Hi
I am a RE agent, who currently has a client that is facing a Auction date of march 28. We have an offer on the table that covers all costs, except the pre-payment penalty of 17K. I’ve approched the Lender and their legal department to see if they will waive all or some of PP, to prevent foreclosure. We have already negotiated all commission to bare. Is there any other angle I should consider. If the lender refuses, do we have any other options?
Thanks,
Carol
Howdy Carol:
The demand letter should state the amount needed to pay off the loan. If it is in default I do not see how they can add a prepayment penalty to that amount. I could be wrong of course.
Ted
It is in default, the Lender has tagged on legal fees, PP, back due payments, late fees & mortgage balance. Total fees without mortgage balance is 51,900 then real estate and closing costs are another 38,500 which were already discounted. We have an all cash offer on the table, but can’t accept because we still don’t have exact amount of all these fees from lender. Requested payoff demand over 6 weeks ago. Auction date is fast approching. Any suggestion?
Carol
Howdy Carol:
My thoughts exactly. Call them every day and keep asking for their supervisor if you do not get action. When facing foreclosure the lender should respond the next day after calling the attorney and getting their fees included in the total. Start threatening to call the BBB and the licensing agency that gave them their license to write mortgages. Ameriquest thought they were above the law with all their crooked BS but they got hammered by the FTC and many class action lawsuits. I even got a grand from them for a few loans I had.