Broker Bryant needs a hug!!!

By
Real Estate Broker/Owner with Bryant Tutas-Tutas Towne Realty, Inc BK607690

 Yesterday, after seven months on the market, one of my listings finally sold. The sad part is it sold on the steps of the county court house as a foreclosure. I hate it when that happens. I feel like I failed in my attempts to help this Seller out.

His property was a flip that flopped. It was purchased in early 2006, at $225,000, with a $5,000 down payment. This particular builder sold about 30 of these homes to folks down in south Florida. I had written about here (A dollar short and many days late) and here (help stamp out fraud).

Unfortunately, by the time I took the listing, the property was only worth about $200,000 and we were going to need to negotiate a short sale in order to get it sold. Within six weeks of having it on the market we placed it under contract for $200,000. The buyer was a Mortgage Broker and was willing to give us time to get the short sale approved. The Seller, at my suggestion, hired an Attorney to negotiate the short sale with the Lender.

There were two loans on the property so it was the second lien holder who needed to accept the short. I don't know if they were just swamped with short sales or what but it took almost four months for them to finally, not accept the short, but ask for more information from the Buyer!! The biggest issue was they kept switching account reps on us. We were now dealing with our 5th account rep. Unbelievable. Anyway, by the time they finally got around to working the file, the Buyer had all ready moved on.

To make matters worse, the market values in Poinciana Fl had plummeted, and the property was now only worth about $175,000. We were still determined to do everything we could to get this house sold so we dropped the price to $179,000. No action. The market has crashed in my area and is saturated with pre-foreclosures and desperate Sellers.

About a month ago my Seller received the final foreclosure notice with a date of June 13th for the foreclosure sale to take place. So, in a last ditch effort, we reduced the price to $169,000. Within days we had multiple offers on the property and submitted them to the 2nd lien holder, to try, once more, to get them to accept the short sale, in lieu of foreclosing.

Well, again, they switched account reps on us. We never heard back from them and yesterday it was sold on the court house steps.

I've handled quite a few short sales in my career and this was the very first time that I lost. I'm disappointed. My Seller is kind of relieved that it's over but disappointed the Lender wouldn't work with us. We did everything we could. Now my Seller has to worry about the Lender filing a deficiency judgment against him on the mortgage note and attaching other assets. Of course there is nothing else I can do to help. I was defeated and I'm done. And that's all I have to say about that. Can I have a hug?

***"Pooh" Broker Bryant image compliments of Nick "Duh" Appraiser. 

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Do NOT be foreclosed on! Avoid foreclosure. Short Sales DO close.

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***I am NOT an Attorney nor do I play one on TV. Click the button below for my Bio.

The BIO for Bryant Tutas

 

 Tutas Towne Realty, Inc handles Florida real estate sales, Florida short sales, Florida strategic short sales, Florida pre-foreclosure sales, Florida foreclosures in Kissimmee Florida Short Sales, Davenport Florida Short Sales, Haines City Florida Short Sales, Poinciana Florida Short Sales, Solivita Florida Short Sales,  Orlando Florida Short Sales, Celebration Florida Short Sales, Winderemere Florida Short Sales. Serving all of Polk, Osceola and Orange Counties Florida. Florida Short Sale Broker. Short Sale Florida.

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Anonymous
Anonymous
Anonymous

Bryant,

I'm sure you did everything possible to get a sale.  Isn't it frustrating when you can't get the bank to communicate with you.  In recent years, I've handled very few short sales and like it just fine this way.  Hope today is a brighter day for you.

