Question Details

Amir Shahkar…, Real Estate Pro in Cupertino, CA

Can you help me with my short sale issue with Wachovia Mortgage?

Asked by Amir Shahkarami, Cupertino, CA Wed Nov 5, 2008

This Sunnyvale home was listed with another company for $ 1,300,000 on 4/23/2008. The owner hired me on 8/13/2008 to sell it for $ 1,200,000. The owner has about $ 1,050,000 loan on this home and she owes months of back payment, penalty and etc. On September 15, 2008 I sold it for $ 1,010,000 and three days after that Wachovia mortgage accepted to take a short sale and accept $ 1,010,000 in place of the original loan, back payments, fees, realtor commission and etc that amounts to almost $ 1,150,000. A couple of weeks after that date the buyer got scared of the financial meltdown and cancelled the contract. Late in October I advertised this home as a pre-foreclosure, got a number of offers on it. On Oct 27, 2008 I got 3 offers of $ 900,000 on this home and 15 other offers of less than $ 900,000. I sent the three offers of $ 900,000 to Wachovia Mortgage. Now Wachovia Mortgage does not want to accept this new price. Are there any magic words that I can tell Wachovia mortgage to convince

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14
No magic words here. Wachovia is a good bank and very competent when it comes to short sale options. You need to convince the bank that the lower offer is a good one by submitting credible market analysis reports, potential foreclosure and REO costs to the bank. Banks understand numbers more than words.

I think there is more to your story as to why Wachovia will not accept a new price. I have completed many short sale option deals with Wachovia/Wells Fargo and find them to be the easiest financial institution to work with no matter how complex the deal is.

Can you offer more information on your situation?
0 votes Thank Flag Link Wed Jun 16, 2010
Wachovia is a good lender to work short sales with. The Wachovia Fast Track Short Sale Program now offers $5,000 back to sellers who complete a short sale. We have a group set up for agents to discuss short sale experiences with Wachovia: http://www.theshortsaleguide.com/group/wachovia

There is no cost for a short sale to borrowers in financial hardship. This first step is to find a local Wachovia Short Sale Agent. Check out:
0 votes Thank Flag Link Wed Jun 16, 2010
Wachovia is a good lender to work short sales with. The Wachovia Fast Track Short Sale Program now offers $5,000 back to sellers who complete a short sale. We have a group set up for agents to discuss short sale experiences with Wachovia: http://www.theshortsaleguide.com/group/wachovia

There is no cost for a short sale to borrowers in financial hardship. This first step is to find a local Wachovia Short Sale Agent. Check out:
0 votes Thank Flag Link Wed Jun 16, 2010
Amir
You just need to step up and negoiate with whatever tools you have. Cash buyer, they love that. Also they know the market is down. Are there any comps that you can send them to prove it is a respectable offer. Really on such a high end property they are not loosing much and that is a good thing. They are loosing that much on lower end homes so put it in a ratio percentage to show it is not a big lose. Tell them if you loose these buyers they may loose even more due to the fact that most offers are below the $900,000. Convince them to take while the taking is good and they don't own more property tax and the house goes downhill due to neglect.

Good Luck!!!
Web Reference: http://www.di4homes.com
0 votes Thank Flag Link Wed Mar 24, 2010
It looks like your post was made back in November 2008. Well, I'm happy to say that Wachovia has come along way since your post.
As an approved Wachovia Short Sale Agent I can tell you first hand that if this transaction would have happened about 24 months later, in todays world~~~you would have had much less challenges in getting an approval. Wachovia now has what is called the Fast Track Program where the short sale can be approved and closed in about 45 days, ~~~from start to finish~~~
Wachovia meets with the homeowner and approves the short sale on the spot. My Wachovia contact makes the process as seamless as possible and relieves the borrower of stacks and stacks of paperwork and endless months of approving the short sale. I hope your problem was solved and you were able to put your clients back on the road to financial recovery.
Web Reference: http://www.sherrykhomes.com
0 votes Thank Flag Link Wed Mar 17, 2010
Really easy answer here.. as another guy said below.. YOU HAVE A CASH OFFER!! Talk to a manager/supervisor and ask them if their investor would be happier with an REO, money no-where close to what the property is worth and another one "on the books" if it goes to auction.... OR.. a cash payment of $900,000.00 within a VER SHORT AMOUNT OF TIME?!?!?! I guarantee that your offer will be accepted and auction pp'd as long as needed.
0 votes Thank Flag Link Tue Mar 16, 2010
IF YOU WANT I CAN GET THIS DEAL DONE.

