Comment

Comment by Corrin Martinelli on May 23, 2013 at 3:53am

@Wendy and @Kevin your input has been most helpful! I also asked Ocwen about providing a deficiency waiver and this was their response:

"We are not able to waive the deficiency as the investor reserves the right to pursue the deficiency. It is not their practice, but per the servicing agreement we can't include any verbiage in the approval letter.  I recommend the seller contact the VA concerning the deficiency balance."

It sounds like from Wendy's experience with the VA I am not going to get anywhere there either. 

Probably going to run this all by my company's real estate attorney so I can advise my sellers as to their best option. 

Thanks for all your input. 

Comment by Wendy Smith on May 22, 2013 at 10:47am

I did contact the VA.  Since Ocwen approved the short sale, Ocwen is in compliance with the servicing agreement.  VA has no policy, requirements or even suggestions relative to a waiver. VA cannot require a waiver of deficiency until there is a claim made for the guaranty payment.  The VA told me the % of guaranty on this loan, that is how I knew the difference between the short sale net and the max claim amount.  Further the veteran cannot use his VA to buy another home until the VA is paid back the amount of the claim paid.  

Comment by Kevin - Greenville, SC on May 22, 2013 at 10:38am

Wendy,

Contact the VA.

No.  Unfortunately, some Servicers are incorrectly advising borrowers that Ginnie Mae must approve all loss mitigation and loan modification activities. All loan modifications must comply with the program requirements of the agency that insures or guarantees the loan and must be executed by the loan servicer.  The agencies operate through loan insurance or guaranty programs that back up the borrower’s obligation to pay the mortgage loan at the loan level.  Those agencies are listed in the table below.  Insuring/Guaranteeing Agency

Phone number

Federal Housing Administration 888-297-8685

Veteran Affairs 877-827-3702

Rural Development 800-670-6553

Comment by Wendy Smith on May 22, 2013 at 10:32am

@Corrin,    Ocwen absolutely will not provide any waiver language in the approval letter.  The investor is GNMA - no help there.  As it happens, this is a VA loan and it actually works out better for the borrower to let the foreclosure happen - then when Ocwen submits for the VA guaranty payment; Ocwen must agree to not pursue the deficiency (or doesn't receive the payment)

In this case, the short sale net is a measly $2200 less than the VA guaranty payment,  so it's not like Ocwen will receive much more with the guaranty payment ... the seller offered to pay the $2200.  Ocwen refused.

It's crazy.  

Good luck.

Comment by Corrin Martinelli on May 22, 2013 at 9:58am

@Wendy, I am in the exact same situation as you. I got a short sale approval letter and my clients got a letter stating they could be pursuing the deficency. Any answers from Ocwen?

Comment by Eric L on May 12, 2013 at 3:08am

Is there a new contact person to replace Kathy Robinson now that she left Ocwen? I am in need of getting deficiency waiver, with no luck so far, and only have a week left to close.

Comment by Kathy Deal on May 7, 2013 at 1:04pm

Thanks Bryant

Comment by Wendy Smith on May 7, 2013 at 6:13am

Here's a first for me:  Ocwen sends one approval letter to me, no mention one way or the other about a waiver of deficiency; then sends a different approval letter to the borrower making it clear they intend to pursue the deficency.  I'll drop a line to Kathy but I don't expect much there either.

Comment by Uilani De Motta on May 7, 2013 at 6:03am

@Philip....I totally agree about Ocwen.  Everything you have said is true...they request the same documents multiple times and even after confirming they received them, I've gotten the same request. This is repeatedly on many files.  They schedule call backs and sometimes you get lucky and get the call, but the person on the other end is clueless and you end up going in circles wanting to pull your hair out. Definitely not a EASY lender to work with.

Comment by PHILIP FRANCIS LEWERTH on May 7, 2013 at 12:35am

@ Bryan - Ocwen is easy to work with ??? You must have an inside connection. like others - i have completed 200+ short sales and I have not yet encountered a smooth transaction with Ocwen. in fact - they are getting worse. I have one pending since October and after sending in documents multiple times and having some expire because they have not worked the file , they are "still' saying they do not have everything they need. If after three sets of bank statements, tax returns , multiple paystubs and an appraisal they an't make a financial decision then there is a major internal problem existing. Seven(7) months !!!!

• ‹ Previous
• 1
• …
• 14
• 15
• 16
• 17
• 18
• …
• 43
• Next ›
• Page