Hamden, Connecticut VA Compromise Sale with Chase Bank: Once in a while I am surprised when a lender just has it together and a short sale approval comes easy…unfortunately rarely is that the case with Chase…
HOME SALE CHALLENGE:
After many months on market trying to sell his home as a traditional sale, this Hamden, CT homeowner realized there would simply be no way to get enough for the home to be able to pay off the loan, and decided instead to pursue a short sale.
REID REAL ESTATE GROUP APPROACH:
Our seller had two loans, a first mortgage – a VA loan – held by Chase, as well as a smaller Ditech line of credit. While VA Compromise Sales (short sales with loans backed by the Department of Veterans Affairs) are generally very predictable, VA tends to be pretty strict on payouts to junior lienholders, creating possible problems with second mortgages and HELOC’s. Our seller was open to a few possible workarounds and we put the home on market.
RESULTS:
It took 3 months – much longer than anticipated, to get an offer on the property. Unfortunately the buyer decided to walk just 5 days later.
Another 6 weeks passed until our next buyer came along. We continued on our short sale processing with Chase, who senselessly dragged on for 3 months until the buyer got fed up and walked away.
Third time’s the charm! Not long after getting back on market a bidding war over the property ensued, and we were able to to secure a strong buyer. Thankfully the buyer was also patient, as Chase made us jump through hoops for another 3 months until they finally issued a short sale approval! To our surprise VA approved a rather generous payoff to Ditech, who quickly followed with their own approval letter.
A year of struggles later our seller closed on his home with full debt forgiveness on two loans, and even a $1500 incentive check for his troubles!
Last Updated on September 27, 2017 by Minna Reid