I’ve dealt with OCWEN once on a preforeclosure. They were the foreclosing first mortgage holder, and I was paying them off and shorting the second mtg. I agree they were the most difficult and incompetent lender I’ve ever dealt with.
I worked with them for weeks just to get a payoff statement so I could close before the trustees sale was scheduled. After trying to speak with the loss mitigation rep and only having occasional success, it came down to the day before the trustee’s sale, and I still hadn’t received the payoff statement. The Loss Mit rep didn’t answer his phone and the hours were ticking by. The house was going to sale if I didn’t get something done.
I finally called the main switchboard and asked for the supervisor of the loss mitigation department. I was forwarded to his voice-mail, and I left a message explaining that I needed a payoff statement NOW or a postponement of the Trustees sale. Within an hour I had the payoff statement, and he postponed the sale for three days.
I wish I had gone up-stream to the supervisor earlier. The moral of this long story…if you get the run-around, go straight to the supervisor.
Ocwen 2nd mtg - possible short sale? - Posted by Amy B (TN)
Posted by Amy B (TN) on March 21, 2003 at 10:10:43:
Seller calls with home valued in the mid 180’s with some updating (10k) and I sold it retail. They owe a total of 168k (haven’t verified this yet.) They owe 125k to WElls Fargo for the first and are staying current by the skin of their teeth. They are “about four months behind” with Ocwen who has not sent them a letter about foreclosure or anything yet. She called Ocwen yesterday to see if they’d be willing to take a discount to sell (seller doesn’t want anything but to downsize her $1600+ payment). They said “that wouldn’t work for them at this time, but they’d be willing to reduce payments and interest temporarily until the seller could sell the home.”
I told her I could get a letter of authorization and try to talk to Ocwen myself. Should I get a signed purchase and sales agreement with what I’m willing to pay, or negotiate with Ocwen first?
The seller has found a rental and wants to go, so I could probably do anything. What would be the purpose of getting a deed if I don’t have a sure sale? Should I try to get a LP buyer while I’m negotiating this short sale? I worry that it wouldn’t go through and I’d owe a $1600+ payment when I MIGHT if I’m lucky get $1500 in that area.
I dont know if she told Ocwen she is not yet behind on the first. I told her not to. I guess if I have the deed (do I tell Ocwen that if I get it?) I could say I’ll let it go into foreclosure if you don’t negotiate. Once it’s vacant send pictures and comps showing it’s worth LESS than 180 even. Supposedly it appraised for 170s 4.5 years ago, it’s a nice neighborhood but it won’t retail well without updating. It’s in good condition. We might be able to go LP over 200k with the updating.
I need some ideas! I thank you in advance. Let me know if I’m forgetting any details. Thanks!
Good luck!! You are going to need it. Ocwen is one of the hardest lenders to work with under the best conditions. Trying to get they to do a short sale, in my opinion, will be impossible. Their mode of operation seems to be to allow borrowers to get in as deep as they wish, because in the end the loan payoff is just that much higher. They tend to add everything to the back end. They also are very slow to communicate with their borrowers. I recently did a closing on a refinance for a client and the first mortgage was held by Ocwen. They never did provide a payoff statement. My client was just happy to get away from them and did not care if Ocwen was paid more than they were entitled to, so long as they finally gave us a satisfaction.
Proceed with caution and get everything possible in writing from Ocwen.
Good luck. Let us know what happens.