This servicing company is telling me that they "have to" collect 1% of the sales price as a  processing fee to AHMSI, paid by the buyer and must show on the buyer's closing statement.  Is this typical.  Any way to get them to remove this condition?

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I have closed a few files with them, and I have NEVER been able to get around it. Maybe someone here has. It gets to be a tricky issue on the HUD as well. I had one file that they were going to reject the payoff due to the fact that it was not on the proper line (according to them) on the HUD. If it's not paid directly to them, the way they want it, I believe it would go back to the short sale lender. ** Note ** If you double end it, they will not pay more than 4% commission. I consider myself to be quite a fighter, but I couldn't get them to budge. Maybe things have changed in the last few months. I hope so! Good Luck. Other than that, they were pretty easy to work with. Oh...one more thing....if you don't close on time, be prepared to PAY that per diem.
Thank you Laura, They do seem to be easy to work with and timely. I will take note of the great information you have provided. Thank you.

Laura Marshall said:
I have closed a few files with them, and I have NEVER been able to get around it. Maybe someone here has. It gets to be a tricky issue on the HUD as well. I had one file that they were going to reject the payoff due to the fact that it was not on the proper line (according to them) on the HUD. If it's not paid directly to them, the way they want it, I believe it would go back to the short sale lender. ** Note ** If you double end it, they will not pay more than 4% commission. I consider myself to be quite a fighter, but I couldn't get them to budge. Maybe things have changed in the last few months. I hope so! Good Luck. Other than that, they were pretty easy to work with. Oh...one more thing....if you don't close on time, be prepared to PAY that per diem.
This fee is only charged on conventional financing. If you submit your offer as fha you can have them drop it. Hope that helps.

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