Aug 16, 2011
VHDA receives high praise regarding short sales
16 Aug 2011
Posted by Stacey Ricks
The Virginia Housing Development Authority (which happens to be a VAR partner) received some high praise from Charlottesville law firm Tucker, Griffin, Barnes P.C. this week on “Tucker’s Tips” a blog by William D Tucker III that gives advice to Realtors and lenders.
We all know that short sale negotiations continue to be difficult and still take way too long to obtain an approval with few exceptions.
VHDA is one of the few institutional lenders which will try to complete the short sales negotiations within a sufficient time to meet the contract terms, including a reasonable closing date. VHDA will appoint a negotiator immediately and order an appraisal. The negotiator is usually very responsive and actually returns telephone calls and emails. Possible problems with VHDA negotiations include they are usually very strict on what expenses they allow to be paid out of the sales proceeds and what can be paid to a second lender. Furthermore, they will only pay a maximum of 5% real estate commission.
All in all, VHDA is an excellent lender to work with on a short sale. Too bad other lenders have not adopted some of VHDA’s attitudes and approaches.