Very simple, nobody at the bank cares. I've closed short sales from offer to closing in as little as 40 days and had others take 6 months. The only examples I've ever seen of a quick answer and closing is when the mortgage is held in house by a local bank. ALL of the rest resulted in very frustrated buyers because of delay after delay with no answers to anything.
If you have an unlimited amount of time to wait and don't care if you eventually buy a home or not, then you might get a good deal with a short sale. There is certainly risk, 6 months from now the bank could say they want $100,000 more to approve the short sale. It's no longer a good deal for you. Interest rates and home prices have gone up so you can no longer afford to buy the home you want. You can really loose out big time waiting for a short sale. My most recent short sale closing took more than 6 months and it was an all cash deal for a buyer who agreed to pay the price the bank itself had set.
Unless you are bent on masochism I would avoid any short sale.
By the way, Carl, I just read your blogs on REOs...very imformative and so very very true. And, of course, I loved the T-Rex article--hysterical!
I wish you very good luck in your purchase, ZB. A week is not a very long time for the bank to respond, and I've often been left waiting for as much as a week or more to receive a response on an REO offer. The key, of course, is for your agent to follow-up and request an update on the offer. In some cases, as the others have noted, the answer is "no answer" (translation: "no") and at other times, the asset manager has not completely dismissed your offer, but they aren't ready to accept it either. I'll hope for positive news for you!
Grace Morioka, SRES, e-Pro
Area Pro Realty... more
I agree that the best first step is to talk with a lender. I also think that it is important to know that the higher end homes are predicted to see additional decreases in value as the next wave of foreclosures is released by the banks that were asked to hold back in preperation for the president's Economy Recovery Act. Pending home sales are up in the 'starter home' market. This is where most of the first time buyers who could not previously afford home ownership are diving in.
You will of course have always have competition in oakland when you are bidding on a home that is in one of the coveted school boundaries and/or neighborhoods...
Stop pulling up old questions and using your tired comments. None of the professionals said it was the best time ever to buy or sell. Maybe you can go back and re-read each entry and get it right. Lastly, leave the advice up to us professionals. The last thing prospective buyers or sellers need is advice from someone who does not have the guts to add their picture nor their professional background before going on line and spewing your nonsense about the market.... more
Zillow is a guesstimate --- a realtor experienced and knowledgeable about the area can do a comparative market analysis that zillow may miss. The realtor can also research the sales history of the property including if the property was refinanced in recent years. Sometimes, the refinancing amount as well as the current tax assessment will provide a real clear view of the valuation of the property. Put all these together, and you will have enough to make an informed decision.
But first....is the owner open to selling it? You may be spinning your wheels if the owner has no intention of selling it.... more