The right answer will be: it depends.

(1) The first question we ask when looking at a short sale is: how many lenders? If more than one, is it the same lender?

Too often, we get hung up because a junior lender will not agree to a reasonable pay off. If there's no concurrence on one lender, the short sale isn't going anywhere.

(2) Has the property owner received a Notice of Default or a Notice of Trustee Sale. With a NOD, there is a little more time to negotiate the short sale; but once the property is scheduled for auction, it's a real struggle to get the sale postponed.

(3) Who are the lenders? Some lenders simply won't negotiate short sales (and the listing agents should know who they are before they list the property), For example, in many cases, if the loan was done through Downey Sabings Bank, more than likely Downey sold the note to an investor like Deutsche Bank who will not approve a short sale.

Some banks will take longer than others. From ForeclosureRadar.com, here's how they are ranked:http://www.foreclosureradar.com/short-sale-report

Some short sales have taken almost a year of negotiations (multiple lenders), others need only have an offer and it goes a little faster. The shortest escrow I've had from the time I had an offer was less than 30 days (Wachovia). Expediting the short sale process involves submitting a COMPLETE package (offer, financials, hardship letter, comps, supporting documents, HUD statement, etc)

Hope this helps!

Dear Ken
I agree with Fiona, however a very improtant detail of the process, the seller needs to provide to the lender a complete financial statement with documentation, seller needs to approve your offer, your offer would be an as is offer, so that it is important to have your inspections immediatley, in fact I would bring my inspector thru prior to writing an offer, you want to be ready to make your best as is offer and know as much about the property as possible, also provide a pre-approval letter from a lender who is active in residential lending, also verify the ccr's, make sure there are no outstanding or ongoing lawsuits that would make it difficult to get financing, and most important, BE PATIENT!!!!

There are lots of opportunities out there, if you are not working with an agent, feel free to give me a call, I can share some other properties with you that may be easier to purchase that also provides great value, and one you can call home.

Good Luck
denise laugesen
650-465-5742

Denise Laugesen
#1 Top Producing Agent
Cashin Company
Direct Line: 650-403-6225
Email: deniselaugesenteam.com
Web: http://www.deniselaugesenteam.com
DRE: 01011089

Hi Ken,

It depends on who the lender is - some take longer than others, for example, Countrywide which is now Bank of America takes about 3 months from the time you submit your offer; Wachovia is the best one I've worked with at only 2 weeks or even less and they issue the approval. As soon as you get that written approval, you will then be in the escrow process which takes about 30-45 days then you close. It also depends on how much the loan balance of the seller is - if the loss is too much, meaning the offer is too low, the lender takes longer to review an offer. Having 2 loans on a property also changes the time frame. Properties that only have 1 loan or even 2 loans with only 1 lender are easier and faster to deal with than those with 2 loans with 2 different lenders or even those with 3.

I currently have a short sale listing in South San Francisco. It's a single family home (221 Holly Ave., SSF - $499,000 with 4 bedrooms, 3 baths), I know you're looking for a condo but right now it's more practical to buy a house. It has good resale value and you don't have to deal with HOA dues that add up to your mortgage payments. You might want to consider your options. If you are not yet working with a realtor, please call or e-mail me. I have worked with both buyers and sellers on short sales and regular sales.

Best of luck,
Fiona Santos
(415) 513-8876
E-mail: fiona@fionasantosrealty.com