If you have a Buyer's agent, then that person will need to see what offer the owner picked to go to the bank.
If your offer is the only one, then the bank has an option to accept, counter, or just keep holding out for a better deal.
That is why it may take some time. This also assumes the agents know what they are doing.
I would suggest you set a period of time, and then see if your offer was accepted.
Also see if there are other offers, or if the bank is waiting.
Short Sales are not like regular purchases. We do not recommend them for buyers needing to close quickly.
The main thing to remember is the bank is not obligated to agree to do a short sale. We have one now that the bank will not pay more than 1 percent of the sale price in closing costs on an FHA loan.
Congratulations on taking the step towards home ownership!
A Short Sale is anything but short. The corporate wheel moves very slowly. Agents who are dealing with short sales are dealing with employees of the bank on the other end of the phone line who work 9-5 and have a lunch hour and breaks. There is no sense of urgency. If one piece of the package is missing when they pick it up to review, it is placed at the bottom of the stack and the clock begins ticking again.
The big challenge is if there is a second mortgage on the property as well. Especially if the second is with another bank or lender. Sometimes they refuse to cooperate and that can put on the brakes rather abruptly.
I definitely think that Frank has given you the best advice which is have a backup plan.
Real Living Eudailey Real Estate VA
Real Living at the Beach SC
RE/MAX Peninsula at New Town REALTOR
One of the first questions I always insist on knowing for the benefit of my buyers is whether the seller meets the criteria in order to sell short. That is, has the seller fallen ill and incurred huge medical expenses lately, or did they involuntary lose their job or were they forced to take a pay cut? If a home owner does not meet any of the criteria, then the bank has no reason to accept the sale for less. Ask your agent for this information and if the sellerâ€™s agent is not willing to disclose this to you, then that is wrong and your agent has every legal right to demand this information â€“ as well as the name of the sellerâ€™s lender. Youâ€™ll also want to know how experienced the sellerâ€™s agent is in short sales too!
If I were your agent, and I knew that you had to be out of a place in 2.5 months, I never would have suggested you present an offer on a short sale - especially when there are so many other great opportunities available to buyers today. But since youâ€™re this far along, I would create a backup plan such as making arrangements to continue in a month-to-month lease if youâ€™re renting. I always suggest to my buyers to plan to go into a month-to-month when considering bank owned properties as one just can never be certain how long it may or may not take.
Best of luck to you and be patient, as these type of purchases are not for the faint hearted.
Frank Biganski, Realtor
Reliance Realty, Inc.