I have a short sale that I initiated in December. The seller was accepted in to the co-op program and I was given a suggested list price. The property was listed and because the sale date was scheduled in January, the seller moved out in case a postponement wasn't granted. All the feedback received was negative as a result to damage to the structure of the house. We finally got a low investor offer and we submitted it to the bank along with photos of the damages and copies of all the negative feedback we had received.
In the interim, we received a postponement of the January sale date as well as the rescheduled April 4th date, which was reset to May 30th. I also asked for another postponement. We finally received an approval 10 days ago for the offer price and the seller receiving over 28k. The buyer scheduled the inspection right away. To my horror, the buyer walked during the inspection period!!
Since I did get a back-up cash offer with a zero inspection period, I called the closing officer right away to see if we could get a soft decline and move through with the new buyer. They said no because the sale date was within 14 days and sent me a decline letter. The very next day, the sale date was cancelled.
I contacted the negotiator that I had been working with to see if she could assign herself to the file since she was familiar with it and she responded that the seller no longer qualifies for the co-op program because "it has surpassed the 120 day marketing period"!!!
Can anyone offer any suggestions on how to handle moving forward as quickly as possible and is it true that the seller no longer qualifies for the co-op/HIN program? I have this other contract so does that disqualify the seller for these programs?
As if things couldn't get worse, the seller's HOA just sent her account to an attorney. The seller said they tried to pay as long as possible but just couldn't anymore since they are paying rent.
Any insight as to what the best way to move forward would be greatly appreciated!! Thanks in advance.
Hello Ana ... I suggest you AND the seller/borrower call BoA at 1-866-880-1232 and try to re-initiate a short sale and let them know there is an offer on the table.They may offer a "traditional" vs the cooperative ss. However, the ss would have to start from scratch again. It may be worth the try. .
Since they cancelled the foreclosure .. get into whatever program they will allow.
I am new to the program. Please keep me informed.
Dilbeck Real Estate, 805-367-9165