I have a short sale going with PennyMac. There is only one lien on the property, theirs, yet we have been waiting to hear literally anything since August. In January we were told it was under review at HUD
but have never been provided any update since then or any time frame to expect and answer.
Five months since we started the short sale process with an offer coming in the first 3 weeks, we got notice of foreclosure. They now have a judgment against us and will take the house by short sale in the next 3 months if we don't pay them in full.
We have been working very hard to avoid a foreclosure but PennyMac is delaying everything and never gives us any answers. Aren't there some rules they need to work under to give home owners some time frame by when they need to make a decision?
It is a miracle that the buyer is hanging in and still wants the home. But now we are really under the gun and have a foreclosure on our record when we really should not have since we have had a viable buyer all along. To make things worse in our minds, we have been paying private mortgage
insurance, so they wouldn't even have a loss as far as I know.
Can we go after them for failing to work in a timely manner to resolve the short sale? We have literally heard nothing and now thanks to their unwillingness to work with us, they have damaged our credit significantly with the foreclosure being on our records.