“How a Cape Coral Short Sale Works on a Fannie Mae Loan”

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Cape Coral, Fl. – Fannie Mae stands for Federal National Mortgage Association. Fannie Mae was placed into conservatorship by the US Government in June, 2008.

Fannie Mae short sales are much simpler than other short sales. Around half of all US mortgages are owned by Fannie Mae or Freddie Mac. That means the company you have been mailing your mortgage payment to does not actually own your loans. You might mail your check to Bank of America, Wells Fargo, or Chase. But, they act as a “Servicer” on behalf of Fannie Mae.

Fortunately for most homeowners, Fannie Mae does not pursue deficiencies or promissory notes. The only exceptions are if it were a strategic default or the loan has Mortgage Insurance. Even in these cases, you can usually avoid a deficiency judgment. A Fannie Mae short sale has to be approved by Fannie Mae.

That means you will send all your paperwork to your lender. They will process your paperwork and then send the final paperwork to Fannie Mae for final approval. In some cases, the lender will be “delegated.” This means that Fannie Mae has “delegated” the authority to make decisions on the short sale to the lender.

Fannie Mae is fairly reasonable with their short sale process. Unlike certain lenders, they don’t demand more than is reasonable. They adjust their policies from state to state to make the process easier. In addition, they have a great policy for negotiating with second mortgages.

Short sales with two mortgages can be very tough. The first and second mortgages fight over the available funds. This usually throws a wrench in the short sale negotiations. The second will get zero in a foreclosure. But, the first is willing to give  the second something because a foreclosure cost them  money.

However, the second wants more than the first is willing to give. Fannie Mae has gotten rid of all the issues with a straight forward second mortgage policy. They pay $3,000. to the second mortgage, regardless of what they are owed. This streamlines the process and makes everyone happy.

Thinking about a short sale? I can help you short sale your property and never pay the bank another penny. Contact me and when we talk, I will explain how the process works in detail and answer any questions you may have.

Thanks for reading this, if you or anyone you know needs real estate advice please do not hesitate in contacting me –

Donna Bishop Realtor call me (239) 560-3149 or email me: donnabishoprealtor@gmail.com

 

 

 

 

About donnabishoprealtor@gmail.com

Awesome Service: I make dreams come true. I am a Real Estate Consultant. I place great value on the needs, expectations and goals of all my clients whether buying or selling. By helping they find their perfect solution. I will truly listen to you. I have 33+ years experience in all phases of real estate. I am a Loan Modification Specialist, a Short Sale Expert, and a Successful Negotiator. A certified Senior Real Estate Specialist. Former Owner/Broker of A & B Mortgage Brokers of Fl. Plus a former Appraiser. A Professional Realtor. This experience and knowledge gives me the confidence to advise you correctly. I want you to have an Awesome Experience so you will recommend me to all the people you care about. After all, a referral is sending someone you care about to someone you respect.

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