First you will need to gather information. We give you the list of items that your bank will require. Part of that packet is an authorization for us to speak to your lender. We represent you to your bank throughout the entire process.
Recent requirements have been made to speed up the short sale process. The bank is to respond to us once we give them the paperwork within 3 days to acknowledge that they received our packet and they are to assign a negotiator within 30 days. Once the negotiator has the file they are to give us an answer within 30 days. This is an improvement as you have probably heard that many short sales were taking from 3 months to a year, and sometimes longer.
The short sale packet I sent in this week had a response from the lender the next day and the following day a BPO (broker price opinion) was being done. This is ordered by the bank and this shows that they are definitely stepping up the process.
As far as qualifying, this will depend upon your circumstances. If the short sale is the only negative on your credit then there are lenders that can do a loan right away. If you are facing many credit issues right now then you will have to work on your credit. But, please feel free to contact us and we can assist you on the best way to proceed in your circumstances.
Ron & Brenda Cunningham
West USA Realty
** Recognized in the Phoenix Business Journal as "One of the Top 50 Realtors in the Valley" **
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I am not sure if you are asking how long will it take to short sale your current home or how long will it take to purchase another property. I will answer both questions.
First of all, we work with a lender that can give you a new loan immediately after a short sale. Yes, immediately!! The program is designed to allow borrowers to take advantage of today's low real estate price and start earning equity now as opposed to 2 to 3 years from now. You will be required to refinance the loan in 2 to 3 years once your credit is reestablished.
Second, the time frame to short sale your home could be one month to three months at the most. When short selling your home you will want to make sure the approval letter provided by the bank will release all your debts so that you will not be liable after the short sale. The worst thing would be to owe a debt with no home / collateral. My team of short sale experts and attorneys will make sure you are 100% released from all your debt obligations associated with your home.
Give me a call to get stared on the short sale process so that you can go out and purchase another home immediately after the sale.
Sean Heideman, Broker
Without more info it is impossible to say when you'll be able to qualify for a new loan. We'd be happy to do an evaluation and let you know though. No charge, just quality information.
As the other responses have indicated, there is no set time for a short sale and they can vary greatly, although most will fall in the 90-120 day range. There are many factors that affect the timeline including how many liens, which lender(s), paperwork submission and more.
If you hope to purchase another home right after a short sale, chances are that you won't be able to. Depending on the type of loan you seek you may be able to purchase in as little as 2 years if you keep your credit straight . If you were relocated and that was the reason for the short sale, you may be able to purchase right away, but again there are other factors, such as a necessary large down payment to get that to happen.
Regardless of the answers in this forum, you should sit down with an agent to thoroughly discuss your specific situation to determine the best path for you to take. Please feel free to contact me if you would like to do so.
Adam Tarr PC
Citywide Real Estate
If this is the question you must wait at least 2 years. It is important that you pay all of your bills on time to ensure you meet the minimum credit score required.
Sometimes the short sale approval from the Seller's lender comes very fast - within 3 weeks, especially if everything from the Seller's package has been submitted and is in the format the Lender requires it. The approval notice for the short sale can take longer if there are more than one liens. In addition, if the Buyer is financing the whole transaction time will be increased...
I have closed short sales in as little as 20 days and have others where the loan in the property is a FHA or VA taking considerably longer.
I trust I have answered your questions. If you have any additional questions please free to contact me at 480-466-0264 or via e-mail at firstname.lastname@example.org