Chase

Short Sale Telephone: 866-233-5320 or 877-496-1657   |   Short Sale Fax: 888-332-7856 or 866-220-4130

***Chase’s processing time is slower than other lenders. Be proactive about receiving a response to your inquiries during the Processing phase***

Required for Initiation

First, all documents must be faxed. Then, the Processor will upload the property into Equator. Chase negotiates files through Equator, but an initial request for the upload must be made to Chase.

To initiate the process, fax:

  1. PSA
  2. HUD
  3. Buyer Pre-Approval/Buyer Proof of Funds
  4. Borrower financial information (see Doc Pac)
  5. Listing Agreement
  6. 4506T Form
  7. MLS Sheet

The Process

Chase negotiates with three structure phases: Processing, Negotiation and Closing; however, the file needs to be uploaded into Equator after the documents have been faxed before Processing commences.

Processors: Collect additional documents, request document corrections, order appraisal, complete the file

Negotiators: Respond to the offer, respond to investor fee caps, determine relocation incentive eligibility, request investor-specific requirements, determine cash contribution requirements

Closers: Issue final HUD approval at the close of the transaction

Timeline for Approval

  1. Manually fax the short sale package, wait for the documents to be uploaded (5-7 days)
    1. Note: Call 48 hours after the documents are faxed to confirm receipt
  2. Request the file be uploaded into Equator (7-10 days)
    1. Note: Some front-end customer service representatives can complete while you hold
  3. Processor is assigned and reviews for corrections/additional document requests, orders BPO (7-20 days)
    1. Files that are not regularly followed-up on will sit in this phase. Chase will move faster if called regularly.
  4. Negotiator reviews and responds to offer (5-10 days)
  5. Negotiator submits offer for approval to investor (5-7 days)
  6. Investor reviews and issues approval (5-7 days)

Five Lender Specific Tips

  1. Convince the Customer Service Representative to put the file in Equator: Some Customer Service Representatives have the ability to upload files into Equator while you hold. Customer Service is trained to state they will make the request of the Processor instead of upload themselves.Ask if there is any way they can upload the file while you wait.
  2. Use the language “FIRST REQUEST” or “SECOND REQUEST” when requesting a status update in Equator: Chase is often slow to respond. By documenting how many unanswered requests you have made in Equator, when you escalate the file to a supervisor, you can point to the supporting documentation showing all unanswered requests.
  3. Call until you receive a knowledgeable party: The Customer Service representatives at Chase have varying ranges of knowledge. If someone is unable to understand your concern, politely hang up and call back to speak to a different representative.
  4. Don’t waste time with voicemails: Assigned parties rarely return voicemails; don’t waste time leaving one. Call back regularly until you can speak to someone who can help you. Rely heavily on Equator messages.
  5. Chase’s short sale department closes at 2:00 p.m. Pacific Standard Time: Call in the morning!

Value Dispute Procedure:

Lender counters the offer higher than the parties believe the property is worth.

  1. Respond to lender's counter with the buyer's highest and best
  2. Provide an independent appraisal or full agent MLS sheets for three comparable sales (providing all characteristics), and if available, three active comparable property MLS sheets
  3. Provide a CMA report
  4. Comparable requirements:
    1. Closed sales no more than six months old
    2. Similar in size, age, condition and characteristics
    3. Within one mile proximity of the subject property; OR
  5. If there are Repair/Hazard Issues:
    1. Provide a line item repair estimate from a licensed contractor or engineer on business letterhead with the costs to cure the damage
    2. Provide photos of the damage
      1. Note: Excessive photos will be rejected
      2. Place photos in a zip file if sending more than three
  6. Time given to provide documents for value dispute: 24-48 hours
  7. Potential wait time for value dispute results: 2-4 weeks
    1. Note: This time can be expedited if you provide a complete dispute package and follow-up every 2-3 days.

Lender Specific Documents

Lender Escalation Procedure

Compared to other lenders, escalations will likely be necessary with Chase:

If a file hasn’t been notated or moved in 7-days:

  1. Send a message in Equator labeled: “NO RESPONSE FIRST REQUEST”
  2. Wait 48 hours
  3. If no response, send a second message in Equator labeled: “NO RESPONSE SECOND REQUEST”
  4. Wait 48 hours
  5. If no response, call Customer Service, point them to the two unanswered requests and have them send an internal email to your assigned party with the relevant information.
  6. Wait 48 hours
  7. If no response, call Customer Service, explain all three attempts for a response and request to speak to a supervisor
  8. If they cannot reach a supervisor, request an internal email be sent again to the assigned party and their supervisor; and
    1. Send a third Equator message to the party and their supervisor through Equator labeled: “NO RESPONSE THIRD REQUEST”
  9. Call every other day until someone responds

Closing Process

  1. Send final HUD for approval: Chase reviews for final approval of the HUD-1 Settlement Statement 48 hours prior to closing.
    1. Fax the HUD-1 to 866-837-2043
  2. Sign and Return Final Closing Materials: Chase issues closing instructions and requests for signatures on the short sale approval letter, as well as other documents:
    1. E.g. Short Sale Arms Length Affidavit, HAFA Affidavit, Unearned Insurance, etc.
    2. Return documents to: 866-837-2043
  3. Processing Tips:
    1. All correspondence gets to Chase through their main fax number (866-220-4130), unless your negotiator provides their email address (rare).
    2. Include the loan number, property address, and lender name on the cover sheet for each fax
    3. Provide the seller’s forwarding address (usually asked for explicitly in the approval letter)

Approval Extensions

To request an extension of an approval:

  1. Reach out to your contact listed on the approval letter via phone to make request
  2. Fax the request in writing to: 866-837-2043
  3. Call and email to follow-up daily until it is receive via fax