Fannie Mae and B of A!! HELP...Junior Lien Approved!!

Hi,

I need some mind ease!! I submitted an Offer back on July 15,2011 at that time it was "approved shortsale" which reading up on this forum (excellent by the way) I realized that doesnt exist. Anyhow I offered the previously approved amount of $133,000 I guess buyer walked then one month later I came in and offered that amount. Long story short everything has been going not fast enough but considering other stories it has been moving. ON September 21st 2011 last friday my agent called that seller emailed her that junior lien approved and they have the approval letter and wants closed by 11/15/2011.

Now Fanni Mae has the B of A 1st loan and is disputing $160.00 YES $160.00 of which my agent and seller agent have offered to pay out of pocket or comission. Even I offered in order to close this. WELL no Fannie may wants Junior Lien to pay from there 6%. So thats where we stand, seller agent has been negotiating all day and calling the junior lien ect.

How much LONGER?? can this really be a "No Deal" for $160.00 that ANYONE in there right mind would pay to close this?? the Home is Literally Turn key ready the owner has kept paying the lanscapers, has moved out and wants this done. My agent says were close and to have patience, welllll I lack the patience gene, someone please give me so ease.

Thank you!!

Thanks

Cody,

Im not sure what they want the $160.00 for. My agent said that Fannie has the file and that they havnt delivered the approval letter because they want $160.00 more. the Junior lien delivered the approval letter on friday 9/21/2011 and my agent as well as the sellers agent have both offered fannie mae to pay the $160.00 they WONT accept contributions they want the junior lien to pay out of there 6%. since the junior lien already gave us an approval letter if they agree to give Fannie the $160.00 will we now be waiting for 2 approval letters again?

im reading your questions and as you know im the buyer so some of these terms and procedures I still dont understand, are those questions I should ask my agent to forward to sellers agent?

Thanks :)

Replies

Cody Lampariello September 29, 2011 at 4:12am

Yes you are correct. Unfortunately even though BoA has stated they can now switch buyers and most people believed them anyone who has tried to accomplish this will tell you it is a complete farce. That being said this should be something that is fairly easily handled.

What do they want the 160.00 for?

Are they looking for a direct payment to someone on the settlement statement or are they saying that 6% of the 2nd loan value is this reduced amount and they just want their net increased to compensate?

With a little more information there may be some avenues to take to get this done. Feel free to contact me to discuss.
- Aracely > Cody Lampariello September 29, 2011 at 4:38am
  
  Cody,
  
  Im not sure what they want the $160.00 for. My agent said that Fannie has the file and that they havnt delivered the approval letter because they want $160.00 more. the Junior lien delivered the approval letter on friday 9/21/2011 and my agent as well as the sellers agent have both offered fannie mae to pay the $160.00 they WONT accept contributions they want the junior lien to pay out of there 6%. since the junior lien already gave us an approval letter if they agree to give Fannie the $160.00 will we now be waiting for 2 approval letters again?
  
  im reading your questions and as you know im the buyer so some of these terms and procedures I still dont understand, are those questions I should ask my agent to forward to sellers agent?
  
  Thanks :)
  - Cody Lampariello > Aracely September 29, 2011 at 4:53am
    
    I didn't even look and notice you're the buyer. In most cases like this I would reduce the amount that Fannie is paying to the 2nd mortgage in order to get the approval and then have you pay the additional 160.00 to the second in order to not mess with the approval letters.
    
    However it sounds to me like this may be HAFA or the Co-OP program which have some stricter guidelines. If thats the case the 2nd may be asking for 160.00 more than the 6% they are alotted. In that case the only option may be to get the 2nd to adjust their approval letter. In any case your agents should be able to figure it out. If not have them contact me and I will give them some free advice.
    - Aracely > Cody Lampariello September 29, 2011 at 5:03am
      
      Cody,
      
      I think this is HAFA, when we first started the deal my agent mentioned the seller was going through the HAFA program, so that means the junior lien holder is the one that needs to adjust which is why the sellers agent said she was on the phone with them all day yesterday. Its not a LARGE amount and rather Rediculous if you ask me, I even offered them $200 and keep the change just to close the deal.
      
      Thats when my agent said she and the sellers agent had offered to pay as well but Fannie Mae said NO CONTRIBUTIONS only from the Junior Lien. I really appreciate your responses and the time you took to give me some peace of mind. Does this take much longer at this stage? I just need to close this deal or im going to loose my mind. Sorry...
      
      Thanks!
Bryant Tutas September 29, 2011 at 1:44am

Well it certainly sounds like you are almost there. I'm sure they will figure out this very small hurdle. And yes Fannie Mae can be a pain in the rear over the craziest things!! Hang in there.
- Aracely > Bryant Tutas September 29, 2011 at 4:34am
  
  Thanks so Much!! I know the sellers agent was on the phone all day yesterday wanting to get this resolved. I dont understand why they wont take it from anyone but the junio lien and its ONLY $160.00 that is holding this up. I know the junio lien wants this closed by 11/15/2011 I just dont know how long Fannie Mae takes to come to some agreement and deliver us an approval letter. are they usually firm on there negotiations or should I be optimistic that one way or another $160.00 will not kill our deal? :(
  
  Thanks for your reply!

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