Upside Down Mortgage

Posts Tagged ‘us loss mitigation processing’

Loss Mitigation Processing

Question: Loss Mitigation and Short Sales?

It seems to me that the only difference between gathering information for Loss Mitigation and a Short Sale is the sale and purchase contract (Short Sale). Basically the rest of the information to process the 2 are the same. Is this true?

Answer: You are correct. You are re-qualifying the homeowner as if you were turning back the clock. Did they lie on the original application. Do they have more assets than they are claiming. Are they willing to share the loss..

Short Sale - Part 4: Real Estate Foreclosure Prevention - Mortgage Bailout Process - Negotiate Free

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Loss Mitigation Process

Question: A home owner was to 1st fill out his "loss mitigation" package, Then list the home with a realtor...?

This was to set the "short sale " process in motion. After it was listed I was to place a bid, and the appraisal would take place. THE OWNER HAS DECIDED "HE IS GOING TO BE THE LISTING AGENT?" is this a valid approach in the eyes of the bank? Can a home seller be the "listing agent?"

Answer: He can if he is a licensed real estate agent.

The sale is not likely to go through this way, even agent owned homes are usually handled by a different agent in a short sale situation.

If he does not come up with lots of bids they are going to suspect he has a conflict of interest.

FHA's 3 Step Short Sale Process