A bank (BofA) had accepted our offer on a short sale (after 4 months) and asked us for proof of funds.  We provided the proof of funds as requested.  The bank then went silent for 3 business days.  That delay concerned us so we checked Realtytrac.  We learned that an NOD was filed on the home yesterday.  Is there a plausible explanation for this other than the bank is about to back out of the deal?

Thanks.

jsboxer - 14 October 2009 07:36 PM

A bank (BofA) had accepted our offer on a short sale (after 4 months) and asked us for proof of funds.  We provided the proof of funds as requested.  The bank then went silent for 3 business days.  That delay concerned us so we checked Realtytrac.  We learned that an NOD was filed on the home yesterday.  Is there a plausible explanation for this other than the bank is about to back out of the deal?

Thanks.

I have no clue about your question, but your screen name peaked my interest… do you have a boxer dog, or are you a fan of the beating people up sport or not like tightie whities?

jsboxer - 14 October 2009 07:36 PM

A bank (BofA) had accepted our offer on a short sale (after 4 months) and asked us for proof of funds.  We provided the proof of funds as requested.  The bank then went silent for 3 business days.  That delay concerned us so we checked Realtytrac.  We learned that an NOD was filed on the home yesterday.  Is there a plausible explanation for this other than the bank is about to back out of the deal?

Thanks.

I’m really sorry about your situation. I think that the mystery of short sales is really something that few know of. I’m hoping more people respond to this question and I am hoping that you can enlighten us when you find the answers. I guess since the bank has “gone silent” you have no other recourse than to hound them until you get an answer. Best of luck to you.

jsboxer - 14 October 2009 07:36 PM

A bank (BofA) had accepted our offer on a short sale (after 4 months) and asked us for proof of funds.  We provided the proof of funds as requested.  The bank then went silent for 3 business days.  That delay concerned us so we checked Realtytrac.  We learned that an NOD was filed on the home yesterday.  Is there a plausible explanation for this other than the bank is about to back out of the deal?

Thanks.

They may have accepted your offer, but they have no guarantee that you will follow through with the purchase.  The buyer retains the right to back out until title is transferred and recorded.  The bank is protecting itself and exercising its right.

In an analogous situation, sometimes tenants fail to pay the rent on time, but promise to get caught up soon.  To protect themselves, landlords often still serve 3-day and 30-day notices.

Congratulations and good luck,
-IR2

IrvineRealtor - 14 October 2009 08:08 PM

They may have accepted your offer, but they have no guarantee that you will follow through with the purchase.  The buyer retains the right to back out until title is transferred and recorded.  The bank is protecting itself and exercising its right.

In an analogous situation, sometimes tenants fail to pay the rent on time, but promise to get caught up soon.  To protect themselves, landlords often still serve 3-day and 30-day notices.

Congratulations and good luck,
-IR2

Translation: The bank is just following procedure. The NOD would have been filed whether there was an offer or not. The loss mit team that handles the short sale doesn’t talk to the loss mit team that handles the default/foreclosure process.

jsboxer - 14 October 2009 07:36 PM

A bank (BofA) had accepted our offer on a short sale (after 4 months) and asked us for proof of funds.  We provided the proof of funds as requested.  The bank then went silent for 3 business days.  That delay concerned us so we checked Realtytrac.  We learned that an NOD was filed on the home yesterday.  Is there a plausible explanation for this other than the bank is about to back out of the deal?

Thanks.

I used work at Citi (as well as other mortgage companies) on the loss mit side.  I am in IT so I did not deal with all the nitty gritty in loss mit but I know that they would file NOD’s on properties like clockwork no matter what was happening just to start the FC clock.  I feel there is no association to your deal and the timing of the NOD.  Good Luck!

UPDATE - Still waiting. :(

The bank came and accepted our offer.  I can’t tell you how shocked I am at this point.  We delivered the offer in July.  We got this home is 45% off its peak price from 2005.

Thanks to all who have contributed to the board.  I have mentioned in previous posts that I probably saved 12k per month during the 2.5 years that I waited to buy another house.  I waited to buy the house based on the advice and analysis posted on the board.

jsboxer - 12 November 2009 08:00 PM

The bank came and accepted our offer.  I can’t tell you how shocked I am at this point.  We delivered the offer in July.  We got this home is 45% off its peak price from 2005.

Thanks to all who have contributed to the board.  I have mentioned in previous posts that I probably saved 12k per month during the 2.5 years that I waited to buy another house.  I waited to buy the house based on the advice and analysis posted on the board.

Big congrats…when you do close?

jsboxer - 12 November 2009 08:00 PM

The bank came and accepted our offer.  I can’t tell you how shocked I am at this point.  We delivered the offer in July.  We got this home is 45% off its peak price from 2005.

Thanks to all who have contributed to the board.  I have mentioned in previous posts that I probably saved 12k per month during the 2.5 years that I waited to buy another house.  I waited to buy the house based on the advice and analysis posted on the board.

Good for you. Are you going to adopt a boxer in your new home?

Barring something strange…late december.

Boxer

IrvineRealtor - 14 October 2009 08:08 PM

jsboxer - 14 October 2009 07:36 PM

A bank (BofA) had accepted our offer on a short sale (after 4 months) and asked us for proof of funds.  We provided the proof of funds as requested.  The bank then went silent for 3 business days.  That delay concerned us so we checked Realtytrac.  We learned that an NOD was filed on the home yesterday.  Is there a plausible explanation for this other than the bank is about to back out of the deal?

Thanks.

They may have accepted your offer, but they have no guarantee that you will follow through with the purchase.  The buyer retains the right to back out until title is transferred and recorded.  The bank is protecting itself and exercising its right.

In an analogous situation, sometimes tenants fail to pay the rent on time, but promise to get caught up soon.  To protect themselves, landlords often still serve 3-day and 30-day notices.

Congratulations and good luck,
-IR2

exactly.  the bank is just positioning itself to foreclose on the home owner as soon as legally possible if the deal falls through.

jsboxer - 12 November 2009 08:00 PM

We delivered the offer in July.  We got this home is 45% off its peak price from 2005

What city in OC, if you want to say?  should not affect your deal now

It is in Coto De Caza.

jsboxer - 12 November 2009 08:00 PM

The bank came and accepted our offer.  I can’t tell you how shocked I am at this point.  We delivered the offer in July.  We got this home is 45% off its peak price from 2005.

Thanks to all who have contributed to the board.  I have mentioned in previous posts that I probably saved 12k per month during the 2.5 years that I waited to buy another house.  I waited to buy the house based on the advice and analysis posted on the board.

Congratulations.  Ya gotta love 45% off its peak price.
I hope the home works well for you and yours and I hope you enjoy Coto.  It is hard for some who do not live in Coto to see the attraction, but the peace one feels when one comes home and leaves the rest of the world behind is, if not priceless, at least worth a lot.  I do not know if you have a family, but it is also a wonderful neighborhood to raise a family.

My wife and I are from the East Coast.  Coto is actually the closest thing to parts of the East Coast in the area.  We like the hills and the quiet that Coto offers. The house we bought has no one behind us, no one in front, and no real fences.  We live in Irvine now and we have gotten tired of how close we are to everyone and the sheer amount of stucco and fences (no offense, lived in Irvine in that house for the past 5 years, Irvine is very nice).