Calling the ShortSale Pro
With your experience in this area, I thought you might be a great person to ask. Just got off the phone with Ameriquest (conventional) mortgage and they said they will not even consider a short sale with a mortgage having a junior lien tied to it. Reason being the 2nd would be willing to take the entire loss. Why would Ameriquest be willing to spend the time and $$$$$$ going through foreclosure proceedings versus doing a short sale to cut the time and expense. Although the guy gave me an explanation it still doesn't make business sense to me.
What do you think?
Their willingness to discuss a short sale would depend upon their perceived exposure to loss. The presence of a junior would suggest that there was equity and equity equals cushion. They are in the business to generate revenue. They can earn revenues from foreclosure fees, etc.
If Ameriquest thought that they would be exposed to a loss... they would consider a short sale.
Obviously, they have yet to be convinced.
There is a difference between completing a short sale application, and presenting a short sale proposal.
Shortsale Pro--
Thanks for the education. The guy I spoke to wasn't in the greatest of moods. I'm thinking if he saw the pics of the property, pics of unfinished areas and the comps for the area (there's a mobile home across the road with about a dozen firework stands), he might be more willing to discuss. This house has also been listed with a realtor for 6 months and only shown 5 times. I might give the loss mit a call back and probe a little more.
They did say a short sale could take place if there was only 1 mortgage. How much do you see the 1st willing to discount in most cases?
Thanks again----Jim
I can't say this often enough... the amount of discount depends entirely upon the strength of your Proposal.
There is no rule of thumb.
In my opinion, an application for short sale consideration should only be one part of a comprehensive short sale proposal.
Sending bits and pieces of information won't, in the long run, prove an effective technique.
What do they teach in those courses, anyway? (LOL)
shortsalepro,
i am interested in what else, besides the list the lender requests, you send in.
Anyway you would be willing to share an example?
much thanks
cjs
cjs111@cox.net
Shortsale Pro--
Great news!!!!!! Talked with Ameriquest again last night. Guess the person I was speaking to earlier didn't know what he was talking about. They said under the situations of this house, they absolutely will short sale even with the 2nd mortgage. Guess you have to keep trying until the squeeky wheel gets the oil. I'm putting the packet together today. Appreciate all the advice you provide to us newbies.
Thanks again--Jim
That's promising. They probably said that they would certainly accept a short sale application... and would make a determination based upon the Proposal.
You might want to try to purchase the second mortgage via an assignment.
This will probably be my last post on this message board. Thank you for your kind words. Good luck!
A parting tip: There is a difference between an application, and a proposal. Much like there is a difference between an order taker, and a salesman.
Shortsale Pro--
I hear what you're saying. I have some good ammunition for a short.
Thanks again for your feedback--Jim
what boing on shortsale pro I never receive a reply to my situation. I don't mean to bother you but with your info you are well on you way to senior status.
shortsale pro
Why are you leaving the site..? I hate to be nosy but you have given great advice from the times I have read . Are you starting a site of your own just taking a guess..
any feed back would be nice ..
Much SuccesS,
Manny
JMC Investments & Loan