Bank of America, the nation’s largest mortgage servicer, is offering Florida homeowners up to $20,000 to short sale their homes rather than letting them linger in foreclosure.
The limited time offer has received little promotion from the Charlotte, N.C.-based bank, which sent emails to select Florida Realtors earlier this week outlining basic details of the plan.
Only homeowners whose short sales are submitted for approval to Bank of America before Nov. 30 will qualify. The homes must have no offers on them already and the closing must occur before Aug. 31, 2012.
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“You can call it a relocation fee, but it’s basically a bribe to make sure the borrower leaves the house in good condition and in an orderly fashion,” Cecala said. “It makes good business sense considering you may have to put $20,000 into a foreclosed home to fix it up.”
Homeowners, especially ones who feel cheated by the bank, have been known to steal appliances and other fixtures, or damage the home.
A spokesman for Bank of America said the program is being tested in Florida, and if successful, could be expanded to other states.
Wells Fargo and J.P. Morgan Chase have similar short sale programs, sometimes called “cash for keys.”
Wells Fargo spokesman Jason Menke said his company offers up to $20,000 on eligible short sales that are left in “broom swept” condition. Although the program is not advertised, deals are mostly made on homes in states with lengthy foreclosure timelines, he said.
Bank of America’s plan excludes Ginnie Mae, Federal Housing Administration and VA loans.
For more information on short sales and all of your options contact us at 352-241-6363 or visit www.asktheshortsaleguy.com
Courtesy of Floridarealtors.org
