EPI Fund Short Sale Program

• Are you in a Pending Foreclosure?
• Does your Mortgage Debt equal or exceed your home’s true value?
• Would you like an opportunity to STOP your foreclosure & STAY in your home?
• Would you like an opportunity to REDUCE your MORTGAGE debt?
• Would you like an opportunity to REDUCE your MONTHLY PAYMENT?

Before you read on, please review our “foreclosure information” sections so that you may be better informed about the various choices you will have as you act on your pending foreclosure:

• Pre Notice of Sale Solutions
• Foreclosure Alternatives
• Credit Restoration

Now that you are in a “pending foreclosure”, what are your immediate choices (assuming you do not have personal capital reserves to bring your account current):

• Negative Choices:
  • Do nothing: the foreclosure will take place as scheduled… then move
  • File Ch 13 Bankruptcy, reorganize your debts, further ruin your credit
  • Borrow from family and or friends (this is always a terrible option!)
• Positive Choices:
  • Determine if you have enough equity to secure new bail-out financing
  • If you do not have enough equity:
    • Attempt to negotiate a work-out with your lender(s)
    • Sell the property under a Short Sale plan…then move…or…
  • Review the EPI Fund Short Sale Buy-Back Program… and stay in your home!  Read on:

Appraised Value:		$200,000
1st Mortgage Principal:		$120,000
1st Mortgage Arrears:		$ 10,000
Gross Encumbrances:	$130,000      65%
Estimated Re-fi Costs:	$ 10,000      5%
Total New Loan:		$140,000      70% LTV

Short Sale Buy-Back Program

IMPORTANT DISCLOSURE:       Because all Short Sales require the cooperation of the mortgage lender being paid off, no guarantees of success in short sale negotiations can ever be provided.  A lender may decline, amend, or approve any short sale proposal.

What is the premise of the EPI Fund “Short Sale” Program for its principals?

• You determine you have no equity in your home;
• You determine you have no reasonable alternative to cure your pending foreclosure;
• EPI Fund enters into an administrative fee based contractual relationship with the principal to prepare, process, administer, negotiate, and, if approved by the foreclosing lender, to close on the program on behalf of all parties.  The program will require the complete cooperation of the principal to have any opportunity to successfully close;
• EPI Fund acquires your property from you at a price that falls within its investment parameters.  That price in every instance will be an amount less than what is due and owing your foreclosing lender, allowing for market conditions in your respective location;
• If the lender approves the sale at the proposed pricing, EPI Fund will pay cash for the property and take title.  If the lender rejects the proposed sale, the contractual relationship between EPI Fund and the principal shall immediately terminate.  This will mean that any pending foreclosure action will continue on;
• At closing (if successful) EPI Fund, or its assignee investor, will grant the principal a “fresh start” contract to lease the property at a price determined prior to close and, thus, during the processing of the file.  That price will always be $100’s LESS THAN what you were paying for the same property;
• At closing (if successful) EPI Fund, or its assignee investor, will also grant the principal an Option to acquire the property at a price determined prior to close and, thus, during the processing of the file.  The Option Price will always be $1,000’s LESS THAN what you had owed for the same property prior to closing;
• At this point the contractual relationship between EPI Fund and the principal will conclude.

How does the EPI Fund “Short Sale” Program benefit you?

• No foreclosure sale on your credit history!
• You do not have to move!
• You reduce your debt by $1,000’s!
• You reduce your monthly payments by $100’s!
• You better your financial world by putting yourself in a much better position than you were!

What do I need to do to get started?

• First
  … and most importantly… you must be committed to staying in your home, and to staying with the program.  If you quit on the program EPI Fund can not and will no longer provide its service under your contract; this will result in the continuance of your scheduled foreclosure sale;
• Second
  … and just as important… you must accept and acknowledge that there can not be any guarantees of success offered by EPI Fund for its professional services under its Short Sale Program.  This is because the Program absolutely requires the cooperation and approval of the customer’s lender(s) in order for EPI Fund to achieve its objective of acquiring the property at its then determined investment value;

What are the steps I must take to get started?

