Complaint Review: Bob Mangold Home Smart - phoenix Arizona

I am also in the same industry. I have been a mortgage lender for the past 15 years as well as owned multiple real estate companies, title company, and building development company. I have also worked with short sales for the same amount of time.  It is unfortunate what happened to the consumer, but not uncommon. If the consumer does not keep the company working the short sale up to date on the status of foreclosure, that should not be the fault of the company. Many banks take a long time to finish the short sale process. They are getting better, but some banks have taken even as long as an entire year to complete the process in the beginning of this real estate market crash. 

Every bank and every negotiator at each bank operates differently, with different time frames, as well as different structure.  Usually a short sale package must be sent to the bank first. Then a bank representative (almost never a negotiator) then gets the file and makes sure it is complete.  This process alone can take 30-60 days on average just for this first process. The bank many times loses some of the paperwork, or may have to order a BPO (broker price opinion, where usually a realtor of the bank's choice goes out to put a value on the house which could take weeks to complete) prior to turning the file over to the negotiator. 

Once everything is complete per bank guidelines, it is then usually turned over to a bank negotiator. I have seen it take 90 days before even getting to a negotiator. The negotiator also has many steps to follow. The file can take many different directions needed for completion. For example, the current bank may only be servicing the loan and may have to get a second approval from the investor. Depending on which investor, the guidelines can be vastly different. It can be Fannie Mae, Freddie Mac, a different bank, or a private investor or trustee that has to give final approval.  There may even need to be a third approval from a private mortgage insurance (PMI) company as well slowing the process down even more.

As a consumer, it is recommended to stay on top of the foreclosure process to ensure you have enough time. Stay in contact with the realtor or company handling the short sale. If you are doing it yourself, make sure to stay in touch with the bank to avoid unnecessary loss to foreclosure sale. In most cases, the bank will postpone sale if they have a decent offer for purchase.

As a company/realtor, it is recommended to stay in touch with the bank to avoid the same situation in case the borrower is not following up on their own or doing their part. It is possible that the company/realtor has to rely on the borrower if there is no other way to know the foreclosure status. At times, the banks do NOT give accurate information causing things to happen as with this case.

In closing:  It is unfortunate that this had to happen.  In the case where the property is in a trustee state, it may only take 30 days from notice to foreclose and sell the home, which is why it is understandable how this could happen IF the borrower does not properly inform the company working on the file of the foreclosure status or if there is no information available to the company/realtor working the file.

I hope this helps clear up any doubts.


Warmest Regards,


Lender 1

Here is a notice from the city of phoenix to cease and desist...I would avoid the Mangold family like a plague because they only do whats best for their greedy selfs and not their customers... 

http://images.edocket.azcc.gov/docketpdf/0000095868.pdf

"oh what a tangled web we weave when first we practice to deceive" - by Sir Walter Scott.