BofA and GMAC/Homecomings Shorten Timelines… CAVEAT: If you understand their systems.

The Equator Financial web-based system used by Bank of America and GMAC/Homecomings has greatly enhanced our ability to communicate with these lenders directly, and has made a vast improvement in their execution and response time. Although each lender has a different set up and use of the system, WPS has become proficient with each of them.

Response Time in an Instant

The system can be difficult to maneuver through, but we have mastered the intricacies. Previously Bank of America’s short sale process could take up to two weeks for a file to be activated properly. Through the use of Equator we are able to initiate the short sale process with Bank of America in less than a minute. We can upload the required documents directly into their system and get instant confirmation that they have been successfully received. The use of Equator has also eliminated the need for repeated requests for updated financial documentation from the sellers.

Responsive and Informative

The negotiators working on files set up in Equator are more responsive and informed about where they are in the process. The current response time by Bank of America through the Equator system is 30-45 days for an initial review and response to an offer. This is a significant improvement over their previous method where it could be 60-90 days before a negotiator would even look at the short sale offer.

Two downsides to the system:

  1. You can only see the tasks that are assigned to your account. If there are outstanding tasks assigned to other parties those cannot be easily tracked. To alleviate this problem, we are in constant contact with the lender to keep the file moving toward final approval and make sure that no tasks are missed.
  2. A new offer on the property starts the process over. This means that the lender will require that the file be closed and then you must start the process from the beginning. They will not allow a new offer to replace an existing offer in the pipeline.

Overall the use of the Equator system has allowed us to have more control over the transactions that we are facilitating with these lenders. We know that the documents submitted are in the system; and we can view and review them at any time in the process. This allows us to dispense up-to-date, accurate information to our agents and sellers throughout the short sale process. The negotiators and support staff working with the Equator assigned files are experienced and seasoned employees so we are more confident that the information that we receive from them about the short sale is accurate.

Lastly, this system does require that the sellers create an account and sellers do have required tasks assigned to them, but WPS is happy to assist all our clients to successfully navigate the system. At the seller’s request, we are willing to take care of the tasks required for them if they are having problems or other time constraints.

If you have questions about how to best proceed with a short sale, call Richard Eastern at 206-612-5541 or email us.

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