Someone suggested that I contact my local Congressman's office for help. I called them on a Monday afternoon. That same day they faxed me a privacy release which I sent back right away. They contacted my second lien holder Tuesday morning and by Tuesday at 5pm we had our answer.
My advice -- if you are the seller in a short sale situation and you are stuck waiting for the bank's approval -- contact your local Congressman's office and have them help!
Because of that one phone call my short sale is now approved by both banks and it only took about 30 days for everything to go through.
Short sales don't have to be a nightmare if you are organized from the start and know who to call when you need help!
This is truly the saga of a "short sale." There is no set time for the successful completion of a short sale. We have heard reports of 5, 6 or even more months of waiting only to find the disappointment of not getting the home.
Good luck with your effort, hopefully it will work out and you will soon be able to enjoy your new home.
Banks don't have an incentive to bring the contract to closing quickly.
The best person to explain you about your time frame will be your realtor and the bank you are dealing with, as each deal fits a different situation.
In regards to being "tied down", you should consult a real estate attorney, or foreclosure attorney to guide you to the right direction.
Foreclosures are a completely different story - as the bank already owns them, is paying utilities & maintennance & taxes on them, and is watching them depreciate in value on a daily basis (homes are like gardens...if you don't live in them/take care of them properly, they tend to wilt) - the bank is much more willing to make a quick decision to accept an offer to take the property off of their books.
Best of luck!!