From the Archives: Dealing with Wells Fargo
We recently had a situation where the notice/posting of trustee sale date was scheduled for Monday, and we had just uploaded a new purchase agreement and all the necessary paperwork on the previous Wednesday. (Note that no file will be evaluated by Wells Fargo (WF), until all documentation is uploaded into Equator; i.e. a complete file. WF happily provides the document list. If you are in a time crunch, upload what you have. And that which is missing? Upload a placeholder with the title of the missing content.)
Time is of the essence
As of this writing, Wells Fargo guidelines require all documentation uploaded 10 days before the notice of trustee sale (TS) date. WF personnel use the term, “time required to evaluate the file”, frequently. If it is 3 or 5 days before the TS date, WF will ask you to fax all documents.
Postponement of Trustee Sale (TS)
The postponement of the trustee sale hinges on many factors: how good the offer is, how many months the seller has been delinquent, and how many previous postponements of TS. This whole discussion has to take place within a few moments and to the right person; i.e. this matter is being escalated.
How well do you know the neighborhood?
The city of Westchester skirts the LAX runways; some houses are literally three blocks from runways. Knowing that proximity, we don’t need to mention that planes frequently fly overhead, and fly quite low. Airplane noise is so loud and debilitating that the city has double paned all windows and doors of every house in the area. I would think that fact alone would depreciate a neighborhood in the eyes of an underwriter in Milwaukee, Wisconsin or Iowa City, Iowa. Can you imagine being that close to LAX?
How good is your best offer?
The bank is looking for 88% of BPO, broker price opinion. The BPO is a drive by appraisal; something that can be easily challenged with a good CMA. Your job is to know the market value of the home, and to use the market value instead of the BPO to get your offer accepted. The bank needs to look at 88% of market value, not 88% of BPO.
Last Minute Bankruptcy to Postpone the Trustee Sale
Last minute is last minute! If it is Friday and my client is facing a Monday trustee sale date and all escalating has come down to “we cannot guarantee that the trustee sale will be postponed on Monday”, what to do? Let the client file Chapter 7 bankruptcy; bankruptcy filing will stop the foreclosure.
Mona Salem 310 925-4782 | Mona Salem Short Sales & Real Estate Solutions