Short Sale Report - Chase
Short Sale Report
| Avg. Days NOD to NTS | Avg. Days NTS to Auction | Total Avg. Days in Foreclosure | Commissions | Comments |
| 279 | 75 | 354 | 5% | 28 |
1sts - Our sources agree that they communication is VERY bad. They are hard to reach and the response is slow. They do seem to be uploading their faxes a little faster. They have not recently been giving any full settlement releases. They just do not appear to be reasonable in their requests.
They recently changed their authorization policy and now the authorization must name a specific person and not a company. This may result in a delay since the new authorization must be mailed to the borrower.2nds - We hear that agents and negotiators are having some unpleasant experiences with Chase on 2nds. The sad truth is that many distressed homeowners have borrowed beyond their ability to repay in an effort to remain current on their home. They have dug a horribly deep hole for themselves -- they have few, if any assets, and a pile of debt. And Chase is demanding cash, and I mean lots of it. Many times as much as 50 to 60% of the outstanding balance. They do not seem reasonable on their requests. AGENTS BEWARE: We have heard that they are shameful in their attempt to push realtors to assist in delivering funds to them off of the HUD. If this is true it is unethical and puts the realtors license at risk. We have heard this from numerous sources that also insist they have brought this to the attention of the senior management at Chase without any results.
Loss Mit Dept Phone: (800) 981-3792 Ext *0 or 877-838-1882 Fax: (614) 422-7259 Loan Servicing: 800-848-9136 https://www.chase.com/chf/mortgage/hrm_shortsaleinfo This is a direct link to the required short sale packet. Note: you will also need an affidavit of an "Arms Length Transaction".
Comments
Chase has taken over WaMu accounts. Their problem is bigger than finance and is operational. The back office operations of WaMu were chaotic, and a year later the current Chase management seems unable to attract and retain talented people to clean up the WaMu swamp. They don't have compensation plans that reward closing deals - so deals don't get completed. They literally change process so frequently that they are unable to assess non-performing assets to decide to hold or dispose of them. The delays are costing Chase doubly as mortgage payments are missed and mortgage assets decline in value.
After a year of frustration I've had to pursue them from the CEO's office, and discovered that even their Executive Resolution Group literally has no visibility between operations in Jacksonville, Chatsworth, and South Caroline. If I had Chase stock I would sell it, because I see no interest or capability to dispose of the non-performing and toxic WaMu assets to provide the highest yield to the bank.
I just finished a short sale involving a Chase 2nd on 11/5/09 and they were a nightmare. Chase dragged their feet and the process took over 90 days. The 1st lienholder negotiator had to escalate 2 levels up from the original negotiator to get any sort of decisions made from Chase. They originally wanted 40-50% of the balance to settle. They finally settled for 18%. My last payment was due on 10/30, and I had $5500 of my own money in escrow toward the payoff as a condition for them to release the lien, so I couldn't afford an additional interest payment to avoid a 30 day late. Chase conveniently delayed causing us to close on 11/5, then reported a 30 day late. On top of that, they reported a "charge-off" on my credit rather than a "settled" or "paid for less than original balance", even though the short sale approval said they would release the lien and forgive the balance with the agreed upon settlement payment. Bottom line, Chase plays dirty so be prepared.
i am a realtor who due to sharp decline in my market i was forced to file bankruptsy the house is sale pending my short sale rep Richard Denk had been helpful through this long process final approval was to com yesterday the short sale is declined because my broker of 16 years cannot receive payment although he paid for advertising constantly since 2006 to sell this house . I get why i am not due compensation . but i work for him and the house is sale pending on mls under Madison County Realty and i have forfeited my commission for this sale
Iam
mls under Madison
Your post is extremely difficult to read due to lack of capitalization and sentences.
Chase has been a nightmare to deal with. The first is a loan owned by Freddie Mac and serviced by Ocwen. Freddie Mac would approve only a $3,000 payment to Chase, the second lender, however Chase insisted on an additional $1,400 seller contribution. When Freddie Mac would not agree to this, Chase tried to get the borrower to make the payment outside of escrow and off of the HUD-1 to be submitted to Freddie Mac/ Ocwen. When we told Chase that this was illegal and against the requirements of RESPA, they said that our interpretation of the law regarding this was "laughable" and that what they were requesting was not illegal, even though we told them that the California Assoc. of Realtors was advising all of their member agents that this was clearly illegal. Chase simply didn't care and will now probably tank the deal after 5 months of work because Freddie Mac / Ocwen will not change their limitation on payments to Chase.
Chase has been IMPOSSIBLE to work with!
My client is a member of the USAF, and has served two tours of duty in Iraq and Afghanistan. He and his family were stationed in Charleston, South Carolina for a number of years, and purchased a home here. Then, they were transferred to Warner Robbins AFB. The family moved, and put their home on the market. The home did not sell, so they contacted me in July 2009, and I discussed with them what it would take to get their home sold. From July of 2009 until today, they have kept the home beautifully maintained, the lawn cared for, and the utilities on – even in this unusually cold winter! – in order to protect and preserve the value of the home, and to facilitate a maximum value for any offers received. These are people of integrity. They did not strip the property of appliances/fixtures, destroy or damage the property as so many pre-foreclosure owners have done, but rather continued to maintain and keep up the property, even paying to have the utilities stay on the home would be protected from humidity, freezing, and other weather damage.
In November 2009, I received a qualified offer on the home. The potential buyers fell in love with the home, and were willing to wait out the long and tedious short sale process. I submitted the offer to Chase, the first mortgage holder, and GreenTree, the second mortgage holder, a few days later. I submitted to both companies extensive and complete short sale packages, documenting the owner's financial hardship and current financial distress, and requesting consideration for a short sale dispensation.
A month later, a negotiator from GreenTree contacted me and advised that GreenTree had sold the second mortgage to an “investor” who would not accept less than 5% of the gross proceeds in order to release the lien. I revised the estimated closing documentation, and sent to Chase and GreenTree. In mid-January, I was contacted by S.B. with Chase. She asked me if I had received a written release from GreenTree. At that time I had not, but advised her that it was in process, and we should receive it within 2 to 3 weeks. Ms. B informed me it was policy that she would have to close the file, but assured me she would re-open it when we sent her the release from GreenTree. She was aware of the 5% gross proceeds requested by GreenTree.
In early February, GreenTree sent me the written release with stipulation that it must close in 30 days. I immediately contacted Chase, only to find that now the entire process had to be restarted. I had to re-submit an updated short sale file, and WAIT for another negotiator to be assigned. SO WE WAITED. And waited. Finally, in mid-March, a new negotiator was assigned, M B. who informed me that the 5% of gross to GreenTree was unacceptable. I re-ran the calculations, and it worked out that if I gave up ALL my commission to GreenTree, it would meet the deficiency, and my client would be able to avoid foreclosure, now set for a month away. I submitted that information to Miranda, who advised me that she would see what she could do. Meanwhile, hopeful, I asked GreenTree for an extension of time to close, and received it.
Last week, we received a “counter-offer” from Chase, now increasing the purchase price $10,000, making the settlement to GreenTree so that Chase’s contribution PLUS my entire commission would not cover it, while also reducing the amount of other concessions, and giving the potential buyers one week to make it happen. Faced with absurdly impossible conditions of the counter-offer, the Buyer—having waited patiently for FOUR MONTHS – now moved on to purchase another home.
I firmly believe our armed forces, who make incredible sacrifices in the service and protection of our country, deserve so much better than this. I have shown that I am willing to take a stand for this, by giving up my entire commission to keep my client from facing a foreclosure, but CHASE, it seems, is DETERMINED to push the property into foreclosure.
