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JACKQLYN.
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June 17, 2009 at 8:19 PM #417706June 17, 2009 at 9:27 PM #416985
JACKQLYN
ParticipantI’ve read the regulations over and over and all I see is something that is supposed to help poor people like me – is actually doing more harm to us.
Messy escrow situation on a short sale. For some reason still unknown, the seller changed his title to an LLC in January then back to himself in April. He started his short sale in Jan so it may have been a transfer to a short sale company? Not sure…We were told that we can’t even begin escrow (yet my check has been cashed) until 7/23 due to title seasoning. We’ve already paid $820 for inspection & appraisal and are ready to close.
In short, I have two questions for you:
1) Can a waiver be granted to a purchase on a short sale property if the title change was not a change in ownership but merely just a change from himself to an LLC and then back to himself again?
2) If this short sale transaction falls apart due to the title seasoning, we want to pursuer REO properties. Can we do this even though the REO waiver expired on 6/9/09?
FYI – when all of our friends were buying 600k homes in Murrieta – we sat back & rented knowing damn well it was stupid.
Should we wait even longer for a conventional instead of FHA?
So that makes 3 questions for you tonight. 😉
June 17, 2009 at 9:27 PM #417222ParticipantI’ve read the regulations over and over and all I see is something that is supposed to help poor people like me – is actually doing more harm to us.
Messy escrow situation on a short sale. For some reason still unknown, the seller changed his title to an LLC in January then back to himself in April. He started his short sale in Jan so it may have been a transfer to a short sale company? Not sure…We were told that we can’t even begin escrow (yet my check has been cashed) until 7/23 due to title seasoning. We’ve already paid $820 for inspection & appraisal and are ready to close.
In short, I have two questions for you:
1) Can a waiver be granted to a purchase on a short sale property if the title change was not a change in ownership but merely just a change from himself to an LLC and then back to himself again?
2) If this short sale transaction falls apart due to the title seasoning, we want to pursuer REO properties. Can we do this even though the REO waiver expired on 6/9/09?
FYI – when all of our friends were buying 600k homes in Murrieta – we sat back & rented knowing damn well it was stupid.
Should we wait even longer for a conventional instead of FHA?
So that makes 3 questions for you tonight. 😉
June 17, 2009 at 9:27 PM #417484ParticipantI’ve read the regulations over and over and all I see is something that is supposed to help poor people like me – is actually doing more harm to us.
Messy escrow situation on a short sale. For some reason still unknown, the seller changed his title to an LLC in January then back to himself in April. He started his short sale in Jan so it may have been a transfer to a short sale company? Not sure…We were told that we can’t even begin escrow (yet my check has been cashed) until 7/23 due to title seasoning. We’ve already paid $820 for inspection & appraisal and are ready to close.
In short, I have two questions for you:
1) Can a waiver be granted to a purchase on a short sale property if the title change was not a change in ownership but merely just a change from himself to an LLC and then back to himself again?
2) If this short sale transaction falls apart due to the title seasoning, we want to pursuer REO properties. Can we do this even though the REO waiver expired on 6/9/09?
FYI – when all of our friends were buying 600k homes in Murrieta – we sat back & rented knowing damn well it was stupid.
Should we wait even longer for a conventional instead of FHA?
So that makes 3 questions for you tonight. 😉
June 17, 2009 at 9:27 PM #417550ParticipantI’ve read the regulations over and over and all I see is something that is supposed to help poor people like me – is actually doing more harm to us.
Messy escrow situation on a short sale. For some reason still unknown, the seller changed his title to an LLC in January then back to himself in April. He started his short sale in Jan so it may have been a transfer to a short sale company? Not sure…We were told that we can’t even begin escrow (yet my check has been cashed) until 7/23 due to title seasoning. We’ve already paid $820 for inspection & appraisal and are ready to close.