1. Tell EPI Fund about your property and your existing financing.  Simply click here to be taken to the property owner data entry section of this site.  Then follow the very simply instructions;
2. You will be required to enter into a contractual fee agreement with EPI Fund.  The agreement will terminate either when EPI Fund successfully reaches a Short Sale approval from the customer’s lender(s), or if the customer’s lender(s) decline EPI Fund’s Short Sale proposal, or if, prior to dispensation from a customer’s lender(s), the customer breaches  the administrative agreement or elects to terminate it;

What is the purpose of the EPI Fee Agreement?

Administering a Short Sale Procedure takes a tremendous amount of professional time and expertise.  The Fee Agreement is designed to:

• Identify the responsibilities of each party in the Procedure;
• Provide full disclosure to the customer as to their foreclosure status;
• Provide a time line for the Procedure so that the customer can plan;
• Define compensation to EPI Fund for its professional time expended;
• Identify the objectives of each party in the Short Sale Procedure;
• Provide documentation to the customer that allows them to terminate their relationship with EPI Fund at any time and for any reason, and without delay;

How long does the Short Sale Process generally take, and are there any guarantees that the Program will be accepted by my lender?

The process commences upon the mutual execution of the EPI Fund Administrative Fee Agreement with you, our customer. It concludes with either a lender short sale approval or decline; and generally takes from 30-60 processing days.  There have been occasions where the lenders required more time to process an application for a short sale, and in those instances the processing time extended an additional 30 or so days.

There are no guarantees that any lender will accept a proposed Short Sale (i.e., a payoff of an existing mortgage debt at an amount less than what is due and owing at closing).   Each conventional lender will have their own application guidelines and corporate policy as to short sale approvals.  Mortgages that are fully guaranteed by the Veterans Administration can never be submitted for short sale application; therefore, EPI Fund will never accept a customer who has a VA loan in default and or pending foreclosure.  Mortgages that are insured through HUD (i.e. FHA mortgages) can be processed for short payoffs.  There are federally mandated procedures coupled with individual lender guidelines that will guide such files through the short sale process.

What opportunities do I have once a Short Sale application is approved and EPI Fund or its investor acquires the property?

As stated throughout this section, critical to the success of this program is your desire and commitment to stay in the home, retain long-term occupancy, and to desire at some point in the future to once again secure title to the property.  Upon a successful application of a Short Sale proposal to your foreclosing lender, this opportunity will be offered to you by the new investor of your property in a very simple “Lease Agreement” which will include an “Option to Purchase” the property.

Your monthly payment and back-end Option Purchase Price will be determined by the final short sale numbers:

• Your monthly payments will be $100’s less than you currently pay; and
• Your purchase option price will be $1,000’s less than you currently owe.

Will I have any derogatory credit history if the Short Sale is approved?  And what else can I do to improve my credit score?

You will have a “Notice of Foreclosure” on your credit record.  This was filed by your lender to officially notify the general public of your default status.  This event, which occurred prior to your relationship with EPI Fund, can not be reversed.  If the Short Sale application is approved by your bank, your account will appear as “Paid” on your credit report (or an entry similar thereto).  If the application is declined and the sale goes through, your credit report will reflect this. 

It is the opinion of EPI Fund that successfully completing a short sale (short payoff) of a mortgage is analyzed much more favorably by future lenders that allowing a property to go through the scheduled foreclosure auction

IMPORTANT:    if you qualify for this program, it means you do not have any equity in your property.  Filing a Chapter 13 Bankruptcy Petition (which is intended for reorganizing your secured and unsecured debts) will delay the scheduled sale, and only cancel it if you complete your Reorganization Schedule… which are generally designed to last from 3-5 years!).  It is intended to “protect equity in assets”.  If a petitioner has no equity to protect, why further ruin your credit rating by filing such a Petition.  Any Bankruptcy Petition will stay on your credit report for ten years.  A Notice of Foreclosure will only stay on your report for seven years.  It is the opinion (not the legal opinion, just the opinion) of EPI Fund that no one should file a Chapter 13 Bankruptcy to delay a pending foreclosure unless you have enough “real” equity to warrant the filing.

Thank you for reviewing our Short Sale Program.  If you have any questions please either visit our About Us page, scroll down and call our corporate office, or e mail your questions through our Contact Us page.