I am a seller with a Ginnie Mae VA loan with Wells Fargo as servicer. Do I need to be delinquent on mortgage payments to get approval for short sale? Also, Wells Fargo told me that Ginnie Mae is the investor for my loan and thus responsible for deciding whether to waive the deficiency. But Ginnie Mae's website says "Ginnie Mae does not make any servicing determinations in connection with borrowers' loans." Anyone have any experience with this?
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I have never even heard of this. If it's a VA Compromise Sale, the lender, Wells Fargo, is delegated to implement VA guidelines for approval.
Adam,
Just attempt to move forward with your VA short sale with Well's Fargo while being current on your mortgage payments. You will be advised quickly if they won't move forward without you being delinquent. If my memory serves me correctly, you may be able to complete a VA short sale while being current. What state is this property located in?
If you have any questions or concerns please feel free to contact us at our door is always open.
Brett@ishortsalenow.com
www.ishortsalenow.com
310-564-6389
Forget you've ever heard about Ginnie Mae, they don't matter. It's VA Guidelines in regards to the Compromise Sale that will need to be followed.
Does Ginnie Mae have to approve my loan modification?
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
Public and Indian Housing 800-561-5913
Does Ginnie Mae have a loss mitigation loan program?
No. The collateral for Ginnie Mae-guaranteed securities consists of loans insured or guaranteed by the Federal Housing Administration (FHA), Veterans Affairs (VA), Rural Development (RD), or Public and Indian Housing (PIH). It is the agency that insures or guarantees the loan that will provide loss mitigation option
http://www.ginniemae.gov/issuers/FAQ's_loan_modifications.pdf