Ok, I admit it–THIS IS A RANT. This is more than a pet peeve. This is a full on rant.
For the past 8 months–count’em 8–I’ve been trying to do a short sale with a Countrywide loan. Actually, the property has two Countrywide loans, a first and a second.
The house is cute. It’s in Pasadena, in a good location and has attracted lots of attention. I’ve gotten lots of offers. In fact, the first offer was sent in with “the package” in October. The package means all the seller’s financial information, hardship letter, bank statements, tax returns–the lot. And, of course, the offer goes in with that.
Fast forward two months with no response from the bank. The buyers bail…No problem, I’ve got a backup offer. That buyer hangs on for two months and then decides not to buy a house after all. No problem, I’ve got a backup. Two more months flash by and the bank accepts their offer!! Oh happy day–you think? The very day before, the buyers–you guessed it–had bailed because, having to leave their apartment, they really had had to buy a house.
Now, if I can get the same amount, I shouldn’t have any problem, right? So, we wait a month, rejecting lowball offers until we get one in the right ballpark, send it in and then…wait and wait and wait.
Two weeks go by until Countrywide finally declares they’ve got the offer in the system. Then, they start talking about doing a BPO or mini-appraisal. We’ve already had two of those two months ago and this offer is about the same with prices still falling, so really why? But, OK…The BPO will come in 5 days, no 13 days, no 15 days…They will assign a negotiator. The BPO is ordered; no it’s not ordered. Only the negotiator can order it. No, the BPO is in the system…Do I have any hair left to pull out?
This house originally sold for $500,000. Countrywide put up $430,000. Our first offer was in the $360,000 area last fall and now is at least $50,000 less. You do the math. In the meantime, the seller hasn’t paid the mortgage since October. Add in another $20,000 in lost revenue. Is it any wonder that the banks are going bankrupt?
Countrywide now aka B of A has not changed one iota. It has the worst reputation for dilly dallying in the short sale process. That’s great for the sellers who get 6, 8, 10 months free rent. One sympathetic agent told me he had a Countrywide short sale hanging on for 16 months!
The moral of this story is–if you have a Countrywide loan and want to do a short sale, get ready to live rent-free for a long, long time…