Jun 15, 2007 06:25 AM #65
Rainmaker
451,192
Allison Stewart
St.Cloud Homes - Saint Cloud, FL
St. Cloud Fl Realtor, Osceola County Real Estate 407-616-9904

There There Broker Byrant... you are  did the best you could. The problem is there are some banks which simply do not want to do short sales. They would rather foreclose.  They do exactly what you outlined they avoid, reassign, or simply do not return phone calls. Their goal is not to take less, it is get it all in the end. The Deficiency Judgement is a dangerous device.  Perhaps when we hit a saturation point of foreclosures, the methodology will change as a by product of neccessity. When they have so many on the books, it will force a change. This may be only the tip of the "foreclosure iceberg". Really there was nothing else you could have done, and it is frustrating and aggrvating to know it was all for nothing.  

Jun 15, 2007 06:29 AM #66
Rainer
138,958
Jay McGillicuddy
Berkshire Hathaway HomeServices Verani Realty - Exeter, NH
Real Estate Broker
What a shame, you did the best you could. Times are tough and things will get better. But when is the big question. 
Jun 15, 2007 06:35 AM #67
Rainer
70,844
Thomas Weiss
Thomas R. Weiss - West Palm Beach, FL

Hey when you have these short sales, the second lien holder usually runs the risk of becoming obsolete anyway, I don't understand why they make everything so complicated.

Sorry....

Jun 15, 2007 06:57 AM #68
Rainer
262,055
Teresa Boardman
Saint Paul Home Realty - Saint Paul, MN
A virtual hug my friend.  I feel your pain and share it too.
Jun 15, 2007 07:50 AM #69
Rainmaker
1,088,062
Bryant Tutas
Bryant Tutas-Tutas Towne Realty, Inc - Poinciana, FL
Broker/REALTOR, Tutas Towne Realty, Inc

Well good morning everyone! I'm going to be a bad post host today as I have to head out for appointments all day. A few new listings coming on today AND no short sales!! WooHoo.

I hope everyone has a great day today.

Did I see Carnac up there? Now I really excited.

Jun 15, 2007 07:52 AM #70
Rainer
581
Patricia Del Bagno
National One Mortgage a division of First National Bank of Central Florida - Kissimmee, FL

Bryant, as a mortgage loan officer, I can understand the fustration of the home owner and the realtor.  However, just a food for thought, if you or anyone has a client that is going through hard times before he hits 60 days delinquency, we have programs for floreclosure bailouts.  The homeowner unfortunaltey will have to pay a higher rate, but at least he will not have a foreclosure on his credit. I saved a homeowner from foreclosure and I understand first hand  the grief it causes them and there families.  This would be a win win situation for everyone.  I live in Poinciana for 5 years and the prices are dropping. 

Good luck on your next sales.

Hugs from Patricia Del Bagno

Jun 15, 2007 09:20 AM #71
Anonymous
Anonymous
Anonymous

BB,

As you know we are having the same type of things happening here. It's frustrating. And sad too. But we can only do what we can do. The banks need to get better systems in place as this is only going to be happening more. I'm watching some of the ones that aren't sold prior to FC coming back at ridiculous high prices - not sure why & the bank just continues to lose more.

Oh & here's your hug pooh bryant: <<<<<<<<<<<<<<<<<<<HUG>>>>>>>>>>>>>>>>>>>>>>>

Jun 15, 2007 10:11 AM #72
Rainmaker
163,424
Susan Milner
Florida Future Realty, Inc. - Cape Coral, FL
Cape Coral Real Estate Broker, FloridaFutureAgents
By the way, I wasn't logged in I guess, that last comment was from me!
Jun 15, 2007 10:17 AM #73
Ambassador
774,529
Robert & Lisa Hammerstein
Keller Williams Valley Realty - Hillsdale, NJ
Bergen County NJ Real Estate

Hey BB,

This hugs for you!  (((((((((((((((((((((((((((((BB)))))))))))))))))))))))))))))))))))))))))))))))) !!!!!!!!!!

You did a better job than most would have done and for that you should feel proud.

