Robin | Robin Fox | Listing agent with Solid Rock Realty |
Lloyd | Lloyd Leighton | Buyer's agent with Lloyd Leighton Realtors |
Caroline | Caroline Macairan | Short sale transaction coordinator with ReMax Gold - Natomas, hired by Robin Fox |
Kathy | Kathy Grossman | Escrow officer with North State Title |
Nadia | Nadia Artero | Loan officer with Wells Fargo Home Mortgage, buyers' lender |
John | Buyer | |
Tim | Seller | |
BofA | Bank of America | Seller's lender |
FNMA | Fannie Mae | Investor backing Bank of America's loan to the seller |
Herger | Wally Herger | U.S. Representative Wally Herger |
Date | Time | From | To | Topic: |
August 24, 2010 | 9:08 | Robin | Lloyd | Preliminary Title report attached |
August 24, 2010 | 9:11 | Robin | Kathy | Robin authorizes Kathy to release escrow information |
August 24, 2010 | 16:54 | Lloyd | Robin | Lloyd sends the buyers' offer to Robin. |
August 24, 2010 | 20:53 | Robin | Lloyd | Robin confirms that he has sent offer to seller for signature |
August 25, 2010 | 20:01 | Robin | Caroline | Robin sends copy of signed contract |
August 25, 2010 | 20:42 | Lloyd | Robin | Lloyd clarifies that the contract says the listing is supposed to be put into a pending status. |
August 26, 2010 | 8:40 | Caroline | Robin | Which title company do you want to use? |
August 26, 2010 | 20:59 | Robin | Lloyd | Robin says he will have listing put in a pending status |
August 31, 2010 | 18:13 | Robin | Lloyd | Caroline updates that she initiated new sale on 8/27 but has been asked for a current MLS printout, front view of the home, buyers' pre-approval, updated hardship letter, 2 recent pay stubs, updated financial worksheet, 2 recent bank statements, 09 tax filing. |
September 1, 2010 | 6:59 | Lloyd | Robin | Lloyd thanks Robin for his update of 8/31. |
September 1, 2010 | 12:40 | Robin | Lloyd | Robin confirms he has sent offer, deposit, pre-qualification letter, 2 bank statements, hardship letter and updated letter, copy of current MLS. Seller is working on filling out financial info sheets |
September 7, 2010 | 22:48 | Robin | Lloyd | Robin updating on contact between Caroline & Kathy re: buyer names and preparing a HUD-1 |
September 7, 2010 | 23:04 | Robin | Lloyd | Update from Caroline. She uploaded offer and supporting documents on 9/1. BofA rejected documents because the contract shows conventional financing but HUD shows VA financing and the HUD needs to list all buyers and not include an "et. al." notation. |
September 14, 2010 | 12:55 | Robin | Lloyd | Update from Caroline. Supporting documents are being reviewed by BofA. When complete, the file is complete it will be turned over to a negotiator and the valuations stage will begin. BPO will be ordered. |
September 15, 2010 | 2:43 | Lloyd | Robin | Lloyd thanks Robin for his update of 9/14. |
September 21, 2010 | 10:08 | Robin | Lloyd | Update from Caroline. Need updated financial info and negotiator is asking for August pay stub. |
September 22, 2010 | 9:59 | Robin | Lloyd | Robin confirms that financial info and pay stub was faxed to Caroline. |
September 28, 2010 | 16:40 | Robin | Caroline | Robin asks Caroline for updated time line. |
September 28, 2010 | 17:52 | Lloyd | Robin | Lloyd thanks Robin for sending a request for a time line to Caroline. |
September 30, 2010 | 13:01 | Robin | Lloyd | Update from Caroline. BofA says sellers qualify for a HAFA short sale. Sellers are being solicited for HAFA. Seller should have rec'd a package with HAFA info. Sellers will have to decide if they want to proceed with the current short sale or start over with a HAFA short sale. |
September 30, 2010 | 13:51 | Lloyd | Robin | Lloyd agrees with Caroline that going through HAFA will probably cause delays. |
September 30, 2010 | 14:39 | Robin | Lloyd | Robin acknowledges receipt of Lloyd's Email re: HAFA |