I'M CLOSING ONE ON MONDAY WHIN WACHOVIA AND I KNOW HOW TO DO IT.

SEND A E-MAIL IF YOU WANT ME TO DO IT , LUCIOREALTOR@GMAIL.COM
0 votes Thank Flag Link Fri May 8, 2009
call me...they have a different business model...I can help you!
Web Reference: http://www.cindihagley.com
0 votes Thank Flag Link Thu Nov 6, 2008
The Hagley G…, Real Estate Pro in Pleasanton, CA
MVP'08
Contact
The biggest reason your short sale is not being accepted is they have moved out of the property. The bank then considers the property abandoned. In a short sale the bank sets a goal of accepting a net of 80% what the home owner owes plus costs of the short sale. If your offer is under that, it is very unlikely they will take it under normal circumstances, but again once they move out, they are not eligible for a short sale. . If it goes to foreclosure, in most cases the private mortgage insurance company will pay the bank 80% towards the foreclsoure so the bank does not have to take less in there eyes . .Looks like my old answer got deleted Amir...hopefully this one wont
Web Reference: http://www.ScottSellsNH.com
0 votes Thank Flag Link Thu Nov 6, 2008
My solution to this problem would be to do a CMA (comaprative market analysis) and if the home comps out to that amount, give that information to the bank and take it from there. Or, have an appraisal done on the property. No guarantees that either will work but they are worth a try.
0 votes Thank Flag Link Thu Nov 6, 2008
I have an investor that negotiates the short sales with the banks and once it is sold, he gets 50% of the net
profit and I get 50%.

His specialty is for properties that sell for more than $1 million.

If you migt have an interest in looking into this avenue, we might be able to help you.
0 votes Thank Flag Link Thu Nov 6, 2008
Your problem is you have too many offers, three at $900K. They might think they can do better.

You can ask them that: 'One fell out of escrow already, do they want these to fall out of escrow and see the prices drop further?"
0 votes Thank Flag Link Thu Nov 6, 2008
Sylvia Barry,…, Real Estate Pro in Marin, CA
MVP'08
Contact
"Magic Words"...had 7 transactions similar to thisone; (won 5 out of the 7)

Words spoken directly to mitigation negotiator were..."which would you like $900,000 cash in 10 days or another REO?" (Foreclosure in their inventory) dave meyers, broker Meyers & McCabe Realtors, Inc. Fairfax, Va. 22015
0 votes Thank Flag Link Thu Nov 6, 2008
Here is some additional information on this question:

Now Wachovia Mortgage does not want to accept this new price. In the time between September 15 and October 27 there have not been any closed sales in the neighborhood of this Sunnyvale home. The owner is in process of filing bankruptcy. Once the owner is in bankruptcy Wachovia mortgage would have to spend a lot of money and it will take them another 3 to 6 months to foreclose. In addition the owner has moved out and disconnected all utilities. The pool cleaner does not work so the pool is getting dirty real fast. Also the landscaping is dying due to not being watered. Wachovia mortgage has not set a foreclosure sale date for the house. The owner is not paying the mortgage and Wachovia mortgage is losing about $ 7000 in mortgage payment.
Are there any magic words that I can tell Wachovia mortgage to convince them to take the new sale price? Any help would be highly appreciated.
0 votes Thank Flag Link Wed Nov 5, 2008
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