All Forum Posts by: Kelly D.

@Steve Babiak

Thanks so much!!! This makes me feel so much better. And it certainly makes more sense.

I love this blog. I'm a newbie and yet everyone has been so extremely helpful!

@David Meyer

Thanks! Buffalo Grove. This has been quite a roller coaster ride. LOL.

Great thread!

@Micheal
We're in a similar situation. We were three days from closing on our ss purchase in January when the pipes burst in the home. Bank never accepted the new offer they requested from us and the deal fell apart. Place went to auction in May. We've been waiting for the listing since then. Plan to do a cash offer now.

Our agent was told by a FNMA rep that they (FNMA) were required to make repairs before they put the home up for sale. This seems counter to just about everything we've read or been told about REO properties. Can't see why they would put money into a home that requires a complete gut now and possibly mold remediation since no one bothered to clean place after the pipes burst. No work has been done to date. It looks like someone finally came last week to clean the ceiling collapse debris off the floor but that was it.

Anybody have any insights on whether or not FNMA would spend money to make repairs on a home where the HVAC is dead, electrical box is out of code, electrical fixtures are down from ceiling collapses, pipes bursts, appliances and toilet ripped out, and more? There's probably mold now, too. Place is uninhabitable. Can't see any bank approving conventional financing given the significant damage. Doesn't seem like FNMA would put enough in for it to present well so why would they bother? Why won't they let us really take it "as is" and let our contractor do the work once we own it? We already have an estimate for full renovation costs since we needed it to make our revised offer.

Seems like it just shouldn't be this hard but I've read enough here to know that it is! :-)

Well, after being told by the mortgage holder (Nationstar) on the day of the auction (May 2nd) that the property was a FNMA property and that we'd have to go through them to purchase, we found out today that Nationstar did indeed take the property back post auction after all. Unbelievable. They've been sitting on the property for almost 4 months. Supposedly, it's still in some committee and they're trying to figure out the listing price.

How could they not know they were taking back the property at auction? Why would they tell us they turned the property over to FNMA when they took back the property? Our agent definitely confirmed that it's still on their books, not FNMA's books.

Our agent is now trying to see if we can make an offer directly to Nationstar - again. They had approved our original short sale offer before the pipes burst. They never responded to the revised offer they asked us to submit after the water damage.

When we make this new offer, should we submit the pictures of the water damage we documented and our contractor's estimate of repair costs? They can't possible think that a home with multiple collapsed ceilings and now probably mold everywhere is going to sell for what they are owed or even at market value, can they? Prices on similar move-in ready properties in the neighborhood have continued to decline in the 15 months we've been working on this. We don't expect to get the place for nothing but what is reasonable in this circumstance?

@Tim

Wow! We'd heard about the six month issue but weren't sure how it applied to this situation. We'll all them and see if they'll spill the beans.

Thanks so much for the insights! This is extremely helpful.

@Steve,

Thanks! FNMA turned the property over to a local listing agent the day after the auction. They put a sign on the property and we contacted them directly to make an offer before they actually listed. They told us FNMA was not taking any offers prior to the HomePath listing. We've got our agent lined up to notify us the minute it comes to market. We're just wondering what is taking so long for it to be listed. It's not like they're doing anything at all to clean up the damage done post pipes bursting. The prior bank never even sent anyone out to remove the water. And we know that the new listing agent does not plan on doing anything to the unit. It will definitely be sold "as is."

@Tim,
Thanks to you, too! The unit is vacant. The former owners moved out almost a year before the place went to auction. It's definitely uninhabitable now after all the water damage.

We do have the attorney's name from the auction. I will give them a call to see if they can tell us anything. We do know that the HOA filed a suit against the former owners for back assessments but we thought all that got wiped out once the home was sold at auction. Interesting that it can still take months to receive the deed.

Hi Donny,

Not quite sure what this means. Should I post it somewhere else?

Greetings Everyone!

I currently own one rental unit and am looking to purchase another one. I'm finally delurking to ask for help. Looked through a bunch of old posts but didn't really see an answer to this question.

Last year, I had a signed contract on a property in foreclosure but 3 days prior to closing, the pipes bursts and the unit was ruined. No worries. We still wanted the property. We updated our offer per the bank's request but never heard from them again. Found out the place was going up for auction on May 2nd. We attended the auction and watched the unit get turned over to FNMA.

How long does it normally take for the deed to clear and the property to be relisted? We've already been in contact with the listing agent FNMA selected to list the property but it's been over 3 months and there's been no listing yet. The listing agent wouldn't let us make an offer on the place prior to the listing. We tried! Also, it appears as if the title hasn't even been conveyed to FNMA yet per the recorder of deed. That seems strange. We thought that it usually took about 45 days for that to clear.

Any other thoughts on what might be going on or how long we should have to wait?

Thanks in advance!
Kelly