Replies to This Discussion

Permalink Reply by Kathleen Lordbock on March 12, 2011 at 12:38pm

Will she be able to do $1000 at closing total- $500 to each? or $10 per month for 120 months- give them something and then say this is what she can do.

Permalink Reply by Bryant Tutas on March 13, 2011 at 1:39am

Nancy. The first thing to do is run it by the seller. Since this is not the sellers primary residence she will more than likely be required to particiapte in the loss. If she can't afford what is being offered then just try and negotiate with something she can afford. Also, it may help if the seller calls her lender direct to try and sort it out. If she can't reach an agreement then she needs to seel legal advice.

Permalink Reply by Barbara J. Rice on March 13, 2011 at 2:13am

Yes, run it by the seller first. If you end up not getting anywhere with the WF nego you can go directly to the MI nego. Obviously you'll need to find out which MI company and the MI cert number (available at WF if you ask nicely; keep calling and asking until you get the info). And make sure you get the certificate number. MI needs that to look up the file.

I had one with WF where the nego said $20K prom or we deny the short sale and delete the file. I called MI directly and got the note down to $5K which my seller could do. We close next month. :-)

Permalink Reply by Dwight Hawkins on March 13, 2011 at 3:46am

Its all about negotiations. Tell them she will pay $1,000 each at no interest & she get $33,000 knocked off. See what they say.

Permalink Reply by Nancy Campbell on March 13, 2011 at 5:47am

Okay ... I spoke to the seller/borrower for this transacton. She can not put anything in ... she is broke! She liked the promissory note option, and is willing to negotiate but would rather not have to pay anything in (is that an option). I did not clarify something ... she did live in this home, it was her primary residence, she moved out, when she went through her savings, she wanted to sell it.One of many who had lost her good paying job due to the economy, replaced with a job with less pay job.

Permalink Reply by AMY GERRISH on March 17, 2011 at 6:17am

Nancy - I'm curious as to what the outcome of this is, I just received something similar but the numbers are much higher on a property worth about $130k. $7k to Freddie or 15k note AND $5k to MI or $10k note. (Freddie's number is reduced from $15k - I think we can only do $5k total, not each)

Permalink Reply by Jeff Payne on March 22, 2011 at 4:50am

The last 4 wells fargo deals have been exactly this way.  Three of the four the seller made a cash contribution and one the prom note.  If I were in your sellers shoes, I would seriously think about the prom note and do what I can to pay the $50 per month and if she can not make the payment, they can not send her to debtors prison :)