arm's length affidavit leading to short sale approval

Asked by Sewthisislove, Aberdeen, NJ Wed Jul 13, 2011

About 2 weeks ago, my husband and I were asked to sign an arm's length affidavit for a short sale that we made an offer on. Does this mean we have a good chance of our offer being approved? How long should we wait to hear from the bank regarding approval (we made our offer in early April)?

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5
Kenstill, Home Buyer, Aberdeen, NJ
Sat Jul 23, 2011
Sewthisislove,
I am wondering this question too. Would love to know if you heard anything yet. I hate this waiting game and I am hoping it means our offer is close to being approved.
0 votes
Sameer Punja…, Agent, Vallejo, CA
Wed Jul 13, 2011
like others are saying, it depends on the lender. Wachovia is the shortest and other lenders like Chase are the longest...shortest I seen is 12-14 days, longest short sale i been through was like 5 months...but again, these short sales get pushed by the listing agent if they know what they are doing.
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Marsha Bowen…, Agent, Livingston, NJ
Wed Jul 13, 2011
Hi Sew,

This "arm's length" affidavit is a pretty standard form that is part of the approval process. In terms of how long should you wait, this all depends on your patience. Like another agent stated belong, it's not a short process, however if the home is worth the wait, then go for it.
0 votes
Mary Petti, Agent, Edison, NJ
Wed Jul 13, 2011
Sew,

The affidavit is just part of the process. The banks want to make sure you aren't related to the sellers in any way (IE: buying the house so the sellers can continue to live there after defaulting on the mortgage).

It can take 6-8 weeks or up to 6 months for a short sale approval. Many factors go into what the bank looks at before approving the short sale. Short sales are never a short process and it's a waiting game. Be prepared though, one they DO approve the sale, typically they give you 45 days to obtain a mortgage commitment AND close...so it's wait,wait, wait then....hurry up !!!
0 votes
Phil Rotondo, Agent, Melbourne, FL
Wed Jul 13, 2011
The arm's length affidavit for a short sale is only part of the process. Your short sale approval appears to be "in the works"; but you could still hear some good news anytime between tomorrow and another 3-4 months.
Patience is the key.
Web Reference:  http://www.321property.com
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