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No. I had a cash buyer of a short sale. It took 2 and a half months. And that was fast, because we have an awesome negotiator at Heymann Realty, LLC
Absolutely not. I had a cash buyer on a short sale. It took 2 and a half months. The reason why it did not take a total 3 months is because we have an awesome negotiator.
The short sale process is a 2 step process and unfortunately you can move the loan servicer and/or liens faster than the law allows in Maryland and your county. 3 months after the contract is ratified by the bank is now normal. why the rush? it will happen...
No, it will not speed up the Short Sale proess. It all dependes on the bank, negotiator and the agent you're dealing with. Every short sale is different. I've had them take 30 days and one was 22 months! If you do a good job of vetting the agent, then your chances improve right off the bat. An experienced agent will set realistic expectations and keep all parties informed.
Simply the answer is no. There is some lenders that work fast and others just drag their feet. If the listing agent is well versed on short sales and they keep on top of what the lender requires, then it will move fast. For example on one short sale i have recently done, the lender required docuements from the owner. I got the doc's to the lender and 3 days later called and asked if we had everything, they asked for the same doc's and after 30 mins of conversation, the guy said well we have them but need signatures on everything. So we got that, but I asked why they did not call and he said it is not their job to call. It is really all on the agent that list the home to "PUSH" everything through.
Thanks for the question and good luck!
Hey Leslie... Looks like you got some good info here... Now what are you going to do with it??? Have you chosen someone to be your guide in the process??? When do we start???
The answer to your question is no it will not speed up the process. Having a knowledgable agent to assist with the transaction will. Your "Buyer Agent" should be ready to ask the Selling Short Sale Agent some questions prior to writing an offer to ensure you are comfortable to move forward. Here are a few examples:
* How many liens with lenders? Who are the lenders?
* Has a BPO been ordered to establish the listing price with bank?
* Will the investor of the first lien allow for closing assistance to the buyer?
* Are there any outstanding Federal liens that have been partially lifted and will release once the sale is approved?
Having these questions asked will help determine if this property is a good fit.The length of time you wait is not just the bank dragging their feet, it is also the agent working the file making sure totranfer the seller info in a timely manner. If you have any questions, please feel free to call me as I specialize in only Short Sale transactions.Typically it takes 2-4 months for approval, then with a cash purchase, two weeks to close at most. I wish you "Happy House Hunting!"
Denise R. Lane
Th answer to your question is no it will not speed up the process. I am a CDPE specializing in these types of sales only. I can tell you that the agent that you choose to assist you should have a strong knowledge of short sales as each transaction is unique. When you find the property you would like to purchase, some important questions your agent should ask are:
*How many liens?
*Has the listing agent asked the lien holder for a priliminary BPO to assign the listing price? (so counters are not needed or a surprise after waiting!)
*Are there any federal tax liens? (a seasoned agent in short sales will have a title company pull title ahead of time to check on this)
*Will the lien holder allow any closing assistance to the buyer?
These are just a few mportant factors to determine if this sale is a good fit for you. Patience is the name of the game, and your agent should follow up every 7-14 business days on the process. With one lien generally it takes me 90 days or lees for approval of the sale then the buyer typically will have 45-60 days max to obtain financing and close. With two liens or major tax liens add 7-10 business days. I hope this information helps!
Short sales have much more to do with how close the offer is to what the payoff is on the short sale property and also who the lender is deciding on the short sale. There are lenders that take a ridiculous amount of time to give an answer where many buyers give up and move on to another property. But when they work, buyers get a great deal right often.
Hi Leslie! Paying cash for a property 'could' speed up a short sale in some cases. In my experience I have found that short sales have to run thier course through the banks process despite the financing details. The duration you have to wait will depend more on what bank you are dealing with, whether there's one loan or two and having an experienced short sale agent handling the sale. I would recommend you find a good agent to represent you as well, one that is knowlegable of the process and knows the right questions to ask before you commit to a short sale purchase. These are great buys and definitely worth the wait, just make sure you know all the details first and you'll have a great experience. Best of luck!
All of the answers to your question are correct. An average short sale takes 3-4 months. You paying cash means you can settle immediately after the short sale is approved provided there are no home inspection/appraisal contingencies and provided the home is vacant or the Seller can move quickly. Otherwise instead of settling 30 days after the short sale is approved you will be settling 2 weeks after approval.
Only after bank approval is the process quicker. Since you are a cash buyer you can settle as soon as your settlement attorney completes the closing instructions from the lender. It can be days.. If all parties know you want to take possession immediately and move quickly.
Christine Hersey is correct. You will still need to wait for third-party approval from the Seller's lender. Only the time period from third-party approval through to settlement will be shortened given your cash-offer situation. Good luck!
Unfortunately, it will not speed up the process of the bank's approval. It will, however, allow you to settle quickly once you get the bank's approval.
In the short sale process most times whether it be cash or financing makes not a whole lot of difference with the bank negotiator involved. The bank is looking for a net and if you are close to and above that net you do have a chance on purchasing that home the time frames are not going to change much. I have presented cash offers that we're withdrawn because there was no answer given for a year and I have had others finance and go as quickly as 45 days.
No, a short sale will still have to go through lender approval. The is the same regardless if there is or is not a financing contingency. However if you are in a market where multiple offers are happening on short sales you have a better chance of getting executed by the seller and being worked exclusively with the lender. It is important that you work with an agent who is very active with short sales in your area. I have short sale contact across the country and would be happy to help you find someone qualified to assist you.
Yes and No. The amount of time required for the Seller's lender to respond to the short sale package is customarily 60-120 days (after review of the Seller's hardship, their financial statements, bank records and 2 years tax returns, a confirmation of market value on the property (BPO) and investor review and approval). After approval from the Seller's lender, a typical timeframe to close is 30-40 days. However, if you are paying cash, your contingencies would only be a home inspection, a termite inspection (septic and well inspections, if applicable), and an appraisal, if you choose to verify the market value and contract price. If you do not have an appraisal done, you most likely could close within 14 days of 3rd party approval, provided the Title Company can have all the title work done by then.