Time lines negotiating HAFA

I had placed an offer on a BofA HAFA approved short sale just before the sellers received the approved price. The listing agent originally submitted my offer as a ARASS and once the approval came in she resubmitted it as a RASS. My offer was less than 2% of the asking price, because this is within the 20% range BofA will usually accept I felt pretty confident that they would accept my offer and we could move forward with closing. They came back within the 10-day time fram with a counter offer requesting the full preapproved price - absurd - I instructed the listing agent to go back to the negotiator and justify my asking price based on the needed repairs and replacement of appurtant appliances the sellers have excluded from the sale. I am not familiar with HAFA shortsales and their processes. I know there is a 10-day timeline for a response on an offer, does this timeline also apply to the response period on counter offers, the listing agent told me it would take longer, is this regulated? Does has any experience on how flexible BofA is negotiating their prices on HAFA short sales. I am curious as to what our negotiating powers are and what to expect.

Views: 542

Replies to This Discussion

Permalink Reply by Jeff Payne on August 18, 2011 at 10:13am
OK, it seems crazy for a bank to mess around over $5600.  The CEO at Bank of America probably will spend that on dinner tonight.  What do your buyers think?   Depending on the home it may be worth $5600 just to make sure that they get it.  Good luck, keep us posted.
Permalink Reply by joe beauchamp on August 18, 2011 at 10:43am

Jeff Jeff, Jeff.. I know that you know BOA as well as I do.  No thinking allowed, usually - follow the guidelines to the penny.  Back in March when Equator started screwing up everything, BOA was on just the 2nd - FNMA investor for first.  The nimrod negotiator refused to OK the HUD.  I believe it was $800 to BOA - 6% of debt.  First, he had to study it (uh, for $800), then his NPV calculator was broken.  It just did not matter that they burned the $800 in just studying the thing, I could not get him to do anything with it.  By the time he finally had his boy scout Equator NPV "calculator" working (probably dead battery??), and approved this, the buyer was gone.


Nah, they don't use reason - they'd rather spend $1000 to fight over a nickel... ;-)


Jeff Payne said:

OK, it seems crazy for a bank to mess around over $5600.  The CEO at Bank of America probably will spend that on dinner tonight.  What do your buyers think?   Depending on the home it may be worth $5600 just to make sure that they get it.  Good luck, keep us posted.
Permalink Reply by Tammy Evans on August 18, 2011 at 10:59am

Alright you two. Do I recind the valuation dispute and accept the full price counter and hope that we can proceed towards closing, or leave it as is since it's probably going to take a half of a year for a response (as well as $25,000 in administrations fee's) ?



joe beauchamp said:

Jeff Jeff, Jeff.. I know that you know BOA as well as I do.  No thinking allowed, usually - follow the guidelines to the penny.  Back in March when Equator started screwing up everything, BOA was on just the 2nd - FNMA investor for first.  The nimrod negotiator refused to OK the HUD.  I believe it was $800 to BOA - 6% of debt.  First, he had to study it (uh, for $800), then his NPV calculator was broken.  It just did not matter that they burned the $800 in just studying the thing, I could not get him to do anything with it.  By the time he finally had his boy scout Equator NPV "calculator" working (probably dead battery??), and approved this, the buyer was gone.


Nah, they don't use reason - they'd rather spend $1000 to fight over a nickel... ;-)


Jeff Payne said:

OK, it seems crazy for a bank to mess around over $5600.  The CEO at Bank of America probably will spend that on dinner tonight.  What do your buyers think?   Depending on the home it may be worth $5600 just to make sure that they get it.  Good luck, keep us posted.
Permalink Reply by Sameer Punjani on August 18, 2011 at 11:00am

@Jeff

 

This loss share agreement isn't a "urban legend" this is real behind the scenes work you don't see.  If you put two and two together, what incentives were there for BOFA to buy Countrywide?  They knew they had crap loans, and knew the fdic would cover the losses enough to profit from it.  

 

Most agents don't understand what's going on and just do what their told.  Until it gets exposed and we take action, the housing market won't change.  The best way is to reduce all paperwork on short sales and copy a Wachovia method of short sales. That's 5,000 to seller, no paperwork, no jumping through hoops, and approval in 14 days.  If all banks take on this method, we will clear the inventory of short sales, place those people in rentals that fannie mae is holding on to.  Have Fannie Mae generate a little income from those properties until a few years where they can sell them.  

 

It's a simple solution, but you got idiot lawmakers in Washington that have no clue whats going on. And you have big bank execs paying off the FDIC to use and abuse them at will..

RSS

Members

© 2024   Created by Short Sale Superstars LLC.   Powered by

Badges  |  Report an Issue  |  Terms of Service

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