Freddie Mac Won't Postpone a Foreclosure Sale if They Have Not Alrady Approved the Short Sale??

I have a BofA short sale.  Good offer received more than 2 weeks prior to the foreclosure sale date.  Negotiator requested some updated Seller financial docs and would not order a BPO until he had those.  Also had to get the Freddie Mac Short Sale Addendum signed and notarized by all the parties.

I kept requesting a postponement of the foreclosure sale date (scheduled for 10/24). Finally, last Thursday, the Negotiator informed me that they are not allowed to request a postponement if the investor has not already approved the short sale!  I escalated through Equator with no response.  I called SS customer support -- they just read the Equator notes and sent me back to the Negotiator.  I called the Negotiator's Manager and he said the same thing.  I told him that this was not my experience and he tried to tell me that the policy had changed "in the past 6 months".

The BPO was finally ordered Friday evening (10/21). The BPO agent contacted me for entry and I explained our time crunch -- she put a rush on it.  BofA Negotiator acknowledged receiving the value Monday morning the 24th.

No postponement; property went to foreclosure sale at 10 am Monday, 10/24.  No bidders -- property reverted to the Beneficiary.

Today I received a BofA short sale decline letter stating that the reason for the deline is that the short sale was submitted to the Investor and declined due to "(insufficient offer, not willing to sign a deficiency agreement, or contributing to the loss)."

I sent a message back to the Negotiator asking to confirm that this was, in fact, submitted to the Investor -- which I doubt.

Has anyone else come across this:  cannot request a foreclosure sale postponement if Freddie Mac has not already approved the short sale??

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I don't get many freddie, plenty of fnma.  If freddie is 1/2 as bad as fnma, they don't care.  Both are fed bailouts sucking from the taxpayer and fnma made it clear to me that they are fed employees with no cares (btw, getting another $5.1BB fed bailout).  At the individual property level, they are beyond useless and think in political terms of thousands at a time.  My point is that the investor is not doing its job but that is because no one makes them take their jobs seriously.

BOA is a servicer - they are like a big dumb army of Catch-22 style.  They are paid to "manage" accounts and every successful short sale is a loss of revenue.  Your property just went to their REO dept where, likely because of an inflated BPO, will sit months longer - and with their poor property management, possibly water damage will make the value lower and make it sit longer thus bringing in more management money to BOA.

Basically, it is a painful system which rewards BOA to stop short sales and rewards the now fed freddie/fannie to simply be fed employees with no responsibility.  The real entity paying for this is the taxpayer, and you can see what pull we have..

So, yes, we see things like this way too often and I am explaining the dynamics to show you what I've found.  If you find someone who cares and can do something, please post it.  I'd love to make them take their jobs seriously - for all of us.

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