Fannie Mae and Freddie Mac Updated Short Sale Guidelines

(Quote) Education is the most powerful weapon you can use to change the world.

"Nelson Mandela "

There have been several changes over the last 6 months with short sale guidelines. It has always been important for me to make sure you are all up to speed with the most current information so you will be able to ask the right questions and set proper expectations with your buyers and sellers. Staying on top of these changes will only allow you to better explain to your potential clients what to expect moving forward. In addition to being well versed in short sales and charming your clients with your knowledge; you will bring some much needed peace of mind back into their lives. It is no secret that losing your home is no picnic and this is a very stressful time for them. Be your clients glimmer of hope for a knew beginning, a new chapter. One homeowner at a time, we can make a difference.

Below are the most recent changes with the government backed loans and Bank Of Americas Cooperative short sale program:

Loans owned by Fannie Mae and Freddie Mac will take longer than a regular short sale. The investor has to sign off on the value and their review process takes 45-60 days to complete. In addition; Fannie Mae and Freddie Mac first liens will only give 10% up to $6000 to second lien holders and no other parties can contribute to the second lien payoff.

A great way to be able to set expectations with your clients is to ask them if their loan is owned by Fannie or Freddie. ( See seller interview questions) If they are not sure they can go to the government sites and get that information by entering the property address.

EXTRA TIP OF THE DAY

Bank of Americas Cooperative short sale program that offers incentives for homeowners to short sale their property has stated ; if the second lien has Mortgage Insurance, the homeowner will NOT qualify.


For more information please contact Cari Drolet, Lotus Realty Group at 858-764-7300 or by email cari@lotusrealtygroup.com

Call us today and let us show you a system that works to help you expand your business and effectively and efficiently close short sale transactions.


LOTUS REALTY GROUP
PROFESSIONAL SHORT SALE NEGOTIATORS


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