This is a house that I drive past every day on my way to work. I noticed that it look abandoned. I looked up the owner to see if they might want to sell the house. That’s when I saw that the home had already been foreclosed. The house was foreclosed on February 4th, 2009. That’s almost a two years ago.
Since we did not know who the lender was, we forgot about the house. But, it was a classic example of why a bank owned house sells for less than a short sale. So, I went out to the house and took some pictures.
Normally, after a bank forecloses on a house, they will put it up for sale within 2-3 months. Today, December 3rd, 2010, they still haven’t put the home up for sale. We found out that a large US bank’s Loan Servicing Arm was servicing the loan on behalf of the owner. In July 2009, I talked to Ann at this lender’s loan servicing office. She told me that they were servicing this loan.
She said if I had a buyer, we would need to contact the homeowner. “It’s not owned by us. You need to contact the homeowner if you want to sell the house. The property has not gone to foreclosure sale,” she said. I informed her the house had already been foreclosed upon. I asked her if they ever communicated with the foreclosure lawyers. I also made sure we were talking about the same house. She confirmed that we were talking about the same house and confirmed the address and the foreclosed homeowner’s name.
“That’s interesting,” she replied. “My records show it has not gone to foreclosure. I’ll check in with the foreclosure department and verify whether it has or hasn’t been foreclosed upon,” she said. Today, almost two years later, no one has followed up on this house. The loan servicer has been 100% incompetent with their actions on this house.
Here is who it appears owns the house today: The Certificate Holders of the Morgan Stanley ABS Capital I Inc Trust 2005-WMC6 Mortgage Pass Through Certificates, Series 2005-WMC6. That means the owners could range from a pension fund, a large Wall Street Firm, or individual persons.
Estimate of Money Lost by the owner: $60,000 to $70,000. This is an estimate of the amount of money lost because the house was no put on the market in the normal 2-3 months after foreclosure. This large bank’s servicing arm has waited almost two years to put the home up for sale, and it still is not on the market as of December 3rd, 2010.
Here is how I came up with the estimate of loss:
I asked another agent what he had thought the house would have sold for previously. We both agreed that if the house had been listed in April 2009, that it would have sold quickly. This is because Spring is the peak selling season. We both agreed that it would have sold for between $200,000 and $210,000. Today homes similar to this one are selling for $140,000 to $170,000, depending on the condition. This home is in pretty bad condition. So, we can conservatively estimate the loss because of a reduced selling price to be: $40,000 to $70,000. That is not factoring in a estimated $3,200 in property taxes that have accrued during these past two years, nor lost interest if the money had been loaned to someone else.
I am going to give the same answer as Mr. Assange for who the bank is. First, it is a large US bank. If you were to ask, “Is it the largest US bank?” then our answer would be: “No Comment.”
Thinking about a short sale? I can help you short sale your property and never pay the bank another dime. Send me an e-mail at utahhomesaver@gmail.com. I will contact you for a free consultation. When we talk, I will explain how the process works in detail and answer any questions you may have. Or, if you prefer, you can call Dave at 801-651-0707.
Thinking about a loan modification? Our Utah Home Saver Loan Modification Kit has the instructions you will need to get a loan modification approved with your bank. This is a FREE for you, all you have to do is call or email us today.
Thank you for taking a few minutes of your busy day to read this, Dave Forsberg.
Dave is a Realtor with Prudential Utah Real Estate - Bountiful.
Phone: 801.651.0707 Email: utahhomesaver@gmail.com
Dave Forsberg and The Utah Home Saver Team specialize in helping Davis County, Utah Homeowners short sale and never pay the bank another dime. Bountiful Loan Modification Help, Bountiful Short Sales. Bountiful Short Sale Realtor. Bountiful Realtors. Bountiful Realty. Bountiful Realtor. North Salt Lake Short Sales. Woods Cross Short Sale Realtor. Centerville Short Sales. Farmington Short Sale Realtor. Fruit Heights Short Sales. Kaysville Short Sales Realtor. Layton Short Sales. Layton Short Sales Realtors. Syracuse Short Sales. Clearfield Short Sales Realtor. Davis County Utah Realtor. Stop Foreclosure. Stop Utah Foreclosure. Avoid Foreclosure. Avoid Utah Foreclosure. Foreclosure Alternatives. Utah Foreclosure Alternatives. Bountiful Homes for Sale. Bountiful Houses for Sale.utahhomesaver@gmail.com
