The timing of the approval and closing typically depends on the SELLER'S LENDER. The SELLER can move out anytime they want, on or before the closing date. The closing date deadline is specified in the approval letter of the SELLER'S LENDER and is usually 30 days or so after the approval letter is issued which is typically within 30 days after the BPO is ordered.
So, based on my recent experience with several banks including HSBC, BofA and WF, the answer to your question about how long between the SELLER'S LENDER BPO and the closing date is typically 45 to 60 days. (During this period after the approval letter is issued by the SELLER'S LENDER, the buyer gets their loan approved which includes a separate appraisal of the property engaged by the BUYER'S LENDER. If the BUYER'S LENDER is unable to close by the closing date deadline specified in the approval letter, then an extension must be requested and approved by the SELLER'S LENDER. This could delay the process.)
Brent Rice, SFR and Top Recommended Broker
The Rice Group, Inc.
Once the bank does the appraisal, you are typically about 3 weeks away from an approval (on average). However, once the bank approves the short sale, the buyer will still have another 35-40 days to close escrow.
As far as the time when a seller can move, that is all contingent on the terms that you have agreed on with the buyer in the purchase agreement. You might agree to move out 72 hours before escrow closes, or you might agree to move out of the property sooner. In some cases, I've seen buyers agree to do a lease-back to the seller for an additional month. So it all depends on what the terms are in the purchase agreement. Yes, you need to make sure you hire an experienced real estate broker who can help you navigate through this process.
If you are looking to do a short sale, please let me know. I've closed about 20 of them.
Andrew G. Belcher
CA. Broker Lic. 01707173
468 N. Camden Dr.
Beverly Hills, CA. 90210
Short sales can take anywhere from 90 days to a year...and not all short sales are approved. They are tricky business and often leave buyers frustrated.
Generally speaking, you get keys when the home records in your name.
The day that the seller moves depends on what you agreed to in your offer. It could be the same day of closing or an extra 1,2,3 days after closing.
Sara Mehrpouyan CDPE
Short Sale & Foreclosure Specialist
Dre License #01712757