Blog of the Mortgage

First Let me wish you all a Happy Halloween!

If you have kids that are Trick or Treating age this THE NIGHT next to Christmas morning.
My son is nearly two years old this time around and he's going to be a Pirate for Halloween (his grandmother bought him the 2T costume while he was only months old).
My only hope is that he enjoys the walk around the neighborhood at night. I'm not sure he's going to understand what all the door knocking and asking for other people's candy is all about.. we'll see.

Speaking of Hellish things can we talk about the Power of Attorney issues on REO Properties for a minute?

Amidst all of this bank collapses and JP Morgan buying WAMU & Wells buying Wachovia and Lehman going broke and so on all of the REO's that we're dealing with are changing hands at a rate of 2-3 times in months.

Thankfully HUD issued a letter waiving their previous position on Flipping within 90 days or we'd all be sitting around waiting for the 91st day to issue sign a purchase contract, gain an appraisal and order a case number in FHA connection.

However, during even this 90 day period properties are changing hands while in Contract.. it's nuts. I've had Wells Fargo be the foreclosing party and deed it to some kind of REO Firm.The property goes into Contract and the seller isn't the REO firm or Wells but rather Wachovia.  The property meanwhile gets transferred to Wachovia(So they can sell it) and then we have we have to obtain a copy of the updated prelim or grant deed and we get it and low and behold the same REO firm is working for Wachovia now..
You get the picture it's a zoo at best.

All of this being said I would advise that when you gain your purchase contracts you also gain:
  • A copy of the prelim
  • 24 Month Chain of Title for the property
  • Copy of the Durable Power of Attorney granting the individual authority to sign on behalf of the company or entity shown on the sales agreement or
  • Letter on letterhead from the owner of record, signed by an officer or higher, stating that XYZ Company has been hired to manage and sell its REO or
  • Letter on letterhead from the owner of record, signed by an officer or higher, stating that XYZ Company is a subsidiary of the owner of record
  • A list of all the Authorized Signers for the REO Firm or firm that is handling the sale.
All of these items should be submitted simultaneously with the Collateral.

Where do you get this information?
The Title Company handling the Escrow on the sale will have a complete copy of all these items as they can't provide escrow insurance UNLESS they have a full chain with all the sellers information.

So, make sure you request these itesm with all of your Title work just as soon as you have a fully ratified contract and submit it all together.
Save yourself the time and hassle and get these loans closed on time.

You'll need the following links to download forms & see updates
Posted by Raoul Badde on November 7th, 2008 9:27 AMPost a Comment (0)
Recent Posts:
Archive:
My Favorite Blogs:
Sites That Link to This Blog:

         


Your-AE Bay Area Northern, California 9xxxx
Phone:

My Team | Contact Us - Scenario | Education Station | Home | Submission Requirements | Blog of the Mortgage

Copyright © 2012 Your-AE
Portions Copyright © 2012 a la mode, inc.
Another XSite by a la mode, inc. | Admin Login| Terms of Use| Site Map