Has anybody tried the BofA Cooperative Short Sale Program? Is it for those who dont qualify for hardship .. essentially those who are strategically defaulting
Has anybody tried the BofA Cooperative Short Sale Program? Is it for those who dont qualify for hardship .. essentially those who are strategically defaulting
Never heard of it, do you have a link?
I googled it and came up with this non-BOA link. http://distressedpropertyexpert.net/blog/bank-of-america-pilot-tests-new-cooperative-short-sale-programOriginally Posted by Bella
Apparently, the program is still in pilot, and there are some specific conditions, one of which is "no second liens". The program will hopefully be expanded. Their goal is to close these deals in as little as two weeks.
I Googled it and came up with this non-BOA link. http://distressedpropertyexpert.net/blog/bank-of-america-pilot-tests-new-cooperative-short-sale-program
Apparently, the program is still in pilot, and there are some specific conditions, one of which is "no second liens". The program will hopefully be expanded. Their goal is to close these deals in as little as two weeks.
I remember reading about it on Shortsale Superstars..........
Is it better to go the foreclosure route anyways? Live mortgage free for 2 years, etc...?
We were contacted by B of A regarding their cooperative short sale program and are just starting the process. The first thing we had to do is sign an acknowledgement of interest. An appraisal is scheduled in the next couple of days. From my understanding, once the appraisal is completed, B of A will tell us a price they will accept and we are to list the house at that price with an agent of our choosing. We will have 4 months to sell the house. If it doesn't sell, B of A will take a Deed in Lieu. During the 4 months on the market, if we aren't getting offers, B of A may lower the price. After an offer is obtained, it is supposed to take about 2 weeks to get written approval and enter escrow. Closing should be 30 days from then. At the close of escrow, B of A will give us $2,500 towards our relocation costs.
I am grateful for this offer. We haven't made a payment since March 2009. We filed bankruptcy July 2009 and included this house in our BK. A Notice of Default was filed September 2010 so B of A can set a Trustee Sales date at any time. Instead of foreclosing, they are allowing us to do this short sale with very minimal paperwork (Listing Agreement, Purchase Agreement, HUD-1, Third Party Authorization Letter).
FYI, it is our personal residence, we don't have a second loan, and it was a Countrywide jumbo pay-option ARM loan.
I found this link/video while research the Bank of America Cooperative Short Sale Program. I thought it did a pretty good job explaining it and why Bank of America is doing it. And no I don't work for the company or trying to promote them in anyway.
Bank of America’s Cooperative Short Sale Program…is it a good thing? | Short Sale Genius
Curious if anyone has gone through this? Seems like exacty what I am looking for!
Bella
Thanks for your question. And, IMHO, there's no question. Hands down FC is the better choice. If you choose to follow that path, I recommend you visit The HAMPSTER Wheel Game thread in the Chase forum. There you will find many tips on how to delay foreclosure for a very long time, allowing you to live mortgage and property tax payment free. Good luck!
UPDATE...We have received our Short Sale approval from BofA with a closing date of June 27th. We were fortunate in that the first person to look at our house put in a cash offer at the full asking price that BofA stipulated. I was surprised, however, how long it took BofA to give the written approval considering they had already performed the appraisal and had set the price they would approve. We went through three negotiators during the process. When we entered the program, we were told we would have contact with the negotiator who would answer any questions we would have along the way. Unfortunately, I never could get anyone to return my calls. So, I've chalked it up to this being a new pilot program and they have not gotten the kinks out yet. Now we're hoping the home inspection goes well and the buyer decides to proceed to closing. We'd sure like this to be over June 27th!
I have heard a few things about this program.
One is that they set an unreasonably high price for the property. Is that your experience or did they set a price in line with current selling prices in your area (adjusted price to compete with local foreclosures)?
Did they ask for your financial information at all during this process? As I understand it you do not have to provide any financial information to them to get this type of short sale processed.
Please reply as you could help many people because there is very limited information on this program.
Myway - Yes, they priced it at $670,000 and I think $640,000 is where it should be at. I'm thinking the agent that did the BPO was not familiar with the other properites that sold in our developement to know they were much more upgraded than ours. Therefore, they priced it in line with those properties. Fortunately for BofA, a cash buyer (who is moving here from another country) will probably not have an appraisal performed. The second highest offer was $630,000 which, I believe, is more in line with the market.
We did not provide any financial information. We are receiving $2,500 at the close of escrow for "relocation assistance".
One interesting note, because it is a cash buyer, BofA said we had to close in 15 days. Yeah, right! They said the required closing periods is 30 days for conventional sales, 45 days for FHA and VA sales, and 15 days for cash. I sent them a letter stating we needed 60 days and 15 days was out of the question. If they insisted on 15 days, we would cancel with this buyer and submit the FHA buyer at $630,000. They came back and agreed to give us 30 days, which we are fine with. Sometimes you have to push back a bit.
Can someone clarify this: Does the BOA Co-operative short sale have to be a BOA invested owned loan or can it be a BOA serviced loan (investor fannie mae)?
Being dealing with this program since November 2010. Had two bank approved sales pending...lost both because they can't seem to keep their paperwork together and keep making me re-apply for the program because they 'don't have all the documents'. I would rather foreclose and deal with Chapter 7 than continue with this charade...hoping to make it to the 5 year statute of limitations so that they can't get anything from me...not to far away from that, as ridiculous as it may seem. What a horrible corporation.
we are in the program right now. its just taking a while to get final approval letter but it's been pretty easy. waiting on final close date. we are getting $10,900 for the program (crazy huh)
Hillaryg - How much do you owe and how much is your home selling for?
Owe (with all the late fees and whatnot) $590k. House appraised for $360 got approval to sell for $340... buyer is paying all cash for $365
It's soooo close to being done and the foreclosure date is also very close. we hope it all goes through!!
We closed escrow yesterday!! And got our $11k deposited to our account. Thank goodness we are done!!!!!!
Congratulations! I have asked our realtor about this short sale program - we have our house currently listed (for less than 1 day) and have already received a full price offer (listed at what zillow says the value is) and we supposedly have another on the way for 5 % over the appraised value. I was (and still am) willing to take the hit on our credit for a foreclosure, but if we can short sell, I woudl think its a better situation than a FC...
I have been propositioned by the BofA Coperative program and it has matured -
No out of pocket costs
work with a realtor who is A CDPE - certified distressed property Expert
NO financials
very simple application - basically sign a form to proceed
Cooperative Short Sale | Bank of America
Wonder if anyone recently closed with this revised streamlined program?
BofA works with the second mortgage company and I understand provide them $8500 at most
they want to get these properties off their books and the realtor I am working with has successfully short sold and BofA negotiated the second with GreenTree
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