In short, I have two questions for you:
1) Can a waiver be granted to a purchase on a short sale property if the title change was not a change in ownership but merely just a change from himself to an LLC and then back to himself again?
2) If this short sale transaction falls apart due to the title seasoning, we want to pursuer REO properties. Can we do this even though the REO waiver expired on 6/9/09?
FYI – when all of our friends were buying 600k homes in Murrieta – we sat back & rented knowing damn well it was stupid.
Should we wait even longer for a conventional instead of FHA?
So that makes 3 questions for you tonight. 😉
June 17, 2009 at 9:27 PM #417711ParticipantI’ve read the regulations over and over and all I see is something that is supposed to help poor people like me – is actually doing more harm to us.
Messy escrow situation on a short sale. For some reason still unknown, the seller changed his title to an LLC in January then back to himself in April. He started his short sale in Jan so it may have been a transfer to a short sale company? Not sure…We were told that we can’t even begin escrow (yet my check has been cashed) until 7/23 due to title seasoning. We’ve already paid $820 for inspection & appraisal and are ready to close.
In short, I have two questions for you:
1) Can a waiver be granted to a purchase on a short sale property if the title change was not a change in ownership but merely just a change from himself to an LLC and then back to himself again?
2) If this short sale transaction falls apart due to the title seasoning, we want to pursuer REO properties. Can we do this even though the REO waiver expired on 6/9/09?
FYI – when all of our friends were buying 600k homes in Murrieta – we sat back & rented knowing damn well it was stupid.
Should we wait even longer for a conventional instead of FHA?
So that makes 3 questions for you tonight. 😉
June 17, 2009 at 10:41 PM #417015SD Realtor
ParticipantWowsers…
Okay I do not KNOW FOR SURE the answer to your questions. Number 1, the FHA waiver, by common sense should apply to you. However I am not sure if it will. In reality it is going to be up to your lender. If they say that the seasoning is going to be needed then there is not much you can do about that… sorry to say. This is definitely something you need to talk to your mortgage broker about.
Why the seller did the transfer? Well if the home is part of a corporation but then the corp declares bankruptcy… you see where I am going with this? Basically it sounds as if he was contemplating a stall tactic. Then at some point found it perhaps would not work because even though the title was in the corporate name, the loan was not. Anyways that is just speculation on my part and may be totally wrong.
Also you talked about escrow. So I take it your offer was accepted by the lender and they sent an agreement to release the lien correct? That is good. So when they did that, I assume you then opened escrow right? After that you then did your inspection and appraisal. Yeah I would agree… kind of a mess.
As far as the fha waiver expiration… yeah that is bad news. If it was before 6/9 you were good to go but after 6/9… Honestly again, I would have to defer to your broker. However take heart because by the time an reo gets processed and relisted, you are close to the 90 days anyways.
Conventional verses fha? Well my experience is that sellers, both regular resale, and lenders who are short selling and reo sellers prefer conventional over fha but that doesnt mean they will turn down fha…
I probably didn’t answer much…
June 17, 2009 at 10:41 PM #417252ParticipantWowsers…
Okay I do not KNOW FOR SURE the answer to your questions. Number 1, the FHA waiver, by common sense should apply to you. However I am not sure if it will. In reality it is going to be up to your lender. If they say that the seasoning is going to be needed then there is not much you can do about that… sorry to say. This is definitely something you need to talk to your mortgage broker about.
Why the seller did the transfer? Well if the home is part of a corporation but then the corp declares bankruptcy… you see where I am going with this? Basically it sounds as if he was contemplating a stall tactic. Then at some point found it perhaps would not work because even though the title was in the corporate name, the loan was not. Anyways that is just speculation on my part and may be totally wrong.
Also you talked about escrow. So I take it your offer was accepted by the lender and they sent an agreement to release the lien correct? That is good. So when they did that, I assume you then opened escrow right? After that you then did your inspection and appraisal. Yeah I would agree… kind of a mess.
