Is there anyway to make a short sale move faster?

Asked by Heather Meme, New York Thu Aug 13, 2009

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12
Jeannine de…, Agent, Naples, FL
Thu Aug 13, 2009
Hi Heather
Lots of great answers from my colleagues here.
To summarize, there are many variables over which you and your agent have NO control e.g
- how many lenders are involved?
- is your offer the first one down the pipeline?
- is the selling/listing agent experienced with short sales?
There is very little that you have control over, but are you working with an experience agent yourself?
How can you tell?
- were you counseled that this could be a very LONG process?
- did the counseling include written information about navigating and surviving an offer on a short sale?
- how much earnest money deposit did you put down?
Finally, it's about YOU
- how much do you REALLY want the property?
- are you willing to lose your deposit and walk after a certain time limit?
Bottom Line
You can end up with a GREAT DEAL (and high blood pressure!) or
you can end up with a good deal, while missing out on GREAT DEALS because you were tied up with a short sale or
you can end up with NO DEAL at all!
It really is a gamble, so good luck!

Jeannine de Alwis, GRI
Prudential Florida Realty
Naples, FL 34103
alwis@comcast.net
Web Reference:  http://JeannineDeAlwis.com
2 votes
Carol Herron, , Naples, FL
Thu Aug 13, 2009
Yes, the best way to get a short sale to move faster is to make sure the selling agent has everything they need in a package ready to go to the bank when they receive an offer. Including the seller's hardship letter, and financial information. If the selling agent does not provide the bank with everything all at one time the bank just sets the file aside, maybe not looking at it again for months. Another thing to make sure is that the selling agent has a good contact person in the bank and can verify that the file is in the correct department (you would be surprised at how many files are in the wrong department at the bank for months)
It's tough because the buyer has little control over the selling agent's training and ability to get everything together for the bank.
Good luck, and look for agents who are certified in handling distressed properties (CDPE)
Carol Herron
Sales Associate, CDPE
Coldwell Banker Residential Real Estate
239 919 4652
1 vote
Ed Graybill, Agent, Virginia Beach, VA
Thu Aug 13, 2009
This is an easy question. The answer: NO, NO, NO!

Unfortunately, banks don't play by our rules and their own processes cause these sales to run on and on. Kind of ironic that they call it "SHORT", right! Nothing short about it where time is concerned.

What really bothers me is this whole mortgage mess was created in part due to their greed and need to close more loans regardless of who they where lending to and what their credit history was, and now they are holding up sales and continuing the slow market in that respect. Let's get these short sales done and clear out the standing inventory of homes for sale in the market. That will help get our prices moving in the right direction again.

I'm actually trying to stay away from short sales because of the hassle involved. That is unless that is what I need to pursue to get my buyer clients into a house.

That's bout all I got to say bout that!!!!!!

Ed Graybill
Sales Associate,
Wainwright Real Estate
EdSellsVaBeach@cox.net
757-201-0718
1 vote
Jeffr969, Home Buyer, Lansdale, PA
Wed Aug 1, 2012
I am in a short sale which I made an offer and the bank accepted that was in May to say the least this is not what I expected the seller said I can rent from him that the money would go in escarole untill the banks agree to what ever if the banks can't agree lets say 2 to 3 months from now then they could put the house in foreclosure and the seller would keep the rent I was paying monthly my question is I want to get in ASAP should I rent and wait for a decision or not?
0 votes
Vera Gonzalez, Agent, Sterling Heights, MI
Tue Dec 21, 2010
Heather,

Some that have already went through and buyer walked are alittle faster in my expiernce only all paperwork must be in on time etc. Short is only in money not time

Good luck to you and your agent!

Vera
0 votes
Karyn Samuel, Agent, Naples, FL
Tue Dec 21, 2010
Another factor to the short sale process being an unknown is the seller. What many bueyrs don't realize is that even if the lender approves the short sale, the SELLER can hold up or tank the deal. The reason is this: if the bank approves the sale but demands ANYTHING from the Seller (such as a cash contribution, a promissory note, or even if the bank refuses to release their right to pursue a deficiency judgment (ie, the right to collect the forgiven debt from the seller), then the SELLER can decide not to go through with the short sale.
Just something more to consider. I have closed many short sales this year. They are getting done more quickly than before, however, they are by no means SHORT.
0 votes
Dallas Texas, Agent, Dallas, TN
Thu Aug 13, 2009
Banks work on their own time.

We recommend to our clients if don't receive an executed contract back within 7 -10 working days best keep moving on.

National Featured Realtor and Consultant, Mortgage Loan Officer, Credit Repair Lecturer
Follow me on Twitter: http://twitter.com/Lynn911
Lynn911
Web Reference:  http://www.lynn911.com
0 votes
Huguette Nel…, Agent, Naples, FL
Thu Aug 13, 2009
It is very frustrating but it depends which bank you are dealing with. Some banks take for ever to answer and some are a little faster. We really have no control over it. If a seller has an attorney to deal with the Lender it might help.
Visit my website at http://www.napleshomesnelson.com and let me know if I can help you.
Huguette Nelson
Prudential Florida Realty
0 votes
John Bennett, Agent, Orlando, FL
Thu Aug 13, 2009
As of late I have been using too much strong drink.

Don't know why, but it seems to help.

I agree with all the other answers UGLY UGLY UGLY!!
0 votes
Don Tepper, Agent, Burke, VA
Thu Aug 13, 2009
No.

The best you or your agent can do is make sure that the short sale package has been prepared and submitted EXACTLY as specified by the lender. That may (just may) eliminate unnecessary delays.

An analogy: Imagine you're standing in line at the Department of Motor Vehicles to get your driver's license. You're required to fill out forms. You're required to produce two forms of identification--one must be an official state or national ID with your photo. The other must show your current address. You must be in line by 3 pm. And so on. The line stretches out the door. And maybe a few of the DMV employees didn't come to work today. All you can do is follow the rules exactly. You can't go behind the counter and help the DMV employees. You can't have your driving instructor pressure the employees to move faster. There's nothing you can do except comply with the rules exactly so that when someone finally gets to you, that you haven't inadvertently delayed the process.

So, no. There's nothing you or your agents can do to speed up the process.
0 votes
Bill Eckler, Agent, Venice, FL
Thu Aug 13, 2009
In our opinion, thr "short sale" process is about to become recognized as one of the main problems blocking the recovery of the real estate market and econimy.

The process has created a log jam of buyers that would be potentially buying other property if they were not commited to playing the short sale waiting game. This delema will also erase many people from being able to take advantage of the government's first time buyer's incentive program.....many, many will miss the Dec. 1 2009 deadline. (potentially a good reason to extend the program)

Unfortunately, there is no guaranteed way to move this process along other than making sure you have done what you need to do, can remain patient, and make periodic phone calls to the bank's "loss mitigator."
0 votes
Bernie East, , Naples, FL
Thu Aug 13, 2009
Short sales are very frustrating my longest one was 9 months my shortest was 2 months it just depends on who is listing the property and to make sure all the papers are filed correctly, then on the mortgage side you you are at their mercy and you are lucky to even get them to answer the phone.
Good Luck
Bernie East
Amerivest Realty
239-248-1966
0 votes
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