Do All Lender To The HUD Pre-Foreclosure Sale Program?
I am working a SS with Homecomings. It is an FHA loan. The Loss Mit rep says that she has done many SS on FHA loans and that they are handled no differently. There is not any special paperwork (No Application to Participate and no Homeowners Conseling Certificate). Can she be correct or do all lenders participate in the PFS?
Thanks
Brenda
FHA preforeclosure short sales (PFS) require that the Seller submit a HUD-90036, and, if qualified, will receive a HUD-90045.
The rep you spoke with must be an entry level clerk gathering basic info before handing the file off to the FHA loss mit clerk.
I have done the application to participate several times. but never received (of course I am not the homeowner) nor seen the approval form.
So, do all lenders (especially a large one like Homecomings) participate in the PFS program?
Brenda
To the best of my knowledge... if the servicer services an FHA insured loan... they must, repeat, must, adhere to the FHA Loss Mitigation Program... whether or not the Seller qualifies for relief is another matter.