We handle a lot of short sales and have been seeing a recent trend called "fishing." Let me explain how this works and how banks are using this to get more money out of their short sales. Let's say we have a home that is put on the market for $500,000 and an offer is received for the same amount of $500,000. A short sale packet is sent to the bank which consists of the signed offer from the seller, the seller's hardship letter, last two months worth of bank statements and last two years of tax returns. The bank then does their internal review of the property. First, they order a BPO, or better known as an appraisal. This appraisal is done for the banks purpose only to see what they think is market value of the home. Once complete, the bank will
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