We handle short sale files day in and day out. We keep an eye on any trends or changes on how banks/servicers handle short sales from week to week. At the present time we are receiving most short sale approvals 60 to 90 days after submitting the short sale package. This is a change from…
What Agents Say
So according to several whistle blowers that used to work at BOA, it turns out that the BOA reps in the Loss Mitigation Department were paid cash bonuses to shut files down and move them on towards foreclosure. Shocked? I’m not. My staff just smiled and nodded when we read this. That is because we have seen it first hand for years. I usually warn an agent or seller that if we are going to attempt a short sale with BOA it will probably be a little frustrating and ugly.
The short sale file is often shut down for no reason by the BOA negotiator. I have had a negotiator request a document and only give us until ‘end of business’ to get it in “or the file will be closed!” As is often the case, it was a document that all the parties had to sign and the buyers are out of town on separate trips. Somehow we managed to get all of the signatures and the document into the negotiator by 5:00 EST (even though she was on PST). Whew, that was close! Well, she closed the file anyway.
When a file with BOA is closed there is no appeal. The only option is to start over. Having handled hundreds of short sales, we are ready for such an event. We immediately resubmit the short sale and escalate the file to a higher level with an accounting of the unfair treatment to propel the file forward to completion.
The good news is that BOA shenanigans are now out in the open. The PR department will get involved and deny this as anything other than a rogue element in the lower branches of the company. The old policy will probably quietly be changed to reflect the more caring and empathetic BOA and maybe, just maybe, the BOA short sale won’t be so ridiculous. I am not holding my breath though.