October 1, 2010 | 11:48 | Robin | Caroline | Robin informs Caroline that buyers are asking about HAFA. Robin tells Caroline that foreclosure began on 7/19/10 |
October 1, 2010 | 12:53 | Lloyd | Robin | Lloyd gives Robin the recording information for the Notice of Default. |
October 1, 2010 | 13:51 | Lloyd | Robin | Lloyd sends Robin information on HAFA short sales. |
October 1, 2010 | 19:44 | Lloyd | Robin | Lloyd informs Robin that the thought of delays by switching to HAFA is making the buyers nervous. |
October 4, 2010 | 8:05 | Robin | Lloyd | Robin acknowledges receipt of Lloyd's Email of 10/1 re: HAFA |
October 5, 2010 | 9:20 | Robin | Tim | Robin asks seller to let Caroline know how they want to proceed regarding the HAFA the short sale. |
October 5, 2010 | 18:23 | Lloyd | Robin | Requests an update from Robin on what sellers have decided regarding the offer of a HAFA short sale. |
October 6, 2010 | 13:30 | Robin | Caroline | Seller has not received HAFA package that BofA was supposed to have sent. |
October 6, 2010 | 13:30 | Robin | Lloyd | Robin references other Email of 10/6/2010 @ 13:30 |
October 11, 2010 | 20:04 | Lloyd | Robin | Lloyd forwards a request for an update to Robin |
October 11, 2010 | 20:50 | Robin | Caroline | Robin asks Caroline for an update. |
October 12, 2010 | 11:14 | Lloyd | Robin | Lloyd let's Robin know that the seller is giving us one week to get an approval from BofA. |
October 12, 2010 | 13:20 | Robin | Lloyd | Robin acknowledges Lloyd's Email of 10/12 @ 12:14 PM |
October 12, 2010 | 13:27 | Robin | Caroline | Robin lets Caroline & Tim know that the buyer is giving one week to receive bank approval. |
October 13, 2010 | 9:50 | Robin | Caroline | Robin says the seller was finally able to talk to someone at BofA. BofA tells the sellers they don't qualify for HAFA as the home is not owner occupied (something BofA has known for months and months). |
October 18, 2010 | 13:10 | Robin | Lloyd | Robin & Lloyd discuss paying negotiator and miscellaneous fees. It includes an Email from Caroline dated 10/18 with a time stamp of 14:06 PM. BofA's preliminary short sale approval terms are included. |
October 18, 2010 | 14:22 | Lloyd | Robin | Buyer is excited for short sale approval. Lloyd will get buyer deposit to title and will order the home inspection. |
October 20, 2010 | 11:04 | Robin | Lloyd | Cynthia from Warren Real Estate has been asked to do a BPO. |
October 20, 2010 | 11:42 | Robin | Caroline | Should we be worried about a BPO at this stage since the bank has already given us the terms of approval? |
October 20, 2010 | 14:46 | Caroline | Robin | BPO only good for 90 days. |
October 20, 2010 | 15:19 | Caroline | Lloyd | We accept terms of BofA approval. |
October 20, 2010 | 17:12 | Robin | Caroline | Confirm pay of negotiator fee and apologizes for not notifying Caroline that everyone accepted the approval terms from BofA. |
October 21, 2010 | 8:27 | Caroline | Robin | Sending referral fee agreement. |
October 26, 2010 | 6:57 | Lloyd | Robin | Lloyd informs Robin that the Notice of Trustee sale has hit the paper and is scheduled for 11/17. |
October 26, 2010 | 8:19 | Robin | Caroline | Robin asks Caroline to touch base with the bank on the foreclosure sale scheduled for 11/17. |
October 26, 2010 | 12:54 | Caroline | Robin | Status update & comments about BPO request. |
October 27, 2010 | 8:42 | Kathy | Robin | Copy to Lloyd saying the Notice of Sale hit the paper. |
October 27, 2010 | 9:13 | Robin | Caroline | Robin asking Caroline if we need to be concerned about the foreclosure sale. |
October 27, 2010 | 9:32 | Lloyd | Robin | Copies to Caroline & Kathy. It would be good if we can get a one or two week extension past BofA's deadline of 11/15 for closing the short sale. |
October 27, 2010 | 10:41 | Caroline | Robin | Caroline to request a delay of the foreclosure sale set for November 17th. |
