Wednesday, February 16, 2011
BofA has figured out a new way to torture short sale buyers
Toluca Lake (I represent the potential buyer, who wants to pay all cash): BofA will no longer take equities (stock funds, etc.) as proof of funds to complete your purchase. So now, if you send, say, your Morgan Stanley monthly statement with your offer to show you have the money to complete the short sale transaction, that won't be good enough. BofA wants you to liquidate those funds and put them in a cash account, even though they haven't approved the transaction yet. Or else, you can come up with a pre-approval letter from a lender stating that you have liquid funds to close. No word on whether they want you to liquidate your 401K in advance of approval. What next from
Darth Vader BofA?