Home Buying in Nashua>Question Details

Matthew, Home Buyer in 03062

Offer on short sale property

Asked by Matthew, 03062 Thu Sep 25, 2008

I just made an offer on a short sale. There is already an offer on the table that is being considered by the bank and there is another offer waiting. I know that both of the offers are "strong" but both are below asking price. I really liked the place so I offered the full asking price of $150k. I am pre-approved, bringing %5 down and have no contingencies.

Now I have a bunch of questions: First; is there a time period within which I should expect to hear back from the bank about the status of my offer? Second; as I understand, the bank is not going to consider my offer until it makes a decision, or the buyer backs out, on the current offer. That doesn't really make sense to me? Will my offer not be seen until something happens to the offer on the table? Third; It's the lender's attorneys that are making the decisions on the offers right? Why wouldn't they react quickly to someone who has just offered full asking price?

Help the community by answering this question:


Good afternoonn Matthew- Good answers below. If I were you I would not hesitate in contacting Scott, the realtor below, to consider having him help you through this process. He has been through short sales before and that is key to actualy getting one done and closed. It cost you nothing for him to represent you and look out for your best interests.
Like he said, if you're in any sort of a hurry to move in, I'd stay away from a short-sale property. There are many, many good buys in and around Nashua without having to get into the whole short sale saga.
Thanks, and good luck,

Ken L.
0 votes Thank Flag Link Wed Oct 8, 2008
Hi Matthew,

I've actually written previously about the process you should expect when making offers on short sale properties.

Take a look at the web reference below for a full walkthrough, and if I can answer any further questions, please don't hesitate to contact me either through http://SpringHillRealEstate.FeaturedBlog.com or through my main website at http://www.HernandoLuxuryHomes.com.

Thanks, and I hope this helps!

0 votes Thank Flag Link Thu Sep 25, 2008
Good afternoon Matthew, It is teh bank who makes the decisions not an attorney. In a short sale all offers are supposed to be given to the bank as they come in, there is no holding them, if the agent does they are violating the banks short sale policy. they dont react quickly because they ar in no hurry to lose money. the time period for a short sale is usually 3-6 months from start to you hear an answer. It is estimated only 2 out of 10 short sales ever close. The process begins with the seller requesting a short sale package from the bank, they fill out their financials and teh bank needs to approve whether they can even do a short sale, then the bank orders an apprasisal to determine value. the listing broker fills out a net sheet which shows how much the bank will get. the bank then determines if they will make out better in the short sale or taking the house in foreclosure. on average the banks over/under line is 80% of teh current mortgage. One contingincy is that if there is a second mortgage you can almost kiss any thought of a short sale away.

You really should have a buyer broker who can assist you, it would be too late for the offer you already made, but any future houses, there are better deals than dealing with a short sale. if you would like me to represent you as a buyer broker at no extra cost to you, just send me an email and i can assist you in finding a great home at a great price.
Web Reference: http://www.ScottSellsNH.com
0 votes Thank Flag Link Thu Sep 25, 2008
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2015 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer