Replies to This Discussion

Permalink Reply by AMY GERRISH on September 15, 2010 at 7:13am

Wow!

Permalink Reply by AMY GERRISH on September 15, 2010 at 9:15am

One of my title companies just confirmed this too!
From Elizabeth:

Hot off the Press: Just in from a Wells Fargo "Loan Adjuster Specialist" about short sales with Wells Fargo. This makes it even more challenging but ... knowledge is power.

Due to recent industry changes, we at Wells Fargo will no longer be granting any extensions for short sale close dates or postponing foreclosure/trustee sale dates. If you were issued an extension letter dated 9/14 or earlier, those extension letters will be honored, but no further extensions will be granted. Files must close by expiration date on the original approval letter or they will be removed. If your approval expires 9/15 or 9/16, you will have 48 hours to get me the final HUD for approval and close.

I'm sorry to be the bearer of yet another short sale hurdle. We need to be aware in order to keep deals from exploding.

Permalink Reply by fdgdfg on September 15, 2010 at 2:17pm

I asked for extension last week from Wells Fargo. They told me to wait till closer to the date of escrow to ask for extension. We need a extension to lower purchase price due to low appraisal. Now it looks like this deal may explode!

AMY GERRISH said:

One of my title companies just confirmed this too!
From Elizabeth:

Hot off the Press: Just in from a Wells Fargo "Loan Adjuster Specialist" about short sales with Wells Fargo. This makes it even more challenging but ... knowledge is power.

Due to recent industry changes, we at Wells Fargo will no longer be granting any extensions for short sale close dates or postponing foreclosure/trustee sale dates. If you were issued an extension letter dated 9/14 or earlier, those extension letters will be honored, but no further extensions will be granted. Files must close by expiration date on the original approval letter or they will be removed. If your approval expires 9/15 or 9/16, you will have 48 hours to get me the final HUD for approval and close.

I'm sorry to be the bearer of yet another short sale hurdle. We need to be aware in order to keep deals from exploding.

Permalink Reply by Sam on September 16, 2010 at 2:03am

I have received this notice as well...it's for real...big questions is what exactly does it mean? If you need an extension I am guessing you have to resubmit the offer and hope they approve the sale again before foreclosure?

Permalink Reply by Victoria Frieberg on April 8, 2011 at 11:12am

just notified today also.  I contacted the Mn Assoc. of Realtors, response below

 

”The issue appears to be linked to the State’s (not just MN) Attorney Generals trying to get banks to pay up for the Robo-signing issue.  Many are skittish of selling a property before the redemption period is completed because they may be challenged in court to produce the actual documents establishing a legal right to foreclose.  There was a big piece on 60 Minutes Sunday showing how big the problem is with falsified documents. 

 

There is no easy or quick resolve.  Federally chartered banks come under the regulatory arm of the Office of the Comptroller of the Currency (OCC).  The problem situations are with national banks. Not with state chartered banks, Credit Unions or Savings and Loans. 

 

Wish there was a fix available.  I forwarded the attachment stating the bank position to NAR so they would have more tools, but they are not confident anything will happen until the Robo-signing situation is resolved.”

 

Permalink Reply by Nate Gerard on April 14, 2011 at 2:37pm

I'm in MN too. I didn't know of this for selling. I had heard that Wells would not LEND on the purchase of a home in redemption but this is significant news.

 

Keep in ind we can file a affidavit to delay the sheriff's sale by 5 months in return for a five week redemption period. It looks like we'll be doing a lot more of this now. In most counties you need to file the affidavit a couple weeks before the sheriff's sale since they don't have the ability to file it in the system a day or two before the sale date.