As far as the fha waiver expiration… yeah that is bad news. If it was before 6/9 you were good to go but after 6/9… Honestly again, I would have to defer to your broker. However take heart because by the time an reo gets processed and relisted, you are close to the 90 days anyways.
Conventional verses fha? Well my experience is that sellers, both regular resale, and lenders who are short selling and reo sellers prefer conventional over fha but that doesnt mean they will turn down fha…
I probably didn’t answer much…
June 17, 2009 at 10:41 PM #417514ParticipantWowsers…
Okay I do not KNOW FOR SURE the answer to your questions. Number 1, the FHA waiver, by common sense should apply to you. However I am not sure if it will. In reality it is going to be up to your lender. If they say that the seasoning is going to be needed then there is not much you can do about that… sorry to say. This is definitely something you need to talk to your mortgage broker about.
Why the seller did the transfer? Well if the home is part of a corporation but then the corp declares bankruptcy… you see where I am going with this? Basically it sounds as if he was contemplating a stall tactic. Then at some point found it perhaps would not work because even though the title was in the corporate name, the loan was not. Anyways that is just speculation on my part and may be totally wrong.
Also you talked about escrow. So I take it your offer was accepted by the lender and they sent an agreement to release the lien correct? That is good. So when they did that, I assume you then opened escrow right? After that you then did your inspection and appraisal. Yeah I would agree… kind of a mess.
As far as the fha waiver expiration… yeah that is bad news. If it was before 6/9 you were good to go but after 6/9… Honestly again, I would have to defer to your broker. However take heart because by the time an reo gets processed and relisted, you are close to the 90 days anyways.
Conventional verses fha? Well my experience is that sellers, both regular resale, and lenders who are short selling and reo sellers prefer conventional over fha but that doesnt mean they will turn down fha…
I probably didn’t answer much…
June 17, 2009 at 10:41 PM #417580ParticipantWowsers…
Okay I do not KNOW FOR SURE the answer to your questions. Number 1, the FHA waiver, by common sense should apply to you. However I am not sure if it will. In reality it is going to be up to your lender. If they say that the seasoning is going to be needed then there is not much you can do about that… sorry to say. This is definitely something you need to talk to your mortgage broker about.
Why the seller did the transfer? Well if the home is part of a corporation but then the corp declares bankruptcy… you see where I am going with this? Basically it sounds as if he was contemplating a stall tactic. Then at some point found it perhaps would not work because even though the title was in the corporate name, the loan was not. Anyways that is just speculation on my part and may be totally wrong.
Also you talked about escrow. So I take it your offer was accepted by the lender and they sent an agreement to release the lien correct? That is good. So when they did that, I assume you then opened escrow right? After that you then did your inspection and appraisal. Yeah I would agree… kind of a mess.
As far as the fha waiver expiration… yeah that is bad news. If it was before 6/9 you were good to go but after 6/9… Honestly again, I would have to defer to your broker. However take heart because by the time an reo gets processed and relisted, you are close to the 90 days anyways.
Conventional verses fha? Well my experience is that sellers, both regular resale, and lenders who are short selling and reo sellers prefer conventional over fha but that doesnt mean they will turn down fha…
I probably didn’t answer much…
June 17, 2009 at 10:41 PM #417741ParticipantWowsers…
Okay I do not KNOW FOR SURE the answer to your questions. Number 1, the FHA waiver, by common sense should apply to you. However I am not sure if it will. In reality it is going to be up to your lender. If they say that the seasoning is going to be needed then there is not much you can do about that… sorry to say. This is definitely something you need to talk to your mortgage broker about.
Why the seller did the transfer? Well if the home is part of a corporation but then the corp declares bankruptcy… you see where I am going with this? Basically it sounds as if he was contemplating a stall tactic. Then at some point found it perhaps would not work because even though the title was in the corporate name, the loan was not. Anyways that is just speculation on my part and may be totally wrong.
