Then there are some, like Wells Fargo right now, where you will be lucky to close in 45 days I think. They are considered just really backlogged.
Several of the banks are attaching "per diems" to escrows closing slowly because you or your lender are not getting the information to the escrow company fast enough. The Calif. Assn of Realtors legal staff are telling us that the courts don't like the per diems and will not back them in court cases, but I think it best you pay them respect for the time being.
Hope this helps.
Jeff Larson at Tarbell, Realtors in San Bernardino. MailTo:IPhoneJeff@Yahoo.com
In an auction type of pricing stratetgy, I have seen banks settle for less than their expectations when mulitple offers all fall short of the bank's target. If the bank has only one offer at a price less than desired, the bank may hold out. When the bank has 4 offers and all fall short, the market has made a clear and compelling statement and most logical people will listen. Disclaimer: Banks are not always logical.
The duration of the REO sales process will vary from home to home so it's difficult to assign a period of time. But we can confidently say a REO closing should take place in a much shortr period of time than a "short sale." Short sales can take 4, 5, 6, months.
We just did a foreclosure that closed in 3 weeks....but the buyers were preapproved and ready to go.
It is my experience that REO properties will go through much quicker and on a more traditional time schedule, as long as the offer is reasonable. They are night and day compared to short sale and pre forclosure sales that require bank approval. Make sure you have a Real Estate Lawyer look over the paperwork. Many times a bank will not allow changes to the P&S and you want to make sure you fully understand what you are agreeing to. Good Luck!
I am not trying to discourage you from REOs but I think it is important to understand the time and patience you will need in order to get one of these deals to actually close.
Hope that helps!