Extreme Short Sale

Good Afternoon!

Today, Certified Distressed Property Expert, Matt Gregory of ExtremeShortSale.com talks about how the lender’s broker fouls an short sale deal by making an incorrect “BPO” or Broker’s Prince Opinion. Take a look at the video and read below to learn a little more about short sale transactions.

 When a short sale package and offer is submitted to the owners lender that same lender must verify the offer is of market value. To accomplish this, they have their own broker visit the property and provide them with what’s referred to as a “BPO” or Brokers Price Opinion. If the lender’s Broker comes back with the opinion that the distressed property is valued at substantially more than the offer the lender will not accept the offer and this may kill the short sale deal. Many times, these opinions are wrong, kill the deal and even end up costing the bank money later. One of the reasons for this is, the lenders broker may be from out of the area. That same broker may also be the broker that is awarded the listing if the property forecloses. If so, that’s a conflict of interest and we sincerely hope that is not the case. Matt recently received a call from an REO Broker on a short sale listing he once had that was killed by a bad BPO. As it turns out the bank has now foreclosed and will end up receiving less money that if they would have agreed to the short sale offer. This is not uncommon and it’s a lose, lose for the homeowner, the buyer, bank and the short sale broker. HOW SAD! Sometimes it just seems like the bank wants to foreclose. The reasoning often times does not make sense but that’s the way it goes. A good negotiator will argue the incorrect BPO and sometimes they are successful and other times they are not.

As always we take the end of each post to remind everyone to beware of SCAMS! We always find those opportunistic folks out there looking to take advantage of the misfortune of others. DO NOT give any money up front for help with your loan modification.Watch out for the Forensic Loan Audits! If you decide to short sell your home be very careful about who you work with to sell and negotiate your sale. A Short Sale can be very tricky and it’s important to use someone that’s qualified to handle your sale. Matt Gregory, here at ExtremeShortSale.com is a Certified Distressed Property Expert and highly experienced in such matters. We’re here to help you, even if we don’t end up doing business together. We don’t want to see anyone lose their home to foreclosure or make an uninformed decision about their mortgage. If we think you qualify for a Loan Mod, we’ll tell you!! If we think you’d best benefit from a short sale, we’ll tell you! We’ll help you explore your options!! This is our promise to you! We want to HELP you, help yourself!

Pete & Matt Gregory

ExtremeShortSale.com