Bank of America Announces “Quicker” Short Sales
In mid-April, Bank of America announced the roll out of a new and more efficient short sale process. Bank of America claims that this new shorter and quicker process will allow for decisions on short sales within twenty (20) days. Although many in the short sale business remain skeptical of whether Bank of America can meet such a timeline considering the prolonged short sale process of six (6) months or more, Bank of America has already made some changes that are immediately noticeable.
Bank of America is still utilizing the Equator system. The Equator system is their real estate software program that allows Realtors and Attorneys to communicate online with Bank of America short sale negotiators. However, Bank of America now requires most of the short sale documents required for them to process a short sale to be submitted upfront upon initiation of the short sale. In the past, the Bank of America negotiator would request certain documents upon initiation and then continuously ask for additional documents through the first two (2) to four (4) weeks. Now, they immediately ask for the Tax Return verification, Purchase Contract, Bank of America Short Sale Addendum as well as the estimated fees to close. These documents must be completed and uploaded to the negotiator prior to Bank of America even considering the short sale. This new change alone should reduce Bank of America’s short sale processing times, but it requires that Realtors and Attorneys gather more documentation upfront.
If you are considering a short sale or would like to know if there are alternatives to short sale, please do not hesitate to call our office at 305-227-4030 for more information.
Ray Garcia, Esq.
www.raygarcialaw.com
Board Certified in Real Estate
Law by the Florida Bar
Tips to Avoid Mortgage Modification Scams
1. Beware of anyone who is not an attorney and offers assistance in modifying your loan
2. Beware of anyone who asks you to pay a fee in return for advice, services or the modification of a delinquent loan.
3. Beware of anyone who carries themself out as a non-profit organization or government entity.
4. Beware of people who pressure you to sign papers immediately or who try to convince you that they can “save” your home if you sign or transfer over the deed to your house.
5. Do not sign over the deed to your property to any organization or individual unless you are working directly with your mortgage company to forgive your debt.
6. Beware of anyone who charges large upfront fees they will run with your money.
7. Never make a mortgage payment to anyone other than your mortgage company without their approval.
If you have any questions or concerns please do not hesitiate to call our office at 305-227-4030 for more information.
Ray Garcia,Esq.
Board Certified in Real Estate Law
by the Florida Bar
www.raygarcialaw.com
The Basics of the Home Affordable Refinance Program (HARP)
There are some very basic requirements that will allow you to determine whether you may be eligible for Home Affordable Refinance Program (HARP) if you meet all of the following criteria:
•The mortgage must be owned or guaranteed by Freddie Mac or Fannie Mae.
•The mortgage must have been sold to Fannie Mae or Freddie Mac on or before May 31, 2009.
•The mortgage cannot have been refinanced under HARP previously unless it is a Fannie Mae loan that was refinanced under HARP from March-May, 2009.
•The current loan-to-value (LTV) ratio must be greater than 80%.
•The borrower must be current on the mortgage at the time of the refinance, with a good payment history in the past 12 months.
Ray Garcia, Esq.
Board Certified in Real Estate Law
by the Florida Bar
www.raygarcialaw.com
