I have a military family with orders out of state. They have a VA loan through Ocwen and a second through Citi.

Right now we are having an issue of $4610.07. The second lien on the home will only accept a payoff of $8500.00. I was told that Ocwen would not lower their net payoff to cover the second. Without adjusting the net proceeds due to Ocwen there was only room (after reducing my commission and the settlement fee) to give the second $4000.00. This last month the buyers decided not to continue waiting and walked away from the contract. I was able to get a new buyer within the week and negotiate a higher contract price to include the needed funds to pay off the second.

I received this email from the Ocwen nogotiator "This is a VA loan and the MAX that can be give to the 2nd lien on this loan to be exact is going to be $3889.93."

I replied with "Can you please clarify this for me. With the last offer the 2nd was getting $4000.00 and when asked for more you said no because of your net. Now we have an offer that will compensate."

The reply was "I gave you clarification"

With no help from the negotiator I tried to find other option. I spoke with the VA  and was told this was an Ocwen issue. The VA will only pay the guaranteed amount on the difference. However Ocwen can take the loss upon themselves. We are only asking for $4610.07.

Does anyone have any ideas, on what my next move should be? I know there were some comments on other discussions about paying it outside of the HUD. My sellers can't afford to pay the difference and I am not sure how to make that work with the buyers paying it. I could really use some help.