Replies to This Discussion

Permalink Reply by Karen Butler on September 29, 2011 at 2:55am

I think the reason you were buying the short sale in the first place is because you were getting a great deal on a property that otherwise would not have sold at that price.  Clients are advised at the beginning of the short sale that there is nothing short about the short sale process.  While they may be waiting on them to upload and review documents, it could still take time, because there may have been a hundred files ahead of yours.  So yours will have to take a number and wait in line until they get to your file.  You are right, it doesn't take that long to upload documents... when they get to yours.  So do you really want to walk away at this point and start over?  Hang in there, when you do close you'll be glad you did.  But in the mean time, I recommend you get with your landlord to discuss a possible month to month extension on your lease.  Good luck.

Permalink Reply by Janine Margaret Nielsen on September 29, 2011 at 5:52am

Looks like the problem is that the seller's agent is only dealing with the call center and not a direct negotiator.It's typical of OCWEN to do this. The seller's agent needs to request that someone in upper management contact her asap. They usually will schedule a phone call. Request both on the phone and email at [email protected] explaining the issue in detail.

Good luck.

Permalink Reply by future buyer on October 18, 2011 at 12:28am

Update.. we are still waiting, they are playing this " we need additional documents from the seller, they changed the closing date and approved the date, and it has passed, The agent informed us that they gave them all the documents Ocwen would not need anything else, and that it was in final review, each week, its in :final review... im growing frustrated, cant get any straight answers, and from reading the recent post, it looks like they are never going to give us the approval letter AGAIN... I have even called and email folks from them board, but nothing... they wont tell me anything because im the buyer, but you know this really sucks and its ashame that they have this type of power....

Permalink Reply by future buyer on October 18, 2011 at 1:32am

im giving up on it guys, just got word that they said it could be another 30 days for review, and we are not willing to wait, it was already approved by litton before it was transferred over, then they have taken another 60 days to review it,and request more documents from the seller, then they want us to wait for another 30 days for something that may or may not happen, my family is not settled, and I will not allow them to wait for something that may or may not happen... I will never deal with a short sale again, whether they say already approved or not... im tired of worrying about this...

Permalink Reply by Jeff Payne on October 18, 2011 at 2:32am

Nothing wrong with not dealing with a short sale, problem is that you probably should have been educated in the short sale process in the beginning, especially dealing with Litton or OCWEN, with both companies being famous for slow short sales.  Very sorry this happened to you.

Go find a non distressed property and get moved in, sometimes a few dollars saved is not worth it with your family in limbo

Permalink Reply by future buyer on October 18, 2011 at 2:47am

Thanks Jeff, I just feel so sad i have put my family through this, but you are correct I thought the hard part was over, and I was being reassured that once it was approved it would be a piece of cake, 2 months later, still waiting, im so upset with myself for not looking for more homes in the mean time, but they kept on saying, its approved just waiting for review.. but im tired, my husband tired, and we just need to in our home, so now i will be living out of boxes until we find another home, NON short sale that is.....

thanks

Permalink Reply by Jeff Payne on October 18, 2011 at 3:31am

OCWEN and Litton are both tough to deal with.  Just curious, what expectations were set when you first started looking at homes?  Did anyone talk to you about the short sale process?  Did you have any idea how long it would take?  Did your agent tell you that it could take 6 months or more?  And lastly, did your agent prequalify the listings and the listing agent before going under contract on a short sale?  I ask these questions out of curiosity more than anything..

What would be the harm in staying in this transaction until you find another home, never know if the approval letter would come soon?

