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Old 07-26-2008, 04:41 PM
 
Location: Los Angeles, CA
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I have heard Short sales take a long time to get approved, Why?

Is there anything you can do as a buyer to speed up process for a short sale?

And with a short sale, do you have to use the lender that has the property?
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Old 07-27-2008, 10:37 PM
 
Location: NC
1,264 posts, read 2,119,430 times
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Short sales can take a while because the seller needs to "qualify" for the short sale, ie, actually prove that they are in a financial hardship. Then the bank needs to have an appraisal done to help them determine the property's true value and potential time on market. There are frequently other liens that may also have to be shorted so this same process would need to be done for them. And finally the underlying owner of the mortgage (which is not always the servicer) would need to approve all short sale numbers. Not as simple as just getting a buyer and a seller together, is it?

No, there's really not much a buyer can do to speed things up.

And thirdly, you never need to use the lender that has the property. Seek your own financing wherever that leads you.
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Old 07-28-2008, 06:42 PM
 
Location: Pennsylvania, USA
5,217 posts, read 4,111,845 times
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Quote:
Originally Posted by tagylyn View Post
I have heard Short sales take a long time to get approved, Why?

Is there anything you can do as a buyer to speed up process for a short sale?

And with a short sale, do you have to use the lender that has the property?

I think it depends onteh company.. but I made sure that the mortgage company has everything they could possibly need from my end of the deal.. and they got theappraisal done already.. now all they need is the buyer..so that should help..

Basically submit your short sale package sans the buyer adn then there's only one missing piece of the puzzle to fill in. Then they can approve you for the short sale with the ubyer pending adn wait for the offer. I know the minimum my company is willing to accept as well as it's new market value (which is disgusting compared to where it was in 2005!).

Hope that helps
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Old 03-23-2009, 01:13 PM
 
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Default Short Sell expediting by seller

Yes, there are ways to expedite the short sell. First of all, an experience agent in short sell is key as mine is not and I am doing most of the work. It's a learning curve for both of us. To start with follow these steps.
1. Fax (not mail) a completed package (see tips below)
2. Call to confirm it's been received and appraiser has been ordered
3. Call to get a Negoiator's name the day after an appraiser has been to your house (see tips below)
4. If two mortgages, have the first one to approve it fax the approval letter to you and you fax to the other mortgage company.
Tips 1. Have all data, in the order they require, with a cover letter stating each piece of the short sell package and have loan #s at top of ALL pages. Follow up, follow up follow up on everything (ie, confirm receipt of package, confirm appraiser has been assigned, confirm negoiator has been assigned etc.). Call daily if needed or if they tell you on a Friday something may not take place until Wednesday... call Monday afternoon or Tuesday morning, do not wait. I put my short sell package together before I had an offer. Of course your agent will need to get the BPO, settlement statement and buyer's contract (completely signed) to you.
Tips 2. Push to have an appraising requested as this could take 5, 10 or 14 days. If there are two lendors, treat them separate. They both need to do their own appraising and if they tell you to have one send theirs to the other, forget it. They don't do it and it's just a delay.
Tips 3. Push to have a Negoiator assigned so you will have someone to talk with... Each task has days assigned to how long it will take so push and push, however I suggest to have a good working relationship with a negoiator, this person is to help you make this happen.
Tips 4. Once one lendor approves have them fax their approval to the other or to you and you will fax it to the other one.

Finally, Get in writing that they will not come after you in a defiency judgement. Check if your state allows this or not. If they do, be sure you get in writing they will not go after the difference. Who decides if they will go after a def. judgement from what I've read is the investor of each specific loan. Certain states allow garnish in wages and some don't.
Get your agent to help on these negoiations - they need to take an assertive stand for you.
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