Still, some banks can be extremely slow. I'm working with Countrywide on a home that I'll be lucky to get a response in 5 weeks. On another one, I'm working with Chase, and they are much quicker. The difference in response time for the Chase loan is because Chase is the underlying investor, servicing their own loan, while Countrywide is really a middle-man, servicing a loan for a different investor. That middle-man status means Countrywide really doesn't have much vested interest in expediting the process.
FORECLOSURE REALITY CHECKâ€¦. The only â€œsellers marketâ€ in america is the foreclosure market. Donâ€™t expect any deals from a foreclosure as the bidding process brings 20-30 people to bid on almost every deal. A deal that was already priced at market. For government foreclosed homes, by law, they have to be priced â€œat marketâ€.
The REO manager has a short list of â€œcash/close in 2 day buyersâ€, they always get the first right to bid. Then they have to wait for the â€œpublic auctionâ€ Which drives up those prices. After a 30-60 day period. Then the REO picks the best bid. Sometimes, only sometimes does a REO manager take a property directly to a buyer he knows peronsally. Why should he, he has a bunch of people bidding and driving up the prices.
My REO manager friend likes to joke about all the â€œfirst timersâ€ who continue to drive up the bid when they donâ€™t hear anything from the bank. Every time I see the â€œhow come I havenâ€™t heard from the bank about accepting my foreclosure bid after 30+ daysâ€ on trulia, I have to let out a chuckle because heâ€™s so right. For those newbies, this is real. They know that when you donâ€™t hear from them that a large percentage of people drop a second or third offer higher than the previous one. **WARNING, YOU ARE BEING TAKEN ADVANTAGE OF HERE**
You want a deal on a property right, everyone wants thatâ€¦. So the moral of this story is:
1. the 60 days you have to wait to hear from a REO, you could have made 2 or 3 better deals with a property that has been on the market for a long period of time. A good realtor will drop an 80% offer on a property and get one accepted.
2. You are attempting to make a deal in a house covered in a cloud of bad energy, donâ€™t be surprised when it rubs off. Personally I stay away from these for this reason entirely.
3. One way to get a deal is dropping a hand written note on ANY house in a neighborhood you want to buy that says â€œmy girlfriend and I want to buy a house in this neighborhood and yours looks cute from the outside. Do you know anyone that is looking to sell?â€ I always get responses, better prices and positive energy into the home.
You must follow up, daily. The trick here is to be polite, build rapport and get the assigned rep on your side, working with you. They get too many calls from too many angry people... Don't be one of those angry inconsiderate people and things will happen. Cop an attitude and your file will make it to the bottom.
Also, more than one lender told us they are sol backed up that they are only working files going to foreclosure tomorrow, meaning they will extend the foreclosure the day before as those are the files with priority.
Windermere West Valley
HOPE THIS ENLIGHTENS YOU AND GOOD LUCK.
Like Steve said, varies, depending on the bank.
It is importan to have all the docs ready.
Listing agreement, Short sale to the listing agreement and the others that go along with that,
As soon as we take the listing we try to talk to the banks, some already have a short sale package, and moves pretty quickly. However sometimes is not that way, even if we have all the docs, we have to wait for the bank to approved,
When working with buyers, it is all over the board. Short sales are still fairly new for some agents. It is through constant efforts that we are seeing results.
We also listed and closed one in 3.5 weeks, total time, so it can be done.