Recently we had the privilege of speaking with some veteran Venice short sale agents about different parties that are involved in a short sale. They stated that often times homeowners can get confused with the many different people that are involved in the short sale process, so today the goal that we’ve set forth for Venice short sale agents is to clear up any confusion that you may have.
One of the most common confusions, say Venice short sale agents, is between the lender, the servicer and the investor. At times, the same financial institution can be all three, but usually this isn’t the case. The servicer of your mortgage is the person that you send your payment in to each month; it could be a bank or a third party that your bank uses to help handle their portfolios. The lender is the bank that actually owns your loan; Wells Fargo, GMAC, USBank and Chase are all common lenders; sometimes the lender and the servicer are the same entity. Lastly, the investor is who actually owns and backs your loan; it could be the same financial institution that owns your loan. FHA, Fannie Mae, Freddie Mac and VA are a few very common investors. If a homeowner has multiple loans on a home, it’s also possible that each one of those loans has different servicers, lenders and investors says one Venice short sale agent.
Other parties that are involved in the process are obviously, the buyer and their agent and the seller and their Venice short sale agent. Also, if there are different types of liens, such as an HOA lien or a tax lien on your property, those parties could be involved in the short sale process as well.
On a basic short sale with only a single mortgage and no liens against the property, the number of people with their hand in the mix can be very minimal; on the other hand, multiple mortgages and liens can see upwards of 10 different parties involved.
If you have any additional questions about who will be involved in your short sale or would like more information in general, please contact a Venice short sale agent today.