Has the short sale process been streamlined? Have you heard short sales are being “approved within 90 days”? Have you heard “this is an approved short sale”? Are you hearing “the short sale price is lender approved”? At one time, I heard banks had to approve the short sale “purchase price within 30 days”. I would like to be able to believe, but it has not been my experience, at least not with the last short sale, closed in April, 2013.
This particular property had been under contract previously, all documents were sent to the short sale lender and when the contract terms were countered by the sellers’ lender, the buyer backed out. The listing agent placed the property back on the market and now advertised the short sale as “a lender approved price and an approved short sale”.
This advertising written in the Multi Listing Service was far from correct; in fact it took eight months to get short sale approval and the short sale lender countered the terms of the contract two times.
The other issue my buyer experienced with this short sale, the
seller selected a title company whose attorney charged a short sale negotiation fee, of 1.5% of the sales price, to the buyer. Other attorneys receive their fee from the proceeds of the title work, without charging additional fees; real estate agents do not charge additional fees for short sales. Yet this short sale went on for eight months and over the period of eight months the buyer heard from this attorney one time, by email, for the small price of $2,215.00. So paying an attorney will not insure a quick closing for a short sale.
So if you have heard “the short sale process has been streamlined” and you are wondering if this information is Myth or Fact? In my opinion this is a...Myth.
Contact me for more information regarding short sale or any of your real estate needs. www.luxurygulfproperties.com
Bev Dudley, Realtor
Fleur de Lis Realty