Has anyone seen more realistic valuations coming back from Fannie Mae for short sales? Does the BPO dispute process get results? I've had some Fannie Mae short sales over the last year that were unsuccessful due to Fannie Mae's unrealistic expectations on price (as much as $25,000 above comparable sales). Any idea what percentage of Fannie Mae short sales actually close? Just wondering if Fannie Mae short sales are even worth pursuing given the time and stress involved for sellers, buyers, and agents.

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Fannie Mae is very unrealistc in the areas i deal with, (MICHIGAN FLORIDA ILLINOIS) but I been very successful in doing rebuttals on this. I go to realcomp and get the last thirty to fourty five day comparables and i do a cma of the area, 9 out of 10 times they agree with my rebuttal. Its a lot of paper work but thats it.

Gary Grossman

I just got lucky I guess.  FNMA with Nationstar under contract since November.  Purchase price 123k, counter from Nationstar at 150k.  I did the FNMA dispute through the Homepath site, 3 comps.s, basic stuff (comp.s $135-140k) one and a half weeks ago.  Yesterday I get "complete task" for the counter offer, today I got the approval letter for $123k. 

Who knew?

Todd, The online dispute got us nowhere (offer at $189, Fannie value came in $230) until we had the buyer get his own appraisal which came in at $208.  That number was accepted and we closed no problem as the buyer really wanted the house and came in with more money.  The appraisal seems to be working.

Wendy, that's good info - we have paid for appraisals in the past and been totally ignored. Maybe FNMA is now coming down to realty reality when forced with the recent heat and a licensed appraiser.

Thanks to all for your feedback. Sounds like it's really hit and miss with Fannie Mae, perhaps depending on the negotiator assigned to the file. I just got Fannie Mae approval on a short sale - buyer had offered $183,000 and Fannie Mae's value came in at $196,500 (based on top comp in the area). After a few counters back and forth we ended up at $193,500. Fortunately, with prices going up so quickly we now have 4 comps that can support this, otherwise we probably would have lost the deal.

I have been successful with value disputes when the negotiator won't budge and "blames" Fannie Mae for the counter requirements by going through Homepath.com.  Click on the short sale tab and then scroll down to the escalating a short sale option.  They will assign you a contact who can help with the dispute and is much more reasonable to work with then some negotiators.  Good luck!

Fannie Mae actually wants the property to get sold at auction and be foreclosed.  they are heavily invested in credit default swap insurance products and have HEAVILY INVESTED in betting against people.  The foreclosure, in many cases triggers the payment of the note baqlance in full to the lender (actually up to 10 times the face value of the note) and then they actually still steal the home when in Reality, they have already been paid through credit default swap insurance products when the loans have been securitized.

Its a racket for sure...and someday they will fall hard.  Why do you think you hear sellers that have had their loan securitized tell you that the people they spoke with said "you have to be behind 90 days before you can get help"  its entirely so the insurance triggers and the payoffs go the the lender dsirectly.  Then the servicer (the debt collector) steals and forecloses on your home and resells it for a 100% profit.  Nice huh?

and I specialize in short sales...but only do about 40-50 a year.  You would be surprised to know what you DONT KNOW!!!


I have closed numerous short sale transactions with Fannie Mae successfully and I've been doing short sales since the early 1990's. I have a short sale closing next Monday with Fannie Mae. They increased the price by $23,000.00. I believe what is currently happening with the market increasing since January 2013 is some of the current closings are from properties that had been waiting 90+ days for short sale approval and our market was still down at the time those properties were originally listed, but the Equity sales and REO's that have closed since March at are much higher prices.  I redid my market evaluation when Fannie Mae came back at a higher price and showed the buyer that we had no bases for disputing the value. However, if that is not the case in your market, you can dispute the value, but Fannie Mae requires you to submit all documentation initially in your dispute, because they only give you one shot at disputing the value. I got this information first hand in a live webinar yesterday morning from Fannie Mae.  I hope this helps.

Angelique Marriott


No.  You have dispute it directly with Homepath.  Don't go through the Lenders.  They are useless.



I was directed to the Homepath site to dispute a high value. I am supposed to have a response within 7 business days from FNMA. I am curious to see if the dispute process works as well as I have had this listing since January as an "Uncooperative" short sale through Bank of America.


I go through this all the time but when I do a rebuttal I also put a time limit on it, my language I utilize is that time is of the essence "buyers are ready to walk" I need to get an answer back by (usually give them 72 hours).

Gary Grossman

Good advice Gary. Too bad I already submitted it on Saturday, SIGH!!



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