Short Sale Offer Tips

Mike Moulton: Hey everybody! How are you doing? Mike Moulton here with the home solutions with your one minute real estate quick tip. Today were talking about when you submitted an offer with your agent on a short sell, what you should expect as far as timing and everything else. We got a lot of questions and I see a lot on the internet, were buyers are making offers and they are wondering how long it really takes to get an answer. And what is in happening and I am cautioning here the police if you do submit an author with your agent to do not call up everyday and constantly call for status updates because I assure you this folks are film they are between the bank in yourself they are and they’re in the listing agent if one’s involve and they really just trying to get an answer for you some.

Here is what happens on a traditional short sell offer situation. You’ll go ahead and you’ll make your offer, submitted to the bank directly through your agent or if it’s with list with another agent they’ll submitted with a package of the seller’s information. That’s usually takes 48 to 72 hours to get process into the system in assign to a loss mitigation negotiator at the bank. So once that happens that negotiators in touch with whomever is helping negotiate that deal whether it be the listing agent that’s helping the sellers to sell the property of whoever it might be a third party. So, what happens is that generally within two weeks or so on the short period could take even longer depending on the lender they will go ahead in there or order a BPO or a price on the property. When this happens an either another real estate agent that’s working as a contractor for that lender or an appraisal will come out and take your offer and now validated against the market so comparable as things like that. Now taking the consideration repairs, what the rest the neighborhood doing in the market in general.

So, this whole process once that gets back to the bank that takes probably three to five days on the minimum to process and then what happens is the lender makes decision on they’ll take it up to management on there criteria no either approve the offer or decline it or they are leaving counter offer. If you offer too low they are—they most likely there just going to decline it and then you can rest submitted another offer. So, this whole process you know certain lenders I’ve seen it the whole thing done start to finish in 40-45 days or less but there are lenders out there were this could take two to four or six months. So, just be aware of that, it doesn’t help to call everyday or have your agent call everyday. I assure you the folks working on this files or the listing agent whoever is negotiating of the bank is on top of it of the most part of there good, good as professional.

But, I will say if you want to get a deal on a house and it’s worth waiting. It’s definitely work the way I mean if you can wait an extra month or two months in get you know 10, 20, 30,000 dollars in equity it’s worth dealing. I will say hereby on solutions we most of the time we go ahead and we pre-negotiate our deals so we don’t even offer them up for sale until a lot of that work is already been done. So, what we try to do is make it like a normal closing so, if you come to our company and you bid one of our houses, you will be able to close that in 30 days or so which is an average closing time base on all of the work that we’ve done up front. So, that’s how we try to differentiate but I just want to click that out there I know this is the one minute real estate quick tip turning into two to five minutes but sometimes we just have to go longer to make sure we get the point of grasps. Okay, I appreciated, make sure to check out our blog at the homesolution.com and you will get a lot more tips. Thank you.


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