Your agent (if you're using one) should have forewarned you that it can takes months (plural) before receiving a response from the bank. The quickest response I've received on an offer for short sale was 6 weeks, and that was very fast.
You could be waiting 2, 3... 6 months, and perhaps longer... and at the end of your wait, the answer could still be "no". They might counter your offer, or simply say no.
Another component is knowing how many lenders are involved with approving the short sale. Often sellers have more than one loan, so each lender involved must approve. Another component is the insurance company who may have insured the loan. This can create a huge delay.
The lender requires the Seller to continue making their monthly mortgage payment. And, for example, if the short sale offer is $150k and the loan balance is $180k, then the lender(s) has to forgive the $30k or ask the seller to pay the difference. Likely if the seller had an extra $30k, they would not be in a short sale position. The short sale can only be approved by the lender if the Seller can prove to the lender he/she has had a substantial change in their financial status..... Sometimes the Seller runs out of time themselves, and decides to stop making the payments....foreclosure takes place and in the end, the bank usually sells the home for less than if they had accepted the short sale.....I could go on and on about this process....
I hope this helps....
Neva Cardwell, Broker
Coldwell Banker Sea Coast Realty
The other factor may be the bank / mortgage company did not like your bid, so they are waiting for a higher bid. This is very common if you have not heard back from the bank.
Banks normal do not tell you if your bid was unsucessfull, but will tell you if they accepted your bid.
Another option is the Bank may own the property, but may use a third party like Equator or Marshall & Hudson, or one of the other 3rd party vendors programs too sell the property.
Call your agent too see what they did and when?
Allen Tate Realty
Although I have responded already, I have to chime in one more time. Much is going to depend on the relationship that the listing agent has with the bank (lien holder). Some banks will allow you to start the process prior to obtaining an offer, but most do not. The key is, as Tom Bohlman stated, that the agent is submitting the correct documentation in the order that the bank requires. Too much, too little? Could be a problem.
If you are not currently working with an agent and you decide to offer on a short sale in the future, get connected with an agent that understands the short sale process and knows what questions to ask the listing agent to make sure that you have two agents that are on top of things and know the details of getting to a successful short sale closing.
You do have what it takes to be a Short Sale Buyer.
A month is nothing in the Short Sale market; it may be 6 to 12 more months before you get an answer, and then it may be a rejection. Heck, it'll probably be a rejection!
Only about 10% of the SS have been going through.
Obama promises that that number is going to increase, but I don't see how.
Good luck and may God bless
If you see homes that fit your budget and are what you are looking for in a home, then why would you continue to wait for a short sale that may take months before it is accepted and closed.
My clients have waited for over 2 months and they know as much today as they did two months ago, but they are in no hurry and want this home in particular, so the amount of time to them is not important.