A number of the nation’s largest lenders have begun seeking out qualified homeowners to complete short sales in exchange for substantial monetary incentives. In fact, reports suggest that incentives could amount to as much as $35,000 for each deal completed.
These legitimate offers have appeared all over the country. However, as short sales require banks to accept less than the indebted borrower owes, many real estate agents and borrowers are perplexed as to the logic behind such a move.
Mystery Surrounds Short-Sale Incentive Program
Only one bank has thus far given any specific details on the timeline for its incentive program. Chase confirms that the short-sale incentive program was initially launched late last year and is now in “full swing.” Bank of America has also confirmed that it is offering incentives for completed short sales for certain qualifying borrowers. Wells Fargo has confirmed a similar plan, though simply mentions that the cases are “very situational.”
This mystery extends to qualifying for the program. The only information banks have provided on qualifying for their incentive programs is that homeowners should not bother contacting their banks. If you qualify, they will contact you.
Letters generally inform homeowners that they qualify for a new program, through which homeowners may complete a short sale leaving them with no mortgage debt owed and cash in hand.
If you receive a letter like this, be certain to confirm with the bank immediately. In these instances, the offer was a legitimate assistance program from a confirmed mortgage lender. However, there are scams circulating that mimic the format of these offers; it is important to ensure that your offer is legitimate before making any decisive moves toward completing a short sale.