Selling Reno And Sparks Real Estate Blog

head_left_image

Honestly, Is There Any Chance In Hell This Short Sale Will Close On Time?

What are my chances of getting this short sale closed by September 30, 2008?

 I have read many articles lately that talk about how the banks are playing hard ball and taking  90 days or longer to approve offers on short sale homes. A great example was written  by Mark Organek, When Banks Play Hard Ball on a Short Sale, Should we Play? he wrote:"We know how stoooopid loss mitigation departments can get.  They take forever to make black and white decisions, they answer the phone when they want to, they put us on hold while they play Freecell or Solitaire on their computers pretending to be looking up our file, etc."

 I also just finished reading: Oh, That Wild and Woolly World of REO': You Never Know What Will Happen!, written by Elizabeth Weintraub. She says in her post" "I don't understand how they can withstand the pressure and wackiness of waiting for an answer to their purchase offer. In some ways, sending offers for bank-owned homes to listing agents is like dumping them into the great abyss."

These are just two great examples from members here at ActiveRain that wrote about how frustrating it is can be when dealing with banks and short sale offers.

Here is the problem I am faced with.

I have a short sale listing. I am representing the seller. We received an offer and submitted it to the bank. The buyers are pre approved for the amount offered but are using The Nehemiah Program as their down payment.

 The Nehemiah Program, for those of you who do not know, is a privately funded down payment assistance program. This program gifts funds to qualified home buyers who purchase participating homes using an eligible loan program, such as a FHA loan.

The problem I am faced with is  that HUD is getting rid of DPA (down payment assistance) programs. As of September 1, 2008, these great programs will no longer be available.

I am told that if the offer  I have is approved and has a close of escrow date no later than September 30, the program will still be honored and we will have a deal!! Yipee!

With the appraisal already completed on my listing, I have been trying, and trying to speak directly with the negotiator that has been assigned to this case to explain the importance of getting this house closed on or before the 30Th of September.

Is this wishful thinking on my part that I will actually be able to communicate with the negotiator before she is ready to speak with me? Do I have any chance at all of getting this deal done on time?

Should I be advising my client this is more than likely not going to happen? What should I do? Sit and wait? Call the bank non-stop until I get what I want? (LOL).

 

 

 

Authored By Terrie Leighton 2008.  Terrie Leighton is a Real Estate Agent With Ferrari-Lund Real Estate.

 

 

 

Your Home. My Priority. Since 2003

Certified Distressed Property Expert (CDPE)
Certified Default Resolution Specialist (CDRS)
Short Sales & Foreclosure Resource ~ Certified (SFR)
NAR's Green Designation ~ Certified Green
Certifed Negotiation Expert (CNE)
Property Manager

Ferrari-Lund Real Estate

 Cell ~ 775.846.5424

Email ~ Terrie@terrieleighton.com

 

Facebook   LinkedInTwitter

Comment balloon 15 commentsTerrie Leighton • August 14 2008 05:05PM

Comments

Which Bank are you dealing with ?

And how long has your offer been in ?

I have had some succesfull closings - but they do take a long time

Aloha, and have a great day

 

Lance Owens (RS)

(808) 936-8383

Lance@KonaHomeTeam.com

www.KonaHomeTeam.com

Aloha Kona Realty Inc.

78-6740 Alii Drive

 

Posted by Lance Owens (RS), Getting transactions done, when nobody else can! (LUVA Real Estate ) almost 10 years ago

That is a tough one, Short and asking for money??? I doubt it will work.  Short sales will take longer but dont have to be that painful if you took the time up front when you took the listing. Honestly I doubt this one will work for multiple reasons.

Here is a link to a blog I did on Short sales, hopefully it can help

http://activerain.com/blogsview/573775/YOU-can-make-Short

 

Posted by Robert Rauf (HomeBridge Financial Services (NJ)) almost 10 years ago

Wish you good luck.

Posted by Michael Sahlman, e-PRO - Miami Beach Florida Luxury Homes (www.HomesForVIPs.com - Keller Williams Realty) almost 10 years ago

In one word ... NO! There is no chance in hell your short sale will close on time. They never do. No matter how hard you work at getting them everything they ask for, no matter how hard the seller works to get them everything they ask for it WILL NOT NOW OR EVER close a short sale on time.

