I understand it can be frustrating when you have an accepted offer on the table, and it appears as if the bank is ignoring you. A short sale transaction can take 4-6 months to complete; it will take closer to 6 months if it is not being handled by a local bank. I guess it all depends on how badly you want this home...a great home in a great location at a great price may be worth the wait! If not, you may want to move on to bigger and better things.
I agree with all of the prior comments...you need to be working with a realtor that can guide you through this process. Ideally you should be represented as a buyer's agent to protect your interests and also allow the agent to advocate on your behalf.
Please let me know if I can be of assistance to you!
Kris Plechaty @ First Weber Group Realtors
In this case, it's not likely that it's a matter of determining which scenario is best for the lender. You should be considering whether or not it's worthwhile waiting this out any longer. A 5 month waiting period may be an indication that something isn't right. Consider asking the following question to the listing agent:
Has the selle submitted all of the necessary paperwork?
Has the seller filed a letter of hardship?
Has the lender appointed a "loss mitigator" or negotiator?
Has the bank had an appraisal or BPO's done on the property?
Does the lender appear willing to work with the seller?
Are there multiple loans or additional liens on the property?
Is the bank providing regular feedback?
Where is the lender in this process?
Eventhough there may still be hope...at this point, we would recommend continuing to investigate the real estate market for other options.
Without knowing all of the details of your offer I would say its time to move on. What was your original closing date? I'm guessing you are well past that if you've gone 5 months already. If the lender can't give you an answer after all that time its time to get out of this contract and find another home. If you are not working with a licensed Realtor you should seriously consider hiring a buyers agent who can represent you and your interests in the transaction. There are numerous benefits to working with a licensed agent and best of all there is no cost to you as the buyer!
Troy Miller, ABR, RNG
TOTAL Realty LLC