October 27, 2010 | 11:00 | Robin | Caroline | Acknowledges Caroline will ask for a postponement of the foreclosure sale. It also asks the seller to sign the hardship letter and supply September and October bank statements and pay stubs. |
October 27, 2010 | 11:23 | Caroline | Robin | Caroline needs items from seller by 10/29, has been successful getting postponements of Trustee sales. |
October 29, 2010 | 16:58 | Lloyd | Robin | Send copy of buyers' $165K appraisal. |
November 1, 2010 | 14:30 | Lloyd | Caroline | Inform Caroline and Robin that buyers wish to stick with the $179K purchase price. Also lays out a time line which indicates that we cannot close by the scheduled foreclosure sale date of 11/17. |
November 1, 2010 | 21:07 | Robin | Lloyd | Tax questions from sellers |
November 2, 2010 | 7:39 | Robin | Lloyd | Robin acknowledges Lloyd's Email of 11/2 regarding tax questions |
November 2, 2010 | 17:02 | Lloyd | Robin | Lloyd advises Robin to have the sellers contact Kathy to learn more about tax forms Kathy sent to them. |
November 3, 2010 | 8:24 | Caroline | Robin | BofA asks if 11/17 close is possible, Caroline submitted buyers' appraisal. |
November 8, 2010 | 8:36 | Caroline | Robin | Short sale approval attached and says she is requesting an extension on foreclosure sale. |
November 8, 2010 | 8:37 | Caroline | Robin | Referral agreement attached. |
November 15, 2010 | 12:52 | Robin | Lloyd | Robin acknowledges Lloyd's Email of 11/15 regarding postponement of the foreclosure sale to 12/17. Also, Nadia is waiting for an underwriter response to the buyer's loan package. |
November 19, 2010 | 17:28 | Robin | Nadia | Robin asks Nadia to send him page 8 of the contract in .pdf so that he can use DocuSign to sign it. |
November 19, 2010 | 17:33 | Lloyd | Robin | Lloyd attaches page 8 of the contract. |
November 19, 2010 | 17:37 | Robin | Lloyd | Robin acknowledges getting page 8 from Lloyd. |
November 19, 2010 | 18:05 | Robin | Lloyd | Broker signature via DocuSign. |
November 20, 2010 | 19:00 | Caroline | Lloyd | Caroline confirms she submitted copy of buyers' appraisal to BofA. |
November 20, 2010 | 21:01 | Robin | Lloyd | Listing broker signature sent to Nadia. |
November 21, 2010 | 21:05 | Robin | Lloyd | Listing broker signature sent to Nadia. |
November 22, 2010 | 10:02 | Robin | Lloyd | Caroline declined the DocuSign envelope with listing broker signature |
November 30, 2010 | 7:29 | Caroline | Robin | FNMA requests seller sign a $7,530 note for part of the deficiency. |
November 30, 2010 | 7:54 | Lloyd | Caroline | Lloyd's response to BofA request for $7,530 note and suggests we propose a sale price of $172, 530 ($165,000 + $7,530). |
November 30, 2010 | 9:12 | Lloyd | Caroline | Give Caroline phone number for BofA concierge. |
November 30, 2010 | 10:49 | Caroline | Robin | Caroline is asking BofA why $7,530 is just now being requested |
November 30, 2010 | 10:51 | Caroline | Lloyd | Caroline says concierge number is just the main short sale phone number |
November 30, 2010 | 11:00 | Lloyd | Caroline | Acknowledge Caroline's 10:49, 1/30 Email regarding Caroline is trying to find out about investor response |
November 30, 2010 | 16:21 | Caroline | Robin | BofA explains request for $7,530 note. Says investor sees available income for repayment of a portion of the deficiency. |
November 30, 2010 | 17:35 | Lloyd | Caroline | If seller is unwilling to sign $7,530 note, then proceed with $172,530 proposal. |
December 1, 2010 | 9:25 | Robin | Kathy | Robin confirmed that Kathy told him buyers' loan docs are in title. Also trying to figure out how to collect money for Caroline's fee. |
December 1, 2010 | 9:38 | Caroline | Robin | Caroline says she will present Lloyd's scenario to BofA |
December 1, 2010 | 9:48 | Lloyd | Caroline | Lloyd asks Caroline to hold off presenting his proposal to the bank. |
