Southfield, Michigan's ""Woodward Asset Capital"":http://www.woodwardassetcapital.com has announced plans to launch a new short sale technology application in April that the company says will prevent short sale fraud while reducing transaction times and netting lenders the highest possible sale price.[IMAGE]
Woodward explained that its new software, ""VerifiedShortSale"":http://www.verifiedshortsale.com, puts the mortgage servicer in control be being first to review every offer while ensuring a transparent process. It's modeled after the company's REO application, ""OfferSubmission"":http://www.offersubmission.com, which relies on the buyer's agent, rather than the listing agent, to submit binding financial terms of an offer online for bank-owned property transactions.
""For the first time, every offer for a property is received and decisioned without being filtered by a listing agent,"" said Ronald Jasgur, president of Woodward Asset Capital.[COLUMN_BREAK]
""With our software, flopping virtually disappears, and every sale approval can be defended without question,"" he added.
According to a recent ""CoreLogic"":http://www.corelogic.com report, one in every 53 short sale transactions is part of an egregious resale, costing lenders unnecessary losses of $310 million per year. It is estimated that the average loss to the lender in a fraudulent short sale is $41,500.
With Woodward's VerifiedShortSale, when a borrower is approved for a short sale per the lender or investor's loss mitigation rules or after loan modification fallout, all offer terms must be submitted online by the buyer's agent via the VerifiedShortSale portal in order to be considered.
By requiring that the agent for the buyer submit financial terms of their offer directly to the lender, agents are assured that their offer is received and reviewed by all required parties, including the bank, Woodward explained.
The system creates a virtual paper trail of every offer presented by every agent to eliminate any question of fraud or any questions of missed offers - in other words, rather than review only one offer for a property, the lender now knows of every possible offer, Woodward said.
""Our system still embraces and relies on the traditional two-agent sales process, which always nets the highest price,"" said Jasgur. ""This technology finally brings the timeline for resolving an approved short sale in line with that of a private sale. The quicker the sale, the smaller the loss.""