A lot depends on the mortgage company or bank you are dealing with - the absolute worst has to be Bank of America, which we just closed one this week that took 7 months!!! I have another case with them that they have let 4 buyers walk because it took so long - and we have #5 in the hopper now - the negotiator just told me its going to be another 3 weeks for the investor to make a decision. I believe they have to contact the mortgage insurance company to see how much they are going to pay IF they accept the offer - that is where the big hold up is today - the MIP companies are paying out huge sums and may be approaching the end of their funds - and they used to be so profitable!
Now many of the B of A short sales are going llthrough another company, one that I have been doing business with for a long time, and I am sure they will do a much better job! Our company handles many of the B of A REO properties, and we heard that the bank just laid off 600 employees - we are not sure in what department, but we think its probably in the short sale division, since they have hired this independent company to do their short sales.
Banks are in business to lend money, they are not Realtors, but have been forced to be in our business to market all their foreclosures - its a shame they did not do more modifications - but they bombed on that too! I worked with 109 families in the area, applying for loan modifications, and less than 10% ever got approved!\, and with making their three new payment amounts, they are still not sure if they are going to be approved for the modifications or not - and no one with the bank can answer except, "we are studying the case". It s real mess - if the Feds wanted to fire up the economy, doing something here would be a great start!
Hope my explanation helps!
Bill Wootan - Team One Leader
Century 21 H T Brown Realty