December 1, 2010 | 10:13 | Robin | Caroline | Robin informs Caroline that Robin & Lloyd are splitting her fee. He also asks about getting a release of liability for seller if seller agrees to sign the $7,530 note. |
December 1, 2010 | 10:18 | Caroline | Robin | Caroline will try to find out about release of liability |
December 1, 2010 | 10:34 | Kathy | Robin | Kathy says she is missing some documents and bills. |
December 1, 2010 | 10:43 | Robin | Kathy | Robin tells Kathy he doesn't think the seller ordered the NHD, pest report, septic report and home warranty. Robin also says any expenses the seller agreed to are subject to the bank paying for the items. |
December 1, 2010 | 10:44 | Kathy | Robin | Kathy says BofA agreed to pay for the NHD. |
December 1, 2010 | 10:47 | Robin | Kathy | Robin says he is pretty sure Lloyd ordered the NHD in response to Kathy's Email saying the bank authorized the NHD. |
December 1, 2010 | 10:51 | Robin | Kathy | Robin sends Kathy his commission demand |
December 1, 2010 | 20:53 | Robin | Lloyd | Robin sends NHD report for Lloyd's signature |
December 5, 2010 | 20:27 | Robin | Lloyd | All parties have signed NHD |
December 5, 2010 | 22:49 | Robin | Lloyd | Robin sends Lloyd an NHD report signed by the sellers. |
December 8, 2010 | 16:48 | Lloyd | Caroline | Requests that Caroline inform BofA that buyer loan docs are expiring on 12/17. |
December 13, 2010 | 15:23 | Caroline | Kathy | BofA says they are checking with FNMA for a response. |
December 20, 2010 | 9:28 | Caroline | Kathy | BofA still waiting for investor response. |
December 20, 2010 | 9:34 | Lloyd | Caroline | Tells Caroline that Nadia will pay for a 10 day interest rate lock and will extend loan docs. |
December 29, 2010 | 9:42 | Lloyd | Caroline | Request contact information for investor. |
December 29, 2010 | 13:43 | Lloyd | Herger | Write to Congressman Herger's office to see if they can assist in getting FNMA to act on the seller's request to be released from liability on the portion of the debt that they are not being asked to sign the note for. |
December 30, 2010 | Lloyd leaves for 10 days on a vacation that was planned for over a year. |
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January 3, 2011 | 10:15 | Caroline | Lloyd | BofA negotiator informs Caroline of new approval and wants to know if it can close today. Ref 1/18/11, 8:21 |
January 3, 2011 | 10:28 | BofA | Caroline | BofA Emails revised short sale approval. |
January 3, 2011 | 10:31 | Caroline | Kathy | Caroline sends revised BofA approval and says it needs to close ASAP because of the foreclosure. |
January 3, 2011 | 11:47 | Lloyd | John | Lloyd informs John that we have bank approval. Ref 1/18/11, 8:22 |
January 3, 2011 | 11:59 | Lloyd | Caroline | Bank terms are acceptable to buyer. Ref 1/18/11, 8:21 |
January 3, 2011 | 18:07 | Caroline | Robin | Informing Robin that Kathy says Wells Fargo must fund tomorrow. Ref 1/18/11, 8:20 |
January 3, 2011 | 18:08 | Lloyd | Herger | Please pass correspondence to Fannie Mae. Ref 1/18/11, 8:20 |
January 3, 2011 | 18:16 | Lloyd | Robin | Asks Robin to Email price change addendum directly to buyers & let him know I will be out of touch most of the day tomorrow. Ref 1/18/11, 8:20 |
January 4, 2011 | 10:15 | Lloyd calls Robin for an update. Robin prepared a new addendum on 1/3/11 and Emailed it to the sellers. He sent them a text message and also tried to call them on 1/3/11. So far, he has been unable to make contact. |
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January 4, 2011 | 10:30 | Lloyd calls the buyer. Explains that the listing agent has been unable to contact seller to sign a price change addendum to $165K. Also explains that BofA's approval has put us in a "Catch 22" situation. We can't close at $165K unless buyer and seller can both sign the price change addendum and revised escrow instructions in time to get Wells Fargo approval of the price change. Can't close at $179K without BofA approval. Also explain that funds have to arrive by tomorrow morning as Kathy has said it must close tomorrow or it's going to the foreclosure sale. Buyer says he just wants to close it and will pay $179K if that is the way it works out. |
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January 4, 2011 | 10:57 | Robin | Lloyd | Request DocuSign signature. Ref 1/18/11, 8:19 |
January 4, 2011 | 11:17 | Kathy | Lloyd | Kathy received an addendum signed by buyers and sellers changing the price to $165K. Getting a new approval from BofA at $179K is not an option now. Ref 1/18/11, 8:19 |
January 4, 2011 | 11:52 | Kathy | John | Sends escrow instructions & asks for money. Ref 1/18/11, 8:19 |
January 4, 2011 | 13:36 | Kathy | Caroline | Update letting her know all parties approved the $165 Price. Ref 1/18/11, 8:18 |
January 4, 2011 | 16:00 | Call from Nadia saying funds will be wired first thing in the morning. |
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January 5, 2011 | 9:56 | Kathy | Lloyd | Escrow is closed! |
January 5, 2011 | 18:29 | Lloyd | Nadia | Thanks for pulling off another miracle. |
January 6, 2011 | 9:40 | BofA | Caroline | BofA rejects North State Title Company's HUD-1 Settlement Statement and does not accept North State's wire transfer of pay off funds. |
January 6, 2011 | 9:41 | Caroline | Kathy | Caroline forwards the rejection Email from BofA |
January 6, 2011 | 9:57 | Lisa | Caroline | Lisa from North State Title informs Caroline that BofA has not accepted the wired funds. She also sends Caroline the corrected documents. |
January 6, 2011 | 10:08 | Kathy | BofA | Kathy requests BofA accept the wired funds and attaches a copy of the HUD-1 Settlement Statement. |
January 6, 2011 | 19:43 | Lloyd | Kathy | Were we celebrating too soon? Ref: do_not_reply, 1/18 @ 8:17 |
January 8, 2011 | 21:34 | Robin | Lloyd | Robin asks Lloyd to sign referral fee agreement |
January 9, 2011 | 21:33 | Robin | Lloyd | Robin asks Lloyd to sign referral fee agreement |
Everyone believed that the short sale approval for this transaction would come quickly since Bank of America had just approved a short sale for the seller and a previous buyer. The buyers were expecting Bank of America approval would come in 30 days or less. There were several points along the way when the transaction could easily have fallen apart. |
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September 21st | Bank of America requests additional pay stubs 27 days into the transaction. It is now obvious to the buyers that we are not going to have BofA approval within 30 days. |
September 30th | Bank of America causes a two week delay when it notifies everyone that it is suspending the processing of the short sale application while it sends out a letter to the sellers inviting them to apply for a HAFA short sale. BofA does not send out the letter promptly. When the sellers finally receive the letter and call BofA for more details, they are told they don't qualify because they were not personally occupying the house. The fact that the sellers were not personally occupying the home was a fact that Bof A had known for months. |
October 12th | Buyers are getting fed up waiting for Bank of America to provide information to the seller necessary for them to make a decision on switching to the HAFA short sale process. The buyers give the sellers one week to have approval from Bank of America or they will pull out of the transaction. |
October 20th | We learn that Bank of America has asked Cynthia Warren to do an appraisal as part of the short sale. So, even though we received preliminary approval from Bank of America two days ago, we learn that their preliminary approval really means nothing since the bank is still trying to decide if the contract price of $179,000 is a fair price. |
October 29th | On about this date, we learn that the buyers' lender's appraisal has come in $14,000 lower than the sale price. As a means of keeping the keeping the contract together and moving the process forward without further delays, the buyers decide to proceed with the sale at the $179,000 contract price and not ask Bank of America for a price reduction. |
November 30th | 22 Days after Bank of America gives us formal written approval of the short sale, the Bank indicates FNMA is changing the terms of the approval and is asking the seller to sign a $7,530 promissory note for part of the deficiency. California is a "one action state" meaning that if Bank of America forecloses on this loan, the seller will have no additional liability to Bank of America. The sellers could easily have backed out and let Bank of America foreclose thus relieving themselves of any further liability. Such an action would only have cost them about 10 additional points off of their credit score as compared to a short sale. Instead, the sellers agree to pay the additional $7,530 but ask that they be released from further liability. |
January 1st | It's now been over one month since the seller asked to be released from liability for the deficiency over $7,530 and we still have not heard a response from FNMA. A new foreclosure date of January 7th has been set and is fast approaching. This should have been a simple request since this transaction will net at least $20,000 more than what Bank of America or FNMA can reasonably expect to net if the property goes to sale (the most recent appraisal is $14,000 less than the purchase price and the seller is willing to sign a note for an additional $7,530). |
January 3rd | Bank of America and FNMA finally respond to the sellers request of December 1 asking to be released from liability. The response is that they are approving the short sale at a price of $165,000, are not asking the seller to sign the note for $7,530, are not releasing the seller from liability, are not willing to extend the foreclosure sale past January 7th and are giving us a deadline of January 6th to close escrow and deliver their sale proceeds to them. Kathy from North State Title informs us this means we have to close escrow by January 5th. North State's company policy prohibits closing on the day of the deadline given by the short sale lender for delivering sale proceeds to them. This policy is the result of potential problems with wire transfer of funds not getting to the short sale lender by the deadline date. This creates panic because the change in the approval terms means that the buyers (now in Texas) and sellers (living in Redding) will have to sign a contract addendum and revised escrow instructions by January 4th so that the buyers' lender can approve the new terms and fund the loan in time to close on the 5th. |
January 4th | Real panic is setting in Tuesday morning as the sellers' agent has been unable to contact the sellers to get a contract addendum signed. We have to either get a new addendum and escrow instructions signed by the buyers and sellers or we have to get approval from Bank of America to close at the $179,000 price. All of this has to happen by early afternoon so that Wells Fargo can approve the final outcome and order funds for tomorrow. The buyers indicate they are willing to buy at the original $179,000 price if that's what it takes to close escrow. |
January 6th | In the end, the sellers' agent was able to get in touch with the sellers, everyone did sign the new addendum and escrow instructions and Wells Fargo was able to get the buyers' loan funds to North State Title in time to close on January 5th. On January 6th, Bank of America initially refused to accept North State Title Company's wire transfer of pay off funds. |
Lloyd Leighton Realtors
Address: 1212 Highland Avenue
Yuba City, CA 95991-6115
Phone: (530) 671-6152
Fax: (530) 671-3904
Cal BRE Lic. #00951505