Posted by Patrick Lambert, Hawaii Real Estate Expert (ALLY Real Estate) almost 10 years ago

That is a tough one.  The banks move too slow and the laws are changing.  I wish you the very best of luck!

Posted by Aaron Cullen, Folsom, El Dorado Hills & Sacramento Real Estate & (Brokers Inc. Residential Real estate) almost 10 years ago

That is a tough one.  The banks move too slow and the laws are changing.  I wish you the very best of luck!

Posted by Aaron Cullen, Folsom, El Dorado Hills & Sacramento Real Estate & (Brokers Inc. Residential Real estate) almost 10 years ago

It really depends on who you know?

What bank is it - i  may be able to help you?

Aloha, and have a great day

 

Lance Owens (RS)

(808) 936-8383

Lance@KonaHomeTeam.com

www.KonaHomeTeam.com

Aloha Kona Realty Inc.

78-6740 Alii Drive

 

Posted by Lance Owens (RS), Getting transactions done, when nobody else can! (LUVA Real Estate ) almost 10 years ago

HI TERRIE!

LOVE the new picture. You look really nice!!  That hairstyle is so you!

All the best,

Posted by Yvette Smith, Realtor In Williamsburg VA, Homes for Sale (LONG & FOSTER) almost 10 years ago

I was going to say no problem with September but then you went and said 2008

Posted by Barry Bridges, Lake professional ( Barry Bridges Weichert Realtors Bridges & Co.) almost 10 years ago

Lance - The bank is Wells Fargo and I have only had the offer in for three weeks. They ordered the appraisal right away and I was very happy about that, but I really want to express the importance to them on timing. One of the reps from the bank I spoke to had never heard of the Nehemiah Program and could not help!

Thanks for stopping in.

Posted by Terrie Leighton, Reno Real Estate Agent ~ Selling Homes in Reno (Ferrari-Lund Real Estate ) almost 10 years ago

Robert - Thanks for the link. I should have known the Nehemiah was going away..but didn't.

Mike - Thank you.

Patrick - I think I already knew that but was hopefully or just wishing it would.

Aaron - Thank you...yes the law's change daily, don't they?

Yvette - You are the best ever! Thank you for noticing.

Barry - LOL! That was funny...

Posted by Terrie Leighton, Reno Real Estate Agent ~ Selling Homes in Reno (Ferrari-Lund Real Estate ) almost 10 years ago

Terrie,

That is a tough one.  I guess all you can do is hope for the best.  Also, there is a chance that your deal may get approved and even if the buyer cannot go through, you will be ready for the next one... I hope this one works out for you though.

We are in the midst of doing one now for a client - they are a nightmare.

Philadelphia Real Estate

Posted by Christopher and Stephanie Somers - Realtors - Philadelphia Real Estate (Realtor / Owner - RE/MAX Access) almost 10 years ago

Chris and Stephanie - I am sure this house will sell if this one offer does not get closed...but I was just hoping, you know.

Posted by Terrie Leighton, Reno Real Estate Agent ~ Selling Homes in Reno (Ferrari-Lund Real Estate ) almost 10 years ago

Frustrating.  I wrote an offer 3 weeks ago on a short sale property, with a 30 day close. At this point, buyer knows the bank is mulling it over, but is getting frustrated. He told me to tell listing agent that he has until the 20th to get a reply or the offer is withdrawn. At this point he also wants the bank contact info so he can call them directly (I discouraged that). I hate short sales.

Posted by Erica Ramus, MRE, Schuylkill County PA Real Estate (Erica Ramus - Ramus Realty Group - Pottsville, PA ) almost 10 years ago

Erica - It is frustrating. I still have not gotten any closer to finding out if this deal will work than when I wrote this post. We really need to be extremely clear with our clients when they make offers on short sales...there is no guarantee the bank will accept the offer and no guarantee on how long the darn thing is going to take.

Thank you for your thoughts!

Posted by Terrie Leighton, Reno Real Estate Agent ~ Selling Homes in Reno (Ferrari-Lund Real Estate ) almost 10 years ago

This blog does not allow anonymous comments