Well Fargo & Short Sales
What is the verdict on Wells Fargo and short sales? On a scale of 1 to 10, where 10 is a short sale lender that requires no documents, assigns a negotiator immediately who gives you their direct extension and picks up the phone on Sunday afternoons, and 1 is a bank that requires a CPA certified financial audit and assigns a negotiator (only after you’ve “earned” it) who communicates in pig latin through a secure ftp site accessible from 11am – 1pm, Monday through Wednesday, Baglatetonic Central Time — I would rate Wells Fargo at about a 4 lately.
It’s tough to to rate them so low, because Wells Fargo used to be one of the best at processing short sales. Then, something happened. At first, it seemed that utilizing Equator threw them off. They still don’t feel fully integrated with the technology. They swipe documents after they are uploaded, and won’t send you messages through the secure Equator site, instead using their own secure messaging technology. In fact, their use of the technology is so awkward, they actually make me think longingly of the days when I just faxed over documents.
It’s hard to come down on Wells Fargo, after all they were one of the only short sale lenders that publicized their internal deadline to process short sales. Indeed, if you mention the word “deadline” to some short sale lenders, they would probably respond, “Why would we have one of those?” So, it was impressive when Wells Fargo declared that they would process short sales in 37 business days.
However lately, Wells Fargo short sales seem stuck in the mud. And it puzzles me that a bank that was leaps and bounds ahead of other banks at processing short sales when we were still faxing over short sale packages and waiting on hold now seems slower at processing them even with the use of advanced document technology. Lately, when I call customer service, neither I nor my clients can get answers to simple questions.
Changing a buyer (a not too infrequent occurrence in short sales) still requires starting over from almost zero where financials have to be updated and recertified. Even though clean .pdf files are uploaded to Equator, they routinely seem to have difficulty reading them. Curiously, they never seemed to complain about the copy quality of faxed documents! And in keeping with their new user friendly theme, they’ve added a notarized affidavit that all parties, real estate agents, escrow officers and transaction coordinators must sign. If their goal is a more cumbersome process, they certainly are getting there.
Add to this an unclear/ineffective process for escalation. Believe it or not Wells Fargo was so good at short sales in the past, that I never really needed to escalate their files. That is no longer the case. And when you call for escalations, often you are told that a file is not eligible for an escalation because the processor or negotiator still has additional time to complete a task in Equator. So, simply by continually sending out the same task an employee can seemingly insulate themselves from an escalation? What fun! Now by no means is Wells Fargo the worst short sale lender I deal with regularly; however, it does give you pause to think when a short sale lender goes from being so good to being so bad — is it deliberate?
Before deciding whether to short sell your home, it is essential that you obtain legal and tax advice, and consult with an experienced local short sale agent. If you are considering a short sale of your Santa Maria, Orcutt, or Nipomo home and would like a short sale consultation, please call my office to schedule a meeting or a telephone consultation at (805) 938-9950.
Tni LeBlanc is an independent Real Estate Broker, Attorney, and Short Sale Agent. She is a Certified Distressed Property Expert (CDPE), Short Sale and Foreclosure Resource (SFR) and Certified HAFA Specialist (CHS) serving the Santa Maria, Orcutt and Five Cities area of the Central Coast of California.
* Nothing in this article is intended to solicit listings currently under contract with another broker. This article offers no legal or tax advice. Those considering a short sale are advised to consult with their own attorney for legal advice, and their tax professional for tax advice prior to entering into a short sale listing agreement.
Copyright© 2012 Tni LeBlanc *Well Fargo & Short Sales*
