Replies to This Discussion

Permalink Reply by Robin Lemmons on November 26, 2013 at 5:08am

Please help! I have a FHA seller who has been relocated for a job and is current on his mortgage. Bank of America is declining the short sale as they are saying it is non-owner occupied. Is that the way FHA interprets non-owner occupied? Seller is the owner, just not currently living in the property. Hopefully, there is a concrete answer somewhere, otherwise, it is a play on words. Please respond as soon as you can. Thank you!

Permalink Reply by Shawn Wilkinson on November 26, 2013 at 5:33am

Escalate immediately. Go right to HUD. The only reason they would decline due to job relo and not being owner occ would be if owner stated they are not maintaining property. Either that or you are about to get transferred to nationstar and they are slow rolling the process. 

Permalink Reply by Robin Lemmons on November 26, 2013 at 5:38am

Who should I contact to escalate. I have never had any success with FHA escalation.

Permalink Reply by joe beauchamp on November 26, 2013 at 5:54am

Send your authorization to [email protected], include the account number, preferably the HUD number. Put in a short explanation and your phone, they often will call you when they get it. With BofA, if you call in, they will simply forward you to usually some nimrod at BofA, sometimes they don't even deal with short sales - useless. Call HUD back and explain why the call didn't work and they will escalate you to a real HUD analyst who has a brain.

Permalink Reply by Robin Lemmons on November 26, 2013 at 6:10am

Thank you. I hope this works as I have tried to escalate to them before and they turned it right back over to the servicer.

Permalink Reply by Guerry Clegg on November 29, 2013 at 3:03am

A few weeks ago, my BoA contact told me they were declining my seller because she had too much positive cash flow at the end of the month. I knew this didn't seem right so I asked her to hold off on the decline until we could be sure. She did, and about 2 days later my seller was approved. Turns out there's new software or something that they are struggling to learn. She had plugged some numbers into the wrong places, which made it seem like she had a surplus of $3,000 a month. So if you get a decline on FHA, ask them to give you at least a day or two to be sure.

Permalink Reply by Robin Lemmons on November 29, 2013 at 7:31am

That is what happened in this case. I just received an apology from the negotiator for the confusion.