I am afraid that you need to get your information from your Realtor. The rest of us would be overstepping our bounds by giving advice to another Realtors client. Especially since we don't know the whole exact story because we were not involved. Your agent and their broker should be able to advise you.
Maybe a lender will see your question and be able to advise you.
Short sales are each unique.
While your agent is negotiating for you and dealing with the stress of dealing with the worst element at the bank, you need to know a few things.
First and foremost. not all short sales are approved. In fact of all the short sales listed, only 12-20% actually sell.
Second on the banks end,.... while all may be set and ready to go. each file processor handles approx 400 - 600 files at a given time. Oh by the way those people at the bank, quit their jobs as often as you wash your car. There is no faces on a file. They can't remember who is what and so on. In addition their bosses at the bank are not what anyone would call nice. They don't get hired to be nice and they don't keep their job if they are nice. This is not a bank teller position. This is a Collection department dealing with hundreds of people wanting to default on their loans or pay less than is owed. Those same bosses get paid on commission of money they collect over and above a certain number and or percentage.
While I know you are trying to sell your house, I understand your crisis. But as a person who is getting let off the hook for thousands upon thousands of dollars, you job to earn that is to put with crap from those who may let you off the hook for all of that money.
I ask you in the back of your mind to remember how you spent your refi money or second money. You may have paid off credit cards for many purchases in your home. You may have bought that SUV, or a boat awhile back. You may have sent your kid to college. You may have bailed out a family member out of jail. But it is truly amazing how mad people are at the banks, when the banks loaned you money for the promise you would pay them back with interest. Now I ask you to keep in mind you spent alot of money. and you are trying to short sell your house. You are doing the right thing by not letting it go to foreclosure. I hope you agent took the time to tell you, "This is a long process, it is in an effort for you to get away with thousands and thousands of dollars which you promised to pay." "I hope you will understand that many things can go wrong." "I want you to know, I will try my best." "I cannot guarantee that the bank will settle your debt." "However I will try, and I am trained to do this." "If it is successful, a short sale should help your credit out in about two years as opposed to a foreclosure putting you into financial ruin for 10 years, and you may be let of the hook for thousands upon thousands of dollars." " I will be working my ass off calling these banks 2-3 times a week, being on hold for no less than an hour each time." " I will have faxed every bit of your file to them at least 3 times." " I will have mailed it to the bank no less than twice." " I will have emailed your file 7 times." "Now double all of that cause you have two loans." " I ask for your patience and kindness along with common decent respect." " I do this for a reduced commission and the satisfaction of helping out a family and sticking it to the bank." " Now would you like to proceed with your short sale?" This is what I tell people upfront. They need to know the cold hard truth of what I am doing and I take the time to let them know. If they can't handle it when I let them know the truth, then they are not ready to steal thousands of dollars from the bank and have me help them get out of the messed up situation that they are in.
I hope you can laugh at this and look at the seriousness of it as well.
I am not this way usually, but when you negotiate with banks, you know you have to be ready to stand your ground to do your best for your client.
I wish you and your loved ones, the very best.
So Cal Homes Realty
951 821 8211
I agree completely with Linda, these are questions for your Realtor since your Realtor knows the full story.
Lydia Kray- Realtor
cell 951-733-1058 :)
Another stumbling block in the process is that communication between bank loss mitigators and Realtors is often sorely lacking. Most Realtors have no idea exactly what the loss mitigator is or isn't doing at any given point. The only thing we do know is that they are very busy and often don't return calls or messages. If we "bug" them too much, it can be as counterproductive as not following up enough...a fine line.
It's like the "Wild, Wild, West". The territory is still largely "uncharted" and there're no hard and fast rules. the best that any Realtor can do is to let you know ahead of time that this is the way Short Sales are. A few go through relatively smoothly, some can take over a year to complete, some are somewhere in between and some never close at all.
If it helps, GMAC was the lender on my smoothest Short Sale listing sale. It sounds like the wheels are turning which is good news.
It seems it was about a couple of weeks ago you wrote about finding out the 2nd was not approved in writing. As you can see from the very fact that the second sent the file out over the weekend the banks really drag their feet on these short sales. It is very unfortunate that the 2nd did not package this sooner; but the truth is no one can really tell you when this will get done at this point in time. You really do just have to wait. It seems as though you have everything in place to close . What I do not understand is why you got this far with no written approval! I hope YOUR new lender does not try to charge you for anything if this does not close. Hopefully you paid no up front fees them. Right now you need to speak to your agent and make the priority be getting the extension in Writing from the 1st. The 20th is only 11 days away and the way banks move, you stand a good chance of not having that 2nd in writing.
Also make sure your new lender is totally ready as you are really coming down to the wire here. I really hope this works out for you!
To answer directly, the 2nd is only approved in one department. That is why it has been sent out for review and final written approval. Someone will type up the approval letter, but it will be after it reaches the next level.
Do not be shocked if you are asked to contribute to the 2nd, as they may think they have you over a barrell. Try to hold out and get the approval, if the 1st forcloses the 2nd gets nothing, don't forget that; and give in to idle demands; without a fight!
When short Sales go this long it is easy and almost expected for a buyer to look somewhere to put blame. The truth is; IF you close escrow, both agents did an exceptional job. If you do not close it doesn't mean they did something wrong, just the way things happen. I know you can ask for things over and over until you are blue in the face and not get a response, just gotta keep going! Sit tight and wait it out. Take a deep breath and know that everything is as it should be, and You are exactly where you should be. I believe things have a way of working out for the best, it's just sometimes we can't see that so easily!
Prudential Ca Realty
As to the general questions about short sales and lender timelines for responses - there are none. It's sad, but they get back to you when they get around to it. Could be 3 days, could be 3 weeks. Many of the folks at the bank working on files like yours also have their regular full-time job to get done. If they get around to short sales and REOs once a week, whatever they can get done in committee gets done that day. Everything else gets shelved for a week.
It can be very frustrating process for buyers, and they should be made aware of that before diving into distressed property purchases.