We are buying a short sale through B of A. I has been 60 days and the status says, "offer review." It still has to go to the investors

Asked by Kc, Missouri Fri Jul 8, 2011

for approval How many more steps are there and how much longer do we have to wait?

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6
Shanna Rogers, Agent, Murrieta, CA
Fri Jul 8, 2011
Hi Kc,

Have your Realtor contact the Listing Agent. Has the BPO been done yet? Is the negotiator the same as it was when you started 60 days ago? (If the negotiator keeps changing, that could cause delays). Was the offer submitted to the lender 60 days ago? Or, was it submitted to the seller 60 days ago? Depending how many files the negotiator is working on if all the necessary paperwork has been submitted by the Listing Agent, that will determine the 'speed' of the approval. The Listing Agent needs to keep on top of the negotiator daily. Also, if an NOD has been filed on the property, you need to have your Realtor make sure a Trustee Sale has not been scheduled and if it has, your Realtor needs to make sure the Listing Agent has the negotiator postpone it so the property doesn't get sold out from under you at Auction.

Good luck.

Shanna Rogers
SR Realty
http://www.RealtyBySR.com
2 votes
Karen Parsons…, Agent, Laguna Beach, CA
Sat Jul 9, 2011
Hi KC,

This should be the last step before it goes to the investor. Usually the loan servicer will make sure they put the package together and "review" it for guidelines that they assume will meet the investor's requirements. So the review process you are in now is doing that. Once they see that it should be approved, they will send it to the investor.

Now.....the investor still can say "no" or change the terms, but the hope is that the loan servicer will make sure they handle the normal issues up front and then the investor approval is more likely.

You are getting close....good luck!

Karen
0 votes
Travis Waller, Agent, Englewood Cliffs, NJ
Sat Jul 9, 2011
A lot of factors are involved w a short sale. 1. How much experience does the listing agent have? 2. How much experience does the listing agent have w the equator site BofA uses for short sales. 3. How many liens are on the property? Typically, if done correctly and/or there's only one mortgage on the property, you should have the approval via BofA within 60 days. It sounds to me either the listing agent submitting the short sale hasn't been on top of the equator site to get those items done in a quicker manner
0 votes
Shannon Haury, Agent, Rockwall, TX
Fri Jul 8, 2011
I am also representing a buyer with a short sale and the lender is Bank of America. Fotunately the listing agent updates us weekly and alot of the time there is no news but we are always in contant contact and she calls the bank weekly. It has been about 4 months and the bank's 1st lienholder finally approved the offer. It is now in the process of going to the 2nd lienholder which we are hoping for a good answer. I have pre-pared my client that sometimes the 2nd lien holder can hold things up. I have done a few other short sales in the past and it seems to usually take about 6 months (3-4 months before a response from the bank). If you don't have a certain time frame to move in and are a patient person I definitely recommend a short sale . They can be a great purchase in the long run because the bank is taking a loss on the home and you usually get an amazing deal.
0 votes
KerryAnn Dou…, Agent, Hales Corners, WI
Fri Jul 8, 2011
KC if you are getting a good deal and can wait it out, please do so! In my market I heard from one agent that it took Bank of America 7 months to even acknowledge they received the buyer's offer and the short sale packet. When your offer is accepted by the seller then the listing agent needs to submit it and all of the required documentation from the seller (ex. tax returns, bank statements, paystubs, hardship letter, to name a few) to Bank of America. From their Bank of America will assign the file a negotiator. From the hundreds of files on this persons desk you then are "in line" for that person to process the file, submit it to management perhaps, and whatever other steps Bank of America has in their pipeline for short sale approvals. The staff that works in the loss mitigation departments used to have a high turnover rate. If the negotiator you are assigned leaves, your file will start all over again with a new negotiator. This person could be experienced or inexperienced with the process. It is common not to have any type of communication from Bank of America during this process. You mentioned an investor also needs to review. That adds time to the transaction once the negotiator has reviewed the file. Unfortunately, you, your agent, listing agent and seller are playing the hurry up and wait game. Good luck to you.
0 votes
Andrew Wilki…, Renter, San Francisco, CA
Fri Jul 8, 2011
Hi KC,

To help you out a bit more, we've featured your question on our Facebook page. Hopefully, with more people seeing your question, we can get you more helpful advice with your short sale issue.

You can go here to see answers in the comments to our Facebook post: http://www.facebook.com/trulia

Good luck with your issue, and I hope your home purchase gets resolved soon!

Andrew
Social Media
Trulia
0 votes
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