Wells Fargo Nixes Extensions For Short Sale Close Dates and Trustee Sale Postponements

This was forwarded to me by my good friend Patricia Platt of Old Republic Title

“Due to recent industry changes, we at Wells Fargo will no longer be granting any extensions for short sale close dates or postponing foreclosure/trustee sale dates. If you were issued an extension letter dated 9/14 or earlier, those extension letters will be honored, but no further extensions will be granted. Files must close by expiration date on the original approval letter or they will be removed. If your approval expires 9/15 or 9/16, you will have 48 hours to get me the final HUD for approval and close.”

What this means for short selling:

Time is of the essence. While it previously normal for banks to grant multiple  extensions to the short sale approval and the Trustee Sale postponement this will not occur with Wells any more.  All parties must process the short sale in an expeditious manner.
Other banks may follow suite. We will be tracking this an updating you on this blog.
The game is constantly changing. This change further illustrates that the standards for short sales are in a continuous flux.