On 9-27-13 Bank of America issued a Short Sale Agent Update which indicated in part that the HUD 2013-14 Mortgagee Letter has announced that they are postponing, until further notice, a portion of the preforeclosure participation requirement on a FHA Short Sales.
Of pertinent part to most agents is that the FHA is delaying the prohibition on dual agency/brokerage that was previously included in Mortgagee Letter 2013-23.
As revised by the FHA’s new announcement, brokers and their agents may now continue to represent both the buyer and the seller in FHA short sales, but the existing arms-length requirements still remain in effect.
*This information is not intended to be legal advice. This information is subject to change, please contact us for more information.