Permalink Reply by future buyer on October 18, 2011 at 3:39am

JEff, we were looking for a house, not a short sale per sa but just a nice home, my realtor came across the short sale, that said it was already approved just needed a buyer, this was in July, she was told that it was approved everything would be straight forward, I read about short sales myself, and most of the sights i read said short sales take a long to get approved, so i thought as well as my realtor that we were in the clear since it was already approved... while waiting Litton accepted the offer, we went to underwriting and then were told that they sold it to Ocwen, were told to wait 10 for them to upload and review it, closing shouldnt be a problem...... and then here we are  2 months later still waiting, i am schedule to look for some more homes today, but i guess we still should sign an extention in the mean time, no harm in that but you know the thrill is gone :) just so tired right now,

Permalink Reply by Wendy Brandel on October 18, 2011 at 6:33am

Dear Future Buyer, just so you know you are not alone.  I am a Realtor dealing with the exact situation.  We had an approved offer on a property while the mortgage was with Litton, then the loan was transferred to Ocwen.  It was very disheartening because Ocwen has a terrible reputation so much so that I've declined working with any files related to Ocwen. At any rate the file was sent to Ocwen in early September and we were told that it would only take 10 days for the approval.  As of today's date we still do not have the approval.  In the meantime we were informed that the file was complete and that the approval letter would be issued last Friday.  Still nothing.  As of today we've been told that file was placed on hold because they need the Arms Length Affidavit and a HAFA package completed.  What?!  Normally my processor places calls to the bank to ensure that the short sale process continues to move forward but today I called and expressed our frustration to the negotiator including the fact that we could potentially lose the buyer and the seller says they can keep their HAFA. Let's just close!  Ultimately I convinced her to fax the Affidavit directly to me and all we can do is continue to push.

BUT no one should be expected to deal with this type of yo-yo nonsense. Management should be ashamed of the degree of incompetence, contradiction and unpredictability demonstrated by their company.  I would rather be told that the offer is reject then to be strung along only to have expectations built up and then destroyed!

So I understand your position and you certainly have a right to cancel your contract (I might do the same in your case) and not venture into another short sale deal but unfortunately short sales dominant a large part of the market and you could potentially miss out on a great house by excluding short sales. 

By the way, some short sale transactions actually go smoothly.  In fact I've had some close from start to finish in 60 days. The outcome usually depends on which mortgagee is involved.  Unfortunately, we got stuck with Ocwen who happens to be one of the worst.

Ultimately, I wish you the best in your home buying efforts and trust me when I say that short sales are an entirely different way of conducting real estate transactions that has caused emotional strain and hardship on all parties involved. 

Take care.

Sincerely,

Wendy Brandel

HomeSmart Realty

Permalink Reply by Jeff Payne on October 18, 2011 at 7:10am

Your case is not unusual. My concern is that your agent should have done more research because anytime someone claims a short sale is already approved it is usually approved specifically for a particular buyer and reapproval for a new buyer takes time. Listing agent should not be false advertising too

Permalink Reply by Anna Boyd on October 21, 2011 at 5:06am

Future Buyer,

I'd hate to think you've put in all this time for nothing.  Any home you find and decide to purchase - even if not a short sale is going to take another minimum 30 days.  If it were me, I'd go out and look, but let the short sale continue it's process.  Ocwen will most likely get you that approval letter.  My suggestion for listing agent (not you)  is to email the President and plead your case - in a few sentences.  I got a reply within couple hours.  If negotiator currently is difficult to understand, the list agent can request a stateside negotiator.  Whenever there was a delay, I would leave message for negotiator, then get hold of her supervisor or manager.  When they quote time frames, seems to be from generic time allowed per task.  You may get something much sooner.  Hope this helps.  Hang in there.  Short sales are like pulling teeth - but, if patient, most times you will be rewarded. 

Permalink Reply by future buyer on October 21, 2011 at 5:14am

Thanks Ann, we just extended the contract, and we have been looking, my husband found one he liked and I am holding on to the hope that they will send us this approval letter sooner than later, I gave the sellers agent all the information I found on here, as well as emails, she said she would keep me posted, i feel like this process is like dealing with a difficult relationship lol its soo hurtful and draining... but I will keep everyone posted!

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