Representatives from BofA, Chase and Wachovia/Wells Fargo give tips on what to expect in 2011.

In 2011, there are to be NO postponements of Trustee Sales and NO extensions of closings on Short Sale Approvals past the approval date.   The goal is to clean out the inventory of homes to be sold as short sales, as quickly as possible and put into place new procedures have been put in place to speed up the approvals.  Wachovia has cut down paperwork to 13 pages and a representative will meet with real estate agents to provide an approval within 14 days.  There will also be a set paid commission of 6%.

In addition:

• For clarification, the banks consider themselves NOT the lender because once the borrower goes into default, they become the “Debt Settlement Companies” on the loan.  This adds a new perspective for the seller who thinks they can stay in the property forever without paying.
• They will NOT pay attorney fees (to attorneys who have been hired by the borrower to fight the foreclosure).  If it shows up on the HUD, it will be removed and will become  the borrower’s responsibility.
• They will NOT pay a 3rd party negotiator fee if it is in addition to a commission already being paid to the Listing Agent.
• All three companies are willing to work with REALTORS who truly have their client and the investor’s best interest in mind.  They do have issues when the same agent/broker is on both sides of the transaction or, if the submitted offer is ridiculously low-balled and has not been countered for “Best and Final”.

More Information About Short Sales
Short Sale Process – Steps in a Short Sale Process - California Short Sales – Wells Fargo Short Sale Process