BofA with this one. Really - besides being wrong, isn't it a stupid detail? And, of course, BofA will insist  that the people at closing sign the HUD-1 proclaiming BofA's federal fraud as accurate. Cool...

Permalink Reply by Mariana Carrasco on March 13, 2013 at 2:26am

 

Same situation here,"new guidelines" are weird.
Also I had to notarize my signature for the F.H.A addendums.

But,if nobody complains,BOA can request whatever they want,and we will do it,in order to get the things done.
We are in the middle of the Battle field...doing the best.

 

Permalink Reply by Sheila Vardakis on March 13, 2013 at 2:53am

This is some of the biggest waste of time for us as short sale specialists.  come on now.............you didn't require our individual names on the HUD1 before and now you do?  The rules of these transactions change non-stop.  BOA is the worst for having you complete their form and then finding out oooooooppppppppppppssssssss..........we have a newer version that everyone needs to sign.  You go to look at the difference and NOT one part of the body verbiage is different...............so what is different?  they put the header on one line............come on.  BOA is getting back to being the worst.  As for having these deals approved faster........................NOT. 

Permalink Reply by Evelyn Santiago on March 13, 2013 at 3:12am

I spoke to a lender and although I was pretty sure of the answer asked him to tell me the results in their underwriting if a purchase contract came in with both real estate agent signatures on the contract.  Underwriting would ask for another "clean contract" with only the buyer and seller signatures on the contract.

 

His response on the HUD1- names - Respa violation since realtors can't get paid directly only brokerage firms can.

 

So if  Bank of America had a loan that their buyer had a contract with both realtor signatures on it would their underwriters pass it?

 

If we keep taking these changes laying down then we deserve everything.  I am going to call my State Financial and Professional Regulation Board and find out what they think. 

NAR should be addressing these issues with the heads of the Banks!  If anyone has any contacts at NAR please send them to me.  Enough is enough!