Let's Talk Albuquerque!



Richard Zaretsky, Esq. has done it again.  He is an Attorney who is on the frontlines fighting the cause for homeowners.  Take some time to stop by his blog and leave him a message. 

It is not too often we "in the trenches" of short sale negotiations get to understand why lenders act the way they do through "behind the scenes" documentation.  However a couple of months ago we did get some "lender to servicer" documentation that I thought was interesting enough to pass on to my ActiveRain readers.  Note: the documentation you are about to read states in BOLD CAPITALS, "YOU MAY NOT GIVE A COPY OF THIS COVER LETTER TO THE BORROWER, THE CLOSING ATTORNEY/SETTLEMENT AGENT, REAL ESTATE BROKER, OR ANY OTHER PARTY".  I would add that I am not sure how we obtained this information, but it is not the first time I have seen documentation like this.

FreddieMac is along with FreddieMae, one of the largest owners of residential mortgage paper in the country.  Their procedures for processing the short sale approval should be intriguing to us that do short sales.  How FreddieMac instructs its mortgage loan servicer is also important to understanding the short sale process.  The document pages that follow relate to a loan that has already closed as a short sale.  Some of the instructions refer to the Single Family Seller/Servicer Guide  and FORM 104SF.

You will see that the documents have the "feel" of a short sale approval letter you might see from any of a number of the major loan servicers - but what you have below are the terms and conditions that the lender is giving to the servicer of the mortgage.  For those that may not know, the "servicer" is the pseudo lender - they have the look and feel and touch of a lender but in fact they are only a hired agent to work as a liaison between the actual lender and the actual borrower, for which the servicer is paid a percentage of the interest received every month from the borrower as payment on the note and mortgage.

Enjoy reading.  You will probably have to pause every once in a while to remind yourself that these are instructions NOT to the borrower, but to the servicer as given by the lender.

 page 2

page 3

 page 4

page 5

page 6

Copyright 2011 Richard P. Zaretsky, Esq.


Be sure to contact your own attorney for your state laws, and always consult your own attorney on any legal decision you need to make.  This article is for information purposes and is not specific advice to any one reader.

Richard Zaretsky, Esq., RICHARD P. ZARETSKY P.A. ATTORNEYS AT LAW, 1655 PALM BEACH LAKES BLVD, SUITE 900, WEST PALM BEACH, FLORIDA 33401, PHONE 561 689 6660  email: RPZ99@Florida-Counsel.com  - FLORIDA BAR BOARD CERTIFIED IN REAL ESTATE LAW - We assist Brokers and Sellers with Short Sales and Modifications and Consult with Brokers and Sellers Nationwide!  Shortsales@Florida-Counsel.com   New Website www.Florida-Counsel.com .

See our easy to understand articles at:


albuquerque real estate

Here are my Facebook Fan Pages. I would appreciate it if you would visit and like them.

Beautiful Bernalillo CountyLivingAlbuquerque, and Lloyd & Associates Real Estate.

C. Lloyd McKenzie, MBA

NM Real Estate Broker

Phone: (505)750-8552

Areas Served: Albuquerque Metro/ Algodones/ Bernalillo/ Cedar Crest/ Corrales/ Edgewood/ Los Lunas/ Los Ranchos de Albuquerque/ Placitas/ Rio Rancho/ Sandia Park/ Tijeras

Comment balloon 3 commentsC. Lloyd McKenzie • May 24 2011 10:13PM


Good Evening Lloyd

Thanks for the post and valuable information. have a great day.

Posted by Patrick White, Driven to bring New Yorkers home (Home Driven Realty, Inc) over 7 years ago

Again, thanks for another very interesting and informative post!

Posted by Margo Currie (Exit 1 Stop Realty) over 7 years ago

Patricj, Margo, 

Thanks for your comments.  Much appreciated

Posted by C. Lloyd McKenzie, Living Albuquerque about 6 years ago