Interesting. OK I get it now.
I'm not sure the contracts or laws involved in your area. I'm in CA.
Sounds like the seller should consult with an attorney about the listing contract involved and serve some notice on the listing brokerage to cancel the listing due to the exclusionary list and Freddie Mac's suspicion's of
The Freddie Mac Exclusionary List is available to Multifamily Lenders under 'Quick Links' on the Originate and Underwrite and Asset Management pages. Freddie Mac has issued an Industry Letter titled, Important Freddie Mac Off-cycle Update to the Exclusionary List. SUBJECT: Important Freddie Mac Off-cycle Update to the Exclusionary List Effective immediately, the Freddie Mac Exclusionary List has been updated and may be accessed today via the Freddie Mac Selling System (Selling System), MIDANET?, and MultiSuite. Find out if Freddie Mac owns your loan using our secured lookup tool. Did we finance your apartment? Use our lookup tool to see if Freddie Mac financed your apartment building. Buy a home from HomeSteps ®, the real estate sales unit of Freddie Mac. Note: keep in mind when searching the exclusionary list that an individual can be licensed or conducting business in more than one state. 5 12/7/2020 Mitchell Tray Sentrix Financial Services Inc; 1st.
fraud and the fact that the listing agent cannot perform the short sale with Freddie Mac.
After serving them notice (or whatever your seller's attorney advises to serve), I personally would just take the file over. They simply cannot perform -- it's that simple. Have someone print out the exclusionary list or other proof that they indeed are on the list -- don't assume.
I think your clients should also make a complaint to the state licensing entity -- this behavior is egregious since the listing agent is not cooperating with handing the file over when they cannot perform -- the seller wants a short sale - they cannot put their desire to close an double ended deal ahead of their client's interest.
Freddie Mac Exclusionary List Pdf
Why else would they hold the file -- are they arguing that that they are mistakenly on the list? Either way, their problem should not hurt the client and when it does I believe they have a duty to release the file.
Document everything well my friend, if they will fight with the seller when they are in the wrong, they will most certainly fight with you even though they are wrong.
Compliance with Guide Chapters 8402, 8404, 9101, 9102, 9201-9209, 9301, 9401, 9402, 9501 and 9502, including, but not limited to: Waterfall policies Freddie Mac Exclusionary List check procedures Servicemembers Civil Relief Act (SCRA) procedures Default Related Legal Services Pre-foreclosure process review Foreclosure process review and timelines Bankruptcy process review and filing of Motions for Relief from Stay.
Broker does not and shall not employ anyone, and shall not receive any Loan Application from any borrower, whose name appears on (a) HUD’s exclusionary list, including, but not limited to, LDP, GSA, and CAIVRS, (b) the most recently published Freddie Mac Exclusionary List; (c) the most recent list which may be published from time to time by any government-sponsored agency which shows individuals or companies which are excluded from doing business with that agency.
Without limiting the generality of the foregoing, under no circumstances shall Related Third Party enable or permit any person or entity whose name is on the Freddie Mac Exclusionary List to access or use the Licensed Materials.
Freddie Mac may terminate Related Third Party’s and its Authorized User’s rights to use any System if Related Third Party or any of its employees, contract workers, directors or officers identified in the Freddie Mac Exclusionary List (including any of the foregoing who are Authorized Users) participates either in the origination or sale of a mortgage loan to Freddie Mac or in the underlying real estate transaction.
Freddie Mac Exclusionary List Lookup Information
In the event Related Third Party obtains access to the Freddie Mac Exclusionary List, it shall strictly comply with all terms, conditions and limitations associated with such access and any use.