Replies to This Discussion

Permalink Reply by Tni LeBlanc (805) 878-9879 on June 19, 2012 at 9:20am

Hi Ken,

I've never heard of a FMHA code 147 but I'm sorry to hear it interfered with your HARP refi.  Of course, since you are severely underwater I don't know if a refi will solve your issue anyway.

 

So you have a Fannie Mae/Freddie Mac loan on your 1st then?  I just wrote a blog about Fannie short sales you might find interesting.  That will mean in a short sale situation that the HELOC has to settle for 6% of their balance up to a maximum of $6000.  This can either make negotiatons very easy or incredibly difficult.  However, I can't recall an instance where I was not able to get a second lender to accept the Fannie/Freddie max.  Everyone knows the rules in those transactions.  And in CA, generally they cannot ask the seller to contribute for the short sale either, which again can make the situation very easy or very difficult.  Voluntary contribution is allowable, but of course if they "suggest" it, it's not really that voluntary right?  And of course, generally now in CA if they agree to the short sale, they cannot pursue you for the deficiency amount.  So, a short sale may be a good option for you.

 

 Was your loan a traditional HELOC, or was it used to purchase the property only?  

 

I always advise short sale sellers to seek independent legal advice, and in your situation (a lot of credit card debt) I would probably insist that you at least meet with a BK (bankruptcy) attorney for a consult.   If you have a lot of debt, you should make sure to explore what is truly the best option for you.  That should NOT cost $3000 to do.  Most will throw in the first consult, or charge a minimal initial fee, but more important than that is getting a reputable attorney. 

 

The good news if you do have a Fannie Mae owned loan is that they have recently issued guidelines requiring a response in 30 days.  This of course does not affect the second lender, but it should still speed up the process considerably as a BofA second will usually process concurrently while the first is processing.

 

Hope this helps, and of course, it does not substitute for actual legal or tax advice.  You would benefit from that and should seek out some cost effective alternatives to get the advice you need.

 

Sincerely,

 

Tni LeBlanc

Broker/Attorney, Short Sale Agent

DRE #01871795

(805) 878-9879

www.SantaMariaShortSales.com

Permalink Reply by Anynomus Guest on June 19, 2012 at 9:56am

Tni, thank you for your review and response.  Your input is valued, this will help me set out a course of action.

I am not sure either what the FMHA code 147 is, but the rep at Nationstar this had to be assigned by Fannie Mae before they could proceed.

The B of A HELOC was traditional, secured by the property but not used to purchase the property.

I am concerned with finding the right attorney and also an experienced qualified short sale real estate agent in my area.

Thank you,

Ken

Permalink Reply by Tni LeBlanc (805) 878-9879 on June 19, 2012 at 10:32am

Hi Ken,

I just contacted the Fannie Mae Help Center. 

They had no idea what a FMHA code 147 is either.  It would not surprise me if you were getting a slight run around from the servicer (Nationstar).  I did ask whether there was an office at Fannie Mae that you could contact if you were having difficulty with a HARP refi due to the servicer.  I've gotten good results on other issues when I went to Fannie directly. 

They gave me the Dallas Office number 972-773-4663.

What area of California are you in?  I may be able to help with a short sale referral or attorney referral.  Feel free to email me directly at [email protected]

Tni LeBlanc

Broker/Attorney, Short Sale Agent

DRE #01871795

(805) 878-9879

www.SantaMariaShortSales.com

Permalink Reply by Richard "RJ" Kas on June 19, 2012 at 4:40pm

Hello Ken,

I have been following the thread all day and I would be pleased to assist you.  I can answer and further questions or concerns you may have specifically, though it appears you have received lots of sound advice.  I did not see what area of California you are located in, however, I am based in Beverly Hills, CA and I head up our office/region short sale dept with Coldwell Banker Previews International.  I am highly experienced and have successfully closed short sale transactions with nearly every servicer out there.  Please try contacting me and let me reassure your anxiety about this situation.  I hope and look forward to hearing from you.

Sincerely,
Richard "RJ" Kas        (SFR, SRES)
"Representing the finest properties from Los Angeles worldwide"
KAS Properties - Coldwell Banker Previews International - Beverly Hills South
166 N. Canon Dr, Beverly Hills, CA 90210
310.859-5334 office - 310.488.9826 mobile - 310-273-0690  fax ATT: RJ
[email protected] -  www.RJforLA.com -  DRE: 01352771
Sellers            Buyers            Investors            Leasing            Consulting

Permalink Reply by Anynomus Guest on June 20, 2012 at 5:07am

Thank you for your reply Richard,

I am now digesting all the information that has been provided to me via this excellent web site.  This is an extremely helpful site.  I am in the Central Valley of California and while I appreciate your offer of assistence I am going to try to work with a local agent.

Thank you for your response,

Ken