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Permalink Reply by Wendy Rulnick on December 2, 2012 at 5:33am

Marcy - It just might be Cenlar's terminology for a review or  quality control or approval department. Ask the negotiator what he means. Basically, a short sale is like getting a mortgage - you have to qualify with your financials, credit, income, etc., but it's just for the reverse purpose with different criteria.  

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Permalink Reply by Marcy Shugarman on December 2, 2012 at 8:30am

Thanks Wendy. I will email her tomorrow to ask for more details. I submitted all of the seller's financials weeks ago when the listing went under contract. On Friday the negotiator notified me of the underwriter review and that the seller is not eligible for streamlined documentation. She also said that the underwriter might ask for additional documentation. The investor is FNMA. They are still waiting on value because the bpo they ordered 2 weeks ago was never completed.

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Permalink Reply by Joseph Alfe on December 2, 2012 at 4:10pm

a short sale negotiator is interchangeable with "underwriter," because whatever they call it, they are underwriting the short sale to the investors guidelines, just like in a purchase.  In fact, many underwriters that lost jobs in the mortgage collapse were reabsorbed into loss mitigation.  To be really successful in short sales, whomever is handling the file on your side should also be an underwriter-that is, know the guidelines and make sure your file conforms BEFORE you submit it.

www.ssprocessors.com

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Permalink Reply by Smitty on February 25, 2013 at 6:20am

Marcy, did it get approved?  I just wanted to follow up.  I'm JUST starting a Cenlar SS and am curious how your process went.

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Permalink Reply by Marcy Shugarman on February 25, 2013 at 8:46am

Hi Smitty,

My deal was foreclosed on by FNMA. Same story of the valuation issue that we can't seem to get NAR, legislators or the media to call them out on. I had the property under contract and in process with Cenlar for 3 months when it was sold in foreclosure. It was not even scheduled for foreclosure when I sent the contract and full file to Cenlar. Although the foreclosure was a valuation issue with FNMA, my experience with Cenlar was terrible as well. They kept the file in their "underwriting" dept for 2 months and never actually sent it to FNMA. The value was disputed with no change. I got the buyer to raise his price, but obviously could not get above FMV. Ultimately FNMA foreclosed at a price well below our contract price and within a week another short sale unit in the building (same size and a little nicer than mine) closed for the exact price of my contract. I am told by that buyer's agent that they barely got that one to appraise. Clearly I had a good contract but between Cenlar and FNMA it was like trying to run up the down escalator every day.

If you would like details on names and contacts I dealt with at Cenlar please send me your direct email address. Is your file FNMA?

 

 

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