Bank Of America Short Sale Process Update
We’ve talked a lot about the Bank of America Short Sale process over the years, but they continue to be slowing improving their processes, almost to the point of being the preferred lender to do a short sale with. Unfortunately, that distinction won’t help them a ton but will help home owners get over their fear of the short sale process. They recently made a few changes to their process.
One of the biggest problems with short sales is that the home buyer tends to get antsy and decides to buy something different. This usually causes the short sale “processor” to have to start over.
Based on agent feedback and to reduce cycle times, we would like to remind you that should it become necessary to submit a backup offer during a short sale, you must submit the backup offer within five calendar days after the initial offer becomes invalid.
If you are in the process of dealing with Bank of America, and you have a backup offer, it’s good to go ahead and contact the “negotiator” or processor to get it all loaded up in the event that the buyer walks, no one has to start all over according to this.
The news from Bank of America continues on:
If you have a backup offer:
- The short sale can proceed without having to re-upload the financials if they haven’t expired.
- The short sale status in Equator (Short Sale Processing Software) will change to Document Collection/Valuations.
- Complete the following tasks within five calendar days or the offer will be declined:
- Submit Short Sale offer
- Upload Initiation Documents
- You will continue working with the same short sale specialist.
If you do not have a backup offer:
- The short sale will be declined and its record in Equator will be closed by your short sale specialist.
- The status will change to Unavailable and the file cannot be reopened.
- You should return to marketing the property.
- Initiate a new short sale in Equator when you receive a new offer on the property.