GMAC’s URGENT Letter to Preferred Agents RE Corrective Action in Connection With Foreclosures

Well well well…

Here is the letter…

Urgent: GMAC Preferred Agents

Privileged & Confidential 9/17/10
Attorney/Client Privilege

Dear GMAC Preferred Agents:

GMAC Mortgage has determined that it may need to take corrective action in connection with some foreclosures in the following states:

New Jersey
New Mexico
New York
North Carolina
North Dakota
South Carolina
South Dakota

As a result of the above, effective immediately and until further notice, please take the following actions only in the states identified above:

Do not proceed with evictions, cash for keys transactions, or lockouts. All files should be placed on hold, regardless of occupant type.

REO Closings:
Do not proceed with REO sale closings. GMAC Mortgage will communicate instructions to the assigned agent regarding the management of the properties in Pending status. If the contract has already been executed by both parties, the Asset Manager will request anamendment to extend the closing date by 30 days or as otherwise designated by the Asset Manager. Please provide appropriate notice to the REO purchaser that, pursuant to Section 1 of the GMAC Mortgage Addendum to Standard Purchase Contract, GMAC Mortgage is exercising its sole discretion to extend the Expiration Date of the Agreement by 30 days at this time. If the REO purchaser wishes to cancel the contract, GMAC Mortgage will terminate the Agreement and return the earnest money deposit.

You will receive further instructions regarding the status and handling of these assets from your asset manager. There could be asset level exceptions and you will receive direct communication from GMAC on the handling of those exceptions. Please send any questions or concerns regarding these matters to your asset manager.

Please ensure your staff is aware of these requirements immediately.



GMAC’s URGENT Letter to Preferred Agents RE Corrective Action in Connection With Foreclosures

3 Responses to “GMAC’s URGENT Letter to Preferred Agents RE Corrective Action in Connection With Foreclosures”
  1. WestcoastDiva says:

    Man! Can you say Karma is a Bitch!
    It’s about time it started kicking in!
    I hope to God that this snowballs and turns into a monster for the all the lenders.

  2. Michael says:

    They forgot the PS:

    PS – it appears that we may have thrown tens of thousands of families, including many children and elderly, out of their homes in our arrogant rush to capture those REO fees. We are kings though: we’re too big to fail, which is why we were given about $17 billion of public money. We’re therefore sure that our majority shareholder, the US Government, will stand behind the title insurance mess, pay the civil theft claims (3x the note value), and hold us harmless — hell, we’re sure they’ll continue paying our bonuses! — lest we be forced to take any personal responsibility for our greed, incompetence, and dishonesty … all for the public good, of course.

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