Short sale Incentives Mortgage Lenders and Banks Keep for Themselves....

Short sale Incentives Mortgage Lenders and Banks Keep for Themselves....

“Martin, the Lender offered an incentive for me to live in my home and keep it in good condition during the short sale process?”.

“Yes”, says I.

“So I kept the home in good condition and they should pay me?”

“Yes again”, says I.

“Then why are they telling us we need to hand that incentive back to them, the Lender, in order to complete the short sale?”.

Simple, the Lender has figured out that your motive is to protect your credit, and restart your life. Those juicy, Federally-funded incentives are low-hanging fruit, just waiting to be plucked from your wallet.

It’s extortion.  

Would the Kauffman Center for the Performing Arts offer a season ticket discount, then charge your credit card full price?

Heck no!

The Lender knows you’ll fold when they tell you the only way you can short sale your home is to hand over the incentive, in exchange for the privilege.

More and more often, when we challenge this practice we are told;

“....The FHA incentive is $1000.00. If the full amount is delivered to the Seller,  it will drop the net and we'll no longer be meeting net....I will still need a letter advising they agree to forfeit (the incentive).”

-actual Bank of America secured email

Look, I’ve heard it all....

”These people who short sale are already getting a cushy ride...”.

“Banks are allowed to make a profit.”

Blah, blah, blah.

If you offer to trade money for value, then follow through.  These people who are short selling their homes are already braced for a tremendous impact on their credit scores, moving their homes, placing their children in new schools....

Here’s an idea! Walk into the local supermarket, buy the groceries then ask for your money back.

Let me know how that works out for you.  I hear you get a telephone call, and 3 hot meals....

RE/MAX sells more homes than any other real estate company.
For a reason...should we talk?

Blog post written by the Dowell Taggart Team of RE/MAX Premier Realty 

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