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Speed Up a Short Sale Offer

March 19th, 2010 -- Posted in Short Sale | No Comments »

aarbannerjpg Is There a Way to Speed Up Our Short Sale Offer?

My husband and I placed an offer on a short sale two months ago. Recently, our agent told us that our offer was chosen to be submitted to the bank and the property is now in foreclosure.

According to our agent, the negotiator said this is one of the most complicated transactions she has ever seen and they are doing everything to get a deal together with us.

The bank can accept our offer, reject, or counter it, but what can we do to secure the house instead of waiting?

-Jessie

As I’m positive you know by now, shorter income could be a lengthy and complex progression. I truly posted a fast video on YouTube about shorter income a number of months ago.

You might be right how the seller’s financial institution (the mortgagee) can either accept, reject, or counter your present. No matter what their ultimate response is, the typical wait time to hear back is among three to 4 months.

To answer your question, sadly there possibly is nothing a lot more it truly is possible to do so as to move the progression forward any quicker. Although it can be not as frequent being a number of years ago, occasionally properties pending a quick sale offer you do go via foreclosure.

The Loss Mitigation department at a financial institution handles the brief sale negotiation along with a absolutely several department, the Eviction unit, will handle foreclosures. Frequently, they usually are not even inside very same state, let alone the exact same constructing.

These two departments usually do not communicate with every single other so it can take place how the eviction team will complete a foreclosure on a property whilst the seller (or their representation) is actively negotiating a quick sale using the Loss Mitigation department. It is unfortunate, but it nevertheless occurs, although not as often in say, 2007 and 2008.

How Can We Get the Lender to Accept Our Short Sale Offer?

March 13th, 2010 -- Posted in Short Sale | No Comments »

My husband and I placed an offer on a short sale two months ago. Recently, our agent told us that our offer was chosen to be submitted to the bank and the property is now in foreclosure.

According to our agent, the negotiator said this is one of the most complicated transactions she has ever seen and they are doing everything to get a deal together with us.

The bank can accept our offer, reject, or counter it, but what can we do to secure the house instead of waiting?
-Jessie

Jessie, the short sale is a contract contingent upon the seller’s bank approval. Right now there is no prescribed set of standards for obtaining that approval. Each lender has their own process, which often appears very confusing from the outside looking in.

There are some guidelines that will be put in place next month, but the bank you are working with may not come under those guidelines. Even with the guidelines, there are only vague standards for response times.

Here in Orlando, we have over 6,000 short sales under contract, yet only 400 to 500 close each month. All you can do is play the bank’s game and hedge your bets by looking for another home.

Ask your REALTOR® what your obligations are under your contract. You may not be able to buy another home for some period of time without putting your escrow deposit at risk.

David W. Welch, Real Estate Optimist

davidwelch How Can We Get the Lender to Accept Our Short Sale Offer? Ask a REALTOR® David Welch specializes in residential re-sales and new home construction at RE/MAX 2000 Realty in and around Orlando, FL.

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How Often Should the Agent Call the Lender In a Short Sale?

March 12th, 2010 -- Posted in Short Sale | No Comments »

shortsale In a Short Sale, How Often Should the Agent Call the Lender? During the short sales process, is there an etiquette about how often the agent should call the lender for a progress report? Often there are legal restrictions on short sales, including the fact that the case cannot be put ahead of another case that was submitted earlier due to possible discrimination suits. So this is an example of when the squeaky wheel doesn’t get the oil.

Kay Kammeyer’s blog explains what else you need to know when in comes to speeding up the short sale process.

“Every time the agent calls the bank, the call is logged into the case data base log along with notes about that call. Prior to being assigned to a negotiator, the case legally cannot be put ahead of another case. Why not? Because they cannot put a one case ahead of another case that was submitted earlier for fear of a discrimination suit.

Because of this, then, calling often cannot legally get it assigned faster. Any belief to the alternative is based solely on coincidence or false information. Repeated calls to the negotiator are likewise to no avail. The same legal reason applies here as well.

Once the negotiator begins working on the case, it is important to stay in good graces with that employee. They are usually low paid, under a lot of stress, and their tactic against their perceived harassment brought about by constant contact could be to tank the proposal and cause it to fail.

Calling repeatedly will usually only irritate the people and motivate them to tank the proposal. Even call center people who handle the inquires for status will see the notes and may become irritated when they see constant calling.

So how often should the agent call? The agent should call 3 days after submitting a document. A call is appropriate at the end of any quoted period of time. A call is also appropriate at the end of every week just for a status check to report back to clients.

It is important to be understanding and make certain you do not pressure the agent to be constantly calling the lender. The negotiator does not really negotiate, but merely processes. Arguing with them or calling constantly can only cause your case harm.”

As with everything else, the more you know going into a certain process, such as a short sale, the better off you will be.

Click through now to read Kay Kammeyer’s blog.