ING Chooses To Squander Funds
The focus of shortsalepower.com over the past couple days has been on how a range of banks are dealing with short sales. We spoke about OCWEN and how they prefer to lose money instead of doing short sales. We also spoke about Bank of America and their attempt to fix shortfalls in their short sale procedure. Today, we’d like to go back to the well and speak about another lender, ING.
We are currently working on a short sale with ING and have received some fascinating news from them. First, they have declared that the house owner in this particular short sale needs to sign a promissary note for the residual deficiency balance in order to close the short sale. So, obviously, we resolved to escalate to the executives at ING. There reply was both puzzling and interesting.
First of all, they acknowledged that ING only deals directly with borrowers. That proclamation is obviously false because there is already a negotiator dealing with us on the short sale. Secondly, they stated that they will not negotiate loan repayment terms with third parties. Once more, this is false because they have already started negotiating with us. Thirdly, they affirm that short sales are not the right of residence owners or their brokers. That is true, but this would lead us to deem that ING wants to be a house owner. As far as we know, the lender is in the business of making money, not owning property.
This offer was for 85% of the mortgage value which is a very substantial offer. Aren’t the banks intended to work in their best interest to mitigate loss?
The CEO of ING got involved and noted to us that they do not deal with intentional defaulters. Nevertheless, the house owners in this situation are not strategic defaulters. At the end of the day, it does not matter why the short sale is being executed. The lender must focus on mitigating loss.
Get powered up by Kevin and Fred at Short Sale Power Hour by the Short Sale Specialists of Arizona
Filed under Foreclosures by .