Home Buying in Jacksonville>Question Details

HEATHERFREE23, Home Buyer in Jacksonville, FL

buying in jacksonville fl, how long do short sales take if the home has already been throught the short sale process?

Asked by HEATHERFREE23, Jacksonville, FL Tue Jan 1, 2013

The home I put an offer on has already been through the process and the bank approved a price of 105000.00. The person before me that made an offer backed out, and I came in and offered 105000.00. I am preapproved with a VA loan. Will the process be as long as others? My agent said it should go buy faster because the owners have also hired a short sale attorney.

Help the community by answering this question:

Answers

5
It depends. I would hope for this, but not count on it. The only predictable thing about a short sale is that they are completely unpredictable.

It completely depends on the lender and even the negotiator that the file has been assigned to. We have had contracts substituted on short sales and a new approval letter issued within days. On others we have seen the short sale completely start over and go through the process from scratch. The good news is that you know the price was previously acceptable to the bank so unless they obtain information that leads them to believe the home is worth more, you should be fine.

Buyers should be prepared to wait it out when they go into a short sale transaction. Best of luck!

Stephanie Lim
The Lim Team
Re/Max Unlimited
904.371.9654
http://www.LovelyJacksonvilleHomes.com
0 votes Thank Flag Link Sun Jan 6, 2013
Good Day,

Looks like you have all the answers. If you like the house, just wait it out. Might be 30 days might be 60 days.

Regards,
Blaine Rabe
Deltona Realty
904-874-0814
0 votes Thank Flag Link Tue Jan 1, 2013
Heather,
Just had a buyer back out on a home that was approved and we closed with another cash buyer in two weeks as the short sale lender gave the second approval within 5 days having said that each situation is different but based on the limited information given I would say your Realtor is correct in that it should go much faster.

Thanks

Tim Tutt
Jax Elite Realty
0 votes Thank Flag Link Tue Jan 1, 2013
Hi Heather, it is not necessarily true. WE have had this same scenario and it honestly depends on the bank and the negotiator. sometimes if the offer is replaced within a few days they may just swap it out. But if the home was approved and put back on the market and the file was either closed or stalled, then the bank may choose to order a new BPO which will hold up the process, and it may have to go back to the investor for approval, you are still a new buyer and possibly new financing terms, even if the price is the same. If it goes through faster you are luckily, but don't be surprised if another 90 days goes by and again each bank is different in how they handle new offers. And just because an attorney is handling the short sale , it does not mean the process goes faster. They have to present the offers the same way anyone else does. they have to go by what the lienholders want and in the time frames they want. We are all subject to the lienholders, and investors. I always tell my buyers, in our Short sale addendum fro Jacksonville, it automatically states 60 days for short sale written approval. We always write in 90 days because it is more realistic to hear a response or get a counter offer But I can tell you in no way do the banks actually look at out contract and say, "We have to hurry we only have 60 days to get an approval letter" :) they are over worked and understaffed like many other companies. It is better to have realistic expectations and be pleasantly surprised, than to believe your response time will be fast and you wait 90 days. For our buyers days are like weeks. But if you can hold one and it is a great house, it will be worth it.
0 votes Thank Flag Link Tue Jan 1, 2013
In theory it should go faster than the first buyer, however shortsales are very unpredictable. The lender may order another BPO and if they feel the value has increase may want more than the previous $105k I have also seen lenders sell the loan mid transaction which will cause the entire process to start over. Let your Realtor guide you through the process and keep you posted.
0 votes Thank Flag Link Tue Jan 1, 2013
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2014 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer