Karl
I also do a lot of Bank Owned properties and Short Sales. 'i work with several banks, one bank I deal with gives me an answer in 3-6 hours typically, or overnight. That is not typical. It depends on a lot of factors, such as how many mortgages there are and is there mortgage insurance. The majority of the banks are overwhelmed and along with the short sales, the person that handles the short sales may also be working with borrowers of other mortgages on their loan modifications as well. When I call the response I usually get is that the person at the other end fo the phone is handling upwards of 200 files a day. The main thing to do is make sure you have an agent that works closely with the bank as sometimes the squeaky wheel will get greased faster if possible. If the bank has investors involved as well on the note, they have to approve it also.
Some new models are in place now with a few of the short sales, where they are already prenegotiated on the back end and while not able to give an instant answer, they have a point go to person, and it makes the transition smoother. Many lenders have opened "call centers" just for the purpose of doing short sales.

Regards,
Ron Woytowich

Karl,

There is a wide range of correct answers for your question, running from several weeks to six months. The duration of a "short sale" is one of the down sides of getting involved in one of these transactions.

Our advise is to get the name and contact information for the person assigned to this transaction and be in touch with them on a regular basis. At least 2 times weekly. Getting to know the individual on a personal basis can only help your situation and encourage this person to stay on top of things for you.

The last thing you want to happen is to allow several weeks or months to pass without having contact with the bank. Also be sure that everything is documented and followed up on. If a form is requested, send it certified mail and/or follow up with a telephone call to the contact person. Your agent should be all over this........if he/she is no, you should be all over them.

Best regards,
The "Eckler Team"

Hello Karl,

Great question. I handle many bank properties as well as short sales. Banks tend to take their time but want everyone else to move quickly. I had a short sale take 6 months after everything was in and the only reason it didn't go to 7 or 8 was because I bugged everyone at the bank. When handling short sales a Realtor must be very aggressive with the bank. I found that people at the banks most of the time do not know what they are doing. Short sales take a very long time. I hope this helps. I know its not what you wanted to hear though.
If you have any other questions, feel free to contact me.

Renee Porsia
Associate Broker
RE/MAX ACTION REALTY
(215)669-0589 Direct
(215) 358-1100 Office ask for Renee
http://www.reneeporsia.com

Unfortunately, there is no time table. It all depends on the individual bank. I've had one that took 3 months before the lienholder gave us permission to close. This is 3 months after they accepted the offer. I've spoken with other agents who've waited longer!
On another deal, the bank told us it would be a minimum of 45 days. On day 20, they called and said we had 48 hours to close or they were going to go through with the foreclosure! We got it done at the last minute and our settlement attorney was frantically trying to contact the lender to let them know while we were still at the closing table.
My only advice would be to be prepared for anything!