Types of Bank of America Short Sales

This Sacramento short sale agent closed a bunch more Bank of America short sales at year end. I seem to close more Bank of America short sales than any other kind of short sale in Sacramento, although I doubt there is a bank out there that I haven’t dealt with. It’s just that Bank of America seems to dominate. So, that means I am very familiar with Bank of America. Here are some of the variations of Bank of America short sales a short sale agent can do:

• Bank of America HAFA short sales
• The Bank of America Cooperative Short Sales
• The Bank of America Streamlined Cooperative (which are different than regular Cooperative)
• A Bank of America Fannie Mae short sale
• A Bank of America Freddie Mac short sale
• A Bank of America FHA short sale
• A Bank of America VA short sale
• A Bank of America Fannie Mae HAFA short sale
• A Bank of America Freddie Mac HAFA short sale
• A Bank of America Fannie Mae Cooperative Short Sale
• You will not be able to do a Bank of America Freddie Mac Cooperative Short Sale because Freddie Mac does not participate in the Cooperative Short Sale Series . . .

And this is just to name a few combinations.

But a few days ago, a negotiator threatened to return funds. That happens sometimes. Not that funds are actually returned, just that the bank threatens to return the wire, which means it won’t accept the final payoff and the short sale is not really closed even though the documents have recorded.

Why? Why would a bank do that? In this case, the closer suddenly noticed that a second borrower did not sign the deed to the new buyer. This was not an escrow mistake. This was done on purpose. The reason the borrower did not sign the deed is because the second borrower was no longer “on title,” meaning the borrower had conveyed her interest via a deed to the first borrower. The closer claimed legal things such as the recorded deed and the title insurance policy vesting did not matter and that the second borrower absolutely should have signed the deed out and be noted on the HUD. RESPA be damned, was the attitude.

See, this is yet another reason why banks do not belong in the real estate business. Not to mention, how did a file get all the way through the short sale process at Bank of America if this was an issue? It’s because it’s not really an issue.

Photo: Elizabeth Weintraub, tropical fish in lagoon at Bora Bora