These types of transactions can take three to six months. There are efforts by Freddie Mac and Fannie Mae to get the processes streamlined to make it faster but as os now it is a very long process. Hang in there!... more
30 days to 6 months or more. Depending on the siutation and how backlogged they are. Does the owner have more than one loan. Has the short sale process been started previously. Are there any outstanding liens. Lots of factors to consider.Not all short sales are the same.
The seller must approve the purchase offer before it gets submitted to the bank. The bank may come back with a counteroffer or reject your offer completely. In some instances you may not even hear back from the bank at all. The bank typically is willing to work with the seller and buyer on short sales to help avoid foreclosure. The bank can ask the buyer to pay some of the liens or HOA fees. Some lenders will only pay up to a certain dollar amount and ask the buyer to pay the remainder or there is no deal.
Tammy Hayes, Realtor
Green Lion Realty, Port Charlotte, FL
Upsidedowninfl - Great questions you ask. Having been involved with MANY short sales I can tell you having both mortgages with the same lender is definately a plus as you'll only require one approval from ONE lender. This should help speed up the process. As far as long it might take to get an answer really depends first how quickly you can get a contract on the house and how well Suntrust has streamlined their Short Sale process. What I would highly suggest if you plan on going the Short Sale route is to have all of the documentation that is requested from Suntrust ready to go. Part of the documentation that any seller will have to provide with a Short Sale package is a contract from a ready and able buyer. So I would suggest that any offers that are put on your house you require either proof of funds if a buyer is paying cash or if the buyer is financing then a pre-approval letter. This will go a long way in the eyes of your lender when making the decision. The next step is to have the house ready for the market. PRICING IT CORRECTLY is the biggest factor as to how fast you'll get it under contract. The house should also be clean and tidy. I would suggest that moving out with the dogs would a very good idea. If if fact a $250,000 price on your house is an aggressive price and you owe $345K on it then the bank after expenses would net approximatley $230,000 which is about 66.6% of what is owed to them. That is a pretty good % for the lender to recoup in a Short Sale situation and they would most likely accept it. Going back to the short sale package, you'll have to show that you are financially unfit to pay the mortgage. Seeing that you are 4 months behind on the second mortgage should already send a message. So are you continuing paying the first mortgage? I'd be happy to come and take a look at your house and give you a professional Broker Price Opinion and help you through the Short Sale process. I lived in Rotonda for over 4 years before my wife and I built a house on the water in South Gulf Cove. I've done a lot of business in Rotonda.
I look forward to hopefully meeting you. Please contact me if you are interested in my services.
Jason Stevens, REALTORÂ®, GRI, ABR
Graduate Realtor Institute
Accredited Buyers Representative
Real Estate Broker Associate
REOTrans Platinum Certified
Kevin Flynn Realty, Inc.
Cell - 941-662-0379
Home Office - 941-698-0973
Home Fax - 941-698-0973
Website: www.jasonestevens.com... more