Teresa B Cooper
CPA, Realtor ®, Broker-in-Charge
7679 Dorchester Road
North Charleston, SC 29418
Office: 888-485-4356
Mobile: 843-607-3084
Fax: 843-225-3302
HomeSolutionREServices.com
I'm going through pretty much the same thing, what stand are you or thinking on doing to help home owners from these banks, Have you found any resources?
I closed a deal 1st and 2nd combo with chase and other then the 2nd asking for $8,500 to settle it went pretty quick 105 days and we closed. 105 days is good by most SS standards. The buyer paid the $8,500 for the seller on the HUD1.
Chase asked for $8500 on the second; what was the balance?
The second was at $63,000
How were you able to get the bank to approve the payoff on the Hud? The first will not allow the buyer to pay off the second which is Chase.
In this case they did
Posted in the Forums by David Mortaz
Hi Folks - I was told by my Short Sale specialist that Chase is now insisting on a minimum of 90 days for marketing before they approve a Short Sale during which the property can NOT be set to "PENDING" even if you have submitted an offer?
My 1st impression is that this is a tactic to buy time for the backlog of the application since there is no need to market for a 90 days if we are able to submit 40 offers in ONE week to the lender!! If this delay is intended to determine the Fair Market Value of the property; there are better ways of accomplishing this, such as a AVM or a 2nd appraisal.
What do you think?
!http://www.foreclosureradar.com/forum/realtors/representing-home-sellers-shortsales/it-true-chase-now-requiring-90-days-marketing-ap
Chase timelines are the worst right now !! They appear overwhelmed with the volumn. on a Chase 2nd, forget it. They require 10% of their balance for a lien release, and 55% - 65% for foregiveness of debt. If you expect them to agree to $3,000 on the HUD, and your deal counts on this to close, DONT TAKE THE LISTING !!
I have Chase 2nd willing to take $9,500 for full release. The 1st who is also Chase will only pay $8,500 the first is negotiating with the 2nd to accept $8,500 (yes taht is right the first is negotiating with the 2nd)
I am in the process of negotiating a 2nd with Chase for 6k, the amount of the 2nd is 100k, but the 1st (BOA) will only allow 6 %. My negotiator is impossible. I have filed a complaint with the executive office, but my negotiator only tells them what they want to hear! Antone had this problem????
I also had a lisitng with a 1st and 2nd with Chase earlier this year. I was negotiating with the 2nd as I had an approval on the 1st already. After a while I was told they had changed their rules and that the 1st negotiates the 2nd too, they got the approval and we closed. I am just starting another one so we'll see if that rule is still applies. Hope so!
Hi Lisa,
That is some great news!! Let us know if this is a new policy and you get the same response on the next one!!
Just completed a short sale with Chase. The owners had a 1st and 2nd with Chase. Chase had charged off the 2nd and we didn't need to deal with it during the short sale. I started the short sale in mid July 2010 and it closed at the end of December 2010. At first, Chase would only let me fax all the documents. Which was very frustrating, because you have no record of what was sent. Once it went to the negotiator, then I could email documents to her. I thought my negotiator was great. If she didn't answer when I called, she would call back within a day. They seemed eager to accept the short sale. They asked for the owners to pay money toward the balance, but the owners refused and Chase still accepted and closed the short sale.
It's not that people are taking loans more than their available property but there's no catch if the lenders can make people feel a nightmare like Chase do. I haven't engaged to Chase but i have been engaged to some debt relief program to pay off what i need to pay. Since it's working for me fine till this day, don't know what if something happens wrong with my financial stability i have been maintaining. I guess the debt relief company will also do like Chase. I guess they have to do so, though it looks dirty. I mean if anyone can pay the dues regularly then there would be no problem at all, i guess.
Chase is running an outreach program providing $20K to sellers for completing WaMu originated short sales. They are also telling sellers to contact an agent when the loan mod does not go through.
