Does anyone know how to fight PNC on paying our fees? We have facilitated it and settlement is tomorrow yet PNC NOW says they wont pay us what they had originally agreed to on the approval letter. Anyone at the bank I can speak to? Any assistance would be greatly appreciated.
They wont pay your commission? Who is the investor?
The problem is, we are not agents. We are short sale negotiators and we facilitate it all the way to settlement for the agents. Usually we put our fees on the seller's side of the HUD, but of course, most of our fees get cut. This time, PNC refused to pay us. The negotiator did not make it seem as though it was an investor guideline, but more of a PNC rule. Do you have any knowledge on this? Any way of getting fees approved?
You won't be able to close if that's the case. Is that something they VERBALLY stated? You have a short sale approval (which is a written contract) of what they would and wouldn't pay. Title has to go by that letter. LOL..I would close and then let them try to reverse it. If you meet the terms of the approval, let them say why they would try to reverse it and send a letter to the office of the comptroller TODAY.
Many lenders wont pay a 3rd party 'negotiator'. Realtor negotiators get the fee in the commission and attorneys in a high closing cost. The fee should have been in the preliminary hud and the same final hud (for approval 24-48 hrs prior to closing). I'm guessing they wont agree to the final hud..? In My Opinion you took a huge risk trying to get paid as a separate fee and in the future I would work out a co-listing with the listing broker for a %.
This is not servicer based it's investor based, and depending on which investor it is, they do pay 3rd party fees. Fannie mae has specific guidelines on how they pay 3rd party fees, and they are one of the largest investors out there.
The approval letter is a contract. So long as you follow the terms of the letter, you should be able to close. I would escalate to upper management within PNC if it is a final HUD issue. Good luck and post back and let us know what happens.
On the prelim approval PNC reduced our fees, which is standard. When we got final HUD approval, they cut ALL our fees. We had to close so we just took the loss. We have a couple more with PNC, but now I'm hesitant on how to go about attempting to get paid. In MD we are not allowed to charge seller's and we do not charge agents.
Charge the buyer.
This is why 3rd party fees should NEVER be on the sellers side. If you are a 3rd party negotiator, PM me for details.