Also you talked about escrow. So I take it your offer was accepted by the lender and they sent an agreement to release the lien correct? That is good. So when they did that, I assume you then opened escrow right? After that you then did your inspection and appraisal. Yeah I would agree… kind of a mess.
As far as the fha waiver expiration… yeah that is bad news. If it was before 6/9 you were good to go but after 6/9… Honestly again, I would have to defer to your broker. However take heart because by the time an reo gets processed and relisted, you are close to the 90 days anyways.
Conventional verses fha? Well my experience is that sellers, both regular resale, and lenders who are short selling and reo sellers prefer conventional over fha but that doesnt mean they will turn down fha…
I probably didn’t answer much…
June 19, 2009 at 2:34 PM #417651ParticipantI just found additional info – The 90 day Title Seasoning Waiver for REOs was extended last month:
“This revised notice on the FHA property flipping waiver extension corrects the date in the last line of the notice that was published on 5/15/09:
“Federal Housing Commissioner Brian D. Montgomery has extended the temporary property flipping waiver to May 10, 2010. Under the waiver, homes that were foreclosed on and are being sold by the mortgagee or on its behalf may be purchased by FHA borrowers without regard to the 90-day seasoning period. The waiver does not apply to entities that purchase foreclosures either singly or in bulk for resale. Subsequent sales of such properties will continue to be subject to the standard regulatory requirements.
The waiver expires for all loans for which the sales agreements were signed by the seller and buyer on or before May 10, 2010.”June 19, 2009 at 2:34 PM #417885ParticipantI just found additional info – The 90 day Title Seasoning Waiver for REOs was extended last month:
“This revised notice on the FHA property flipping waiver extension corrects the date in the last line of the notice that was published on 5/15/09:
“Federal Housing Commissioner Brian D. Montgomery has extended the temporary property flipping waiver to May 10, 2010. Under the waiver, homes that were foreclosed on and are being sold by the mortgagee or on its behalf may be purchased by FHA borrowers without regard to the 90-day seasoning period. The waiver does not apply to entities that purchase foreclosures either singly or in bulk for resale. Subsequent sales of such properties will continue to be subject to the standard regulatory requirements.
The waiver expires for all loans for which the sales agreements were signed by the seller and buyer on or before May 10, 2010.”June 19, 2009 at 2:34 PM #418147ParticipantI just found additional info – The 90 day Title Seasoning Waiver for REOs was extended last month:
“This revised notice on the FHA property flipping waiver extension corrects the date in the last line of the notice that was published on 5/15/09:
“Federal Housing Commissioner Brian D. Montgomery has extended the temporary property flipping waiver to May 10, 2010. Under the waiver, homes that were foreclosed on and are being sold by the mortgagee or on its behalf may be purchased by FHA borrowers without regard to the 90-day seasoning period. The waiver does not apply to entities that purchase foreclosures either singly or in bulk for resale. Subsequent sales of such properties will continue to be subject to the standard regulatory requirements.
The waiver expires for all loans for which the sales agreements were signed by the seller and buyer on or before May 10, 2010.”June 19, 2009 at 2:34 PM #418212ParticipantI just found additional info – The 90 day Title Seasoning Waiver for REOs was extended last month:
“This revised notice on the FHA property flipping waiver extension corrects the date in the last line of the notice that was published on 5/15/09:
“Federal Housing Commissioner Brian D. Montgomery has extended the temporary property flipping waiver to May 10, 2010. Under the waiver, homes that were foreclosed on and are being sold by the mortgagee or on its behalf may be purchased by FHA borrowers without regard to the 90-day seasoning period. The waiver does not apply to entities that purchase foreclosures either singly or in bulk for resale. Subsequent sales of such properties will continue to be subject to the standard regulatory requirements.
The waiver expires for all loans for which the sales agreements were signed by the seller and buyer on or before May 10, 2010.” -
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