I have been negotiating a short sale with Chase since Jan. We submitted an offer on 02/01/11. A negotiator was assigned to the file a week later. I have called the negotiatator and his supervisor several times and I am still waiting to hear from them two months after they were assigned to the file!! The reps at Chase have sent them several e-mails and it's the same story. Chase is the worst. These people are a nightmare.
Thru a network of Realtors Struggling to do these Short Sales transactions which has an wrong connotation of the actual time frame, I have gotten your number and was told you might be able to hopefully shed some light into the current scenario I am struggling with.
Here it is in a nutshell :
Had a closed Short Sale transaction with Chase with a Short Sale letter of Approval stating that the sellers Lien will be released see below :
There was only one lien to be paid off and we satisfied the amount requested fo.
About 8 weeks after the negotiator started calling me and asking the sellers to sign a promissory note for $30,000 + per the insurance company that insured the loan. The negotiator wrote threatening phrases on her email projecting they will give us and the new buyers a problems, claiming the insurance company will reject the short sale that occurred 8 weeks ago or so.
We are just a small firm trying to help these homeowners with their current problems, even attended a Chase seminar where people from Chase is actually encouraging a room full of realtors to do short sales, because this avoids a foreclosure where the banks will actually save some money compared to a full drawn out foreclosure.
I have ask an attorney to look at the letter and he states that if Chase is a big Corp and if they want to give us a hard time, they certainly can. I am so stressed for my sellers and feel responsible. However, I believe I did my due delingent to prepare a property closure for my clients.
Please advise on what to do or who to call in regards to this matter.
Respectfully,
Ken
Masters Realty
Cc: Chase
Hi Ken,
Read the terms of the short pay agreement to see if they have given a full satisfaction release. If they have then it sounds like these collection calls are out of line. You may want to forward they letters to the title insurance company that insured the short sale transaction. If the lender is threatening to unravel this transaction then the title company that insured the title to the new owners will certainly have a say in this matter.
Also, if this transaction is in CA and it closed after 1/1/11 under the terms of SB 931/civil code 580e they cannot pursue a deficiency on any 1st mortgage once they approve a short sale.
Start with the title company that handled the transaction and go from there. Keep us posted!!
CHASE reported a FORECLOSURE on sellers personal credit AFTER HAFA & Chase approved closing a short sale. Never any public record, no filings, no notice of intent of foreclosure by Chase. Two (2) months after date of short sale approval letter from Chase, ten (10) days after HAFA approved short sale CLOSED, Chase reported the transaction as a foreclosure on sellers personal credit. Efforts to remedy directly with Chase have been ignored. Efforts to remedy with credit reporting agencies left to Chase despite closing documentation. Now requires seller to retain attorney.
Looking thru my loan docs i found that wamu( chase) used same appraisal in 2-2006 from variable first and second. Then was called in January 2008 by agent at wamu saying we can do a thirty year fixed on first and second using an 22 month old appraisal. I even asked how my loan to value would allow that? Sure at the time it kind of helped but also trapped me 290k on a house now worth 111k....... What do i do?
HI D.Walter,
It sounds like they used the old value to refi you to a more secure 30 years fixed loan?? Are you looking for ammunition to force a short sale or a modification?? The appraisal is not necessarily to protect a borrow from a potentially bad investment it is used by the lender to determine the maximum amount they are willing to lend. If you are working on a short sale then this may be important information to point out but does not sound like you were damaged in the process. Of course, I am not an attorney and you may find an attorney that could make a case out of this.
In my opinion, Chase has been very good to work. Just like most banks, it really depends on the negotiator and/or processor that you get assigned to your file. I noticed some similar comments on another short Q&A site http://www.shortsaleopedia.com/ that also had interesting comments about working Chase. The most important rule in navigating with Chase is to follow-up and then follow-up again. Make sure the file is complete and keep asking what they are going to do next and when that task will get done. Make them accountable for their job. Good luck.
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