Short Sale Fraud Alert

A few months ago the state of California banned the practice of charging up front fees for Loan Modifications, and federal laws soon followed.   This law was intended to stop the fraudulent practice of taking advantage of desperate homeowners by charging for a service of questionable value.  In fact, some who actually did anything (some did not) did nothing more than the home owner could have done on their own.

Crooks, being what they are, have found a way around the law (not legally of course).  It seems that they have turned to the potential buyer to get their dishonest money.  They are insisting that a buyer pay a short sale negotiating fee in order to have their offer submitted!  While we at Yuba Sutter Homes and Loans do understand the extra work involved in pushing short sales through in a timely fashion, we would never dream of charging extra for it.  In fact, we are in the process of partnering with a company (stay tuned for more on this) who’s expertise is negotiating with the banks for loan modifications and short sales.  This is another service available to our clients AT NO EXTRA COST!

The Short Sale Negotiator (SSN) addendum is one method being used by the unscrupulous the make these charges.  While we do use the addendum, it is solely for informational purposes.  We believe you have the right to know who will be involved with and have access to your information throughout the process.  We are proud of the effort we put into providing our clients with the very best services available.

The questionable (if not outright illegal) practice of charging for the service and trying to hide this charge from the lenders et al has come to the attention of the Department of Real Estate (DRE).  In their effort to protect the public they has issued an alert.  To read that alert click HERE.

If you or someone you know is thinking about or in need of a loan modification give us a call at 530 315-2808, or sent an email.

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