I’ve come to the conclusion that Countrywide’s lack of efficiency is one of the biggest impediments to the housing market. They just don’t seem to care that they are single-handedly preventing us from closing because of their ridiculous delays. It is frustrating that they acknowledged verbal approval but cannot give formal written approval.
I’m sure what I’m about to say doesn’t help or make the situation, but perhaps it might provide a little insight about what’s been going down with CW. Countrywide began re-structuring all their workout departments near the end of March in preparation for the July merger with Bank of America. At a lot of buildings SPO negotiators became modification negotiators. Or repayment plans becoming SPO. Or Modification becoming SPO. etc… This involves the new training for the whole department & management for this new job type–
I’m sorry, but handling SPO’s is not something that someone just gets or understands the moment they get a portfolio. It really takes a bit of time for all the kinks to be ironed out-- along with the changes they’ve been trying to make to the process itself. They are now trying to not assign files until the entire package is complete & an appraisal is received. Before, negotiators would be swimming in bad files with incomplete information that they would have to pull teeth to get from the agent or borrower which takes time away from the files that can be thrown together & approved/closed. The department is trying to merge their policies with that of Bank of America to condense the process & make sure all guidelines are being met for investor or MI companies. In this time ALOT of files built up and have been waiting assignment so these negotiators that have really not been doing SPO’s (for the most part) that long. They have just opened a new department at a new facility with plans to be over 120 employees strong by September-ish, but it still takes time to get all those people hired & trained.
Again, this doesn’t help your situation I’m sure- but they are trying to make the process easier so people don’t have to wait 12+ weeks to get a short sale completed which was happening pre-March. The ultimate goal, I believe, is 5 days for the appraisal once a package is completely received. From there it will be reviewed & assigned. As much as possible, management would like files to have a decision (approved or declined) within a week. Ultimately, it’s not known if this system will work-- it all depends on portfolio size & if the files are getting assigned with complete packages & appraisals, otherwise the process lengthens.
Best of luck…
Every cloud has a silver lineing. I have found all banks and lenders take forever. The longer they take the more the prices drop. The more they shoot themselves in the foot. I have seen propertys that go at auction at 50% of the loan value, sometimes as low as 70% of the loaned amount on the property when all they had to do was except the offer they had 3 months ago and they would have lost only 20 - 30 % of the loan amount. Don’t be in such a hurry to help bail out the lenders let those prices fall. I would rather buy 4 units in 2009 for $150,000 than to buy 4 units now for $200,000.
" patience is a virtue " - some really smart guy
" one man gathers what another man spills " - gratefull dead
" get off that stupid computer allready " - my wife