Superstars,

Maybe you already know this but it was "new news" to me this morning.  I've been working on a short sale for more than 10 months now, with BofA 1st & 2nd.  In January I received an approval for the short sale and both loan numbers were included on the letter.  I spoke with the negotiator at the time and all was well.  Unfortunately (or fortunately after you read this) the buyer walked-away because it took too long to get the approval.   We got a new buyer right away at very similar terms (Buyer paying $20,000 in back HOA fees, etc.).  The short sale got rejected in Equator 3 times as an "invalid request / short sale opened in error".  We figured that out pretty quickly, BofA didn't know the borrower's BK had been discharged - I sent them the BK-Discharge and initiated a new short sale. 

We were assigned to a Special Negotiator in the Legal Team.  Everything was flying along, I have direct contact with the negotiator via telephone WooHoo ! we've been conversing and completing all of the tasks in Equator.  Yesterday I got a counter - no big deal - we're still moving along wonderfully -

THEN THE SURPRISE ...........

These new negotiations only include the FIRST Mortgage. The Second had been "Service Released" to Real Time Resolutions "many months ago".  When I tried to reach RTR - joke - voice mail hell (but I finally found a number on here and reached someone today and now I have to submit an entire new Short Sale Package to them - even though they were discharged in the borrower's BK)

I asked the Negotiator about the approval I received in January on both loans and asked what if it had closed back then, would it have included both loans.  He told me NO ! there is a glitch in their system and it is automaticaly including both loans on approval letters even though they may have been released to another entity and they are not approved !  He also told me they have MANY that have closed and the 2nd is not released and that is why they are now manually generating approval letters !

The moral is to make sure  you really have an approval on the 2nd - even when BofA is on both loans - they may not have the authority to approve the 2nd!

Best of luck Superstars - I thought the water was getting calmer ..... NOT !

Thom Colby

Broker / Negotiator

Newport Beach CA