 

Jun 15, 2007 10:46 AM #74
Rainmaker
99,269
Mary Ann Daniell, Realtor Killeen Fort Hood Texas
Coldwell Banker United, Realtors - Killeen, TX

For military personnel who need to sell now, and bought  their home with a VA loan, VA offers a benefit called a VA Compromise (short sale).  Seven years ago, our Fort Hood market was rife with VA compromises.  With the great market conditions of the past few years, a VA Compromise became a distant memory.   It's time to dust off our skills again for working with sellers and lenders to make these VA short sales work!   Unfortunately, seems as if the lenders have all but disbanded their loss mitigation departments.  They will have to respond to the demand for short sales and increase staff and provide the necessary training ASAP.  As Raye said above, our market is showing the signs of an increase in foreclosures, not just from defaults on loan payments, but from soldiers needing to sell with no appreciation to cushion their costs to sell.  These hard working men and women in the Army here at Fort Hood and in Iraq are under unbelievable stress. 

Jun 15, 2007 10:50 AM #75
Rainer
49,084
Dianne Barody
Century 21 AmeriSouth Realty - Pensacola, FL
Pensacola Florida Real Estate
Bryant, here are hugs coming your way!!! That is too bad they had to keep changing reps on you guys.  Lenders need to get  a clue.
Jun 15, 2007 01:49 PM #76
Anonymous
Anonymous
Anonymous
Try using the National Short Sale Center.  www.shortsalecenter.com  they have helped me a ton.
Jun 15, 2007 02:43 PM #77
Rainmaker
325,189
Jeff R. Geoghan
Coldwell Banker Select Professionals - Lancaster, PA
Marketing VP & Real Estate Agent Trainer
This is going to be a way of life in the near future, I'm afraid.  It's going to suck being a 2nd lienholder...
Jun 15, 2007 03:00 PM #78
Rainmaker
1,088,062
Bryant Tutas
Bryant Tutas-Tutas Towne Realty, Inc - Poinciana, FL
Broker/REALTOR, Tutas Towne Realty, Inc

OK I finally got finished with work today. Two more shiny new listings!!! And both have plenty of equity and are not deliquent on payments. Yippee! Sure makes my job easier when I actually have a shot at getting them closed.

Thanks for all the info on VA compromise. Is there a link you can provide?

Jun 15, 2007 05:14 PM #79
Rainmaker
246,716
Katrina Madewell
Charles Rutenberg Rlty- More than 5,000 agents(813) 777-1196 - Tampa, FL
Tampa FL Homes for sale | Tampa Bay - (813) 777-1196
this IS sad.... short sales can get that way, HARD HARD part of our job.
Jun 16, 2007 04:17 AM #80
Rainmaker
182,992
Irina Netchaev
Pasadena Views Real Estate Team, Inc. - Pasadena, CA
Pasadena CA Real Estate

BB, yes... you definitely need a HUGE HUG  ((((((((((((((:-))))))))))))))))))))

Jun 16, 2007 11:25 PM #81
Rainer
131,525
Susan Trombley
Trombley Real Estate - Raleigh, NC
Broker/Realtor, Raleigh, Cary, Wake Forest, Youngsville

Bryant,

I to was sad to hear on the court house steps. I hope the seller did not blame you. XXOOOXOXOX

Jun 17, 2007 05:32 PM #82
Ambassador
248,647
Fran Gatti
RE/MAX Coastal Redwoods - Crescent City, CA
Realtor, CDPE, RDCPro - Crescent City CA Real Esta

Bryant,

Sounds like the lender doesn't know a thing about customer service.  I feel for your seller, but I'm sure he knows you did everything in your power to help him out.

Fran

Jun 18, 2007 12:49 AM #83
Rainer
4,796
Preston Riley
Weichert Realtors, Dean-Kelby - Charleston, SC
Very bad news on your end, but you can't win them all. I'm sorry to say. Hey, 999 out of 1000 ain't bad. Keep up the good work
Jun 19, 2007 02:43 PM #84
Show All Comments
Rainmaker
1,088,062

Bryant Tutas

Broker/REALTOR, Tutas Towne Realty, Inc
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