Short Sale Question?

Question

Just out of curiosity, really, and to hopefully ease my anxiety... the home we made an offer on is subject to a short sale. The bank agreed to the listing price, which was pretty low, and we met the price in full on our offer, which was made a week ago. The sellers have accepted but we're still waiting for the bank to approve. Our realtor says he's pretty certain the bank will agree because if they don't, it doesn't look good for them because they agreed to the listing price. Of course, the bank could come back and ask for more money and my question is, is that a common thing? Anyone have an experience where this happened?

Although we currently own a home (which we intend to rent out), my husband bought it before I knew him so this is my first home purchase (we need to move closer to my stepdaughter's school ) and I'm anxious. The house is perfect! Oh, and for the record, we've already been approved by our bank.


Thanks!

Answer 1

Squeaky wheel gets the grease. Have everone bombard them with calls everyday asking about the status . The banks do want the deal but they may be overwhelmed with requests and so this slows the process down. Make sure you guys are extra nice to the person who's dealing with it and get names so you can have a rapport and a name to ask for when you call so you aren't dealing with someone different each time. I can't imagine that things won't work out, so keep positive.

Answer 2

I work at a real estate company and we have about 100 short sales right now. It's very common for them to take a while for an answer. There's time where I can wait 2-3 months before the bank will ever get back to me saying they have accepted or declined the offer.

Answer 3

After a foreclosure you're often nevertheless held in charge for any scarcity on the payoff- and that they are allowed to determine in court docket expenses and legal professional expenses and including part of what the dearth is. in addition they may be waiting to "forgive" the dearth and deliver you a 1099 for that quantity as though it replaced into earnings to you- so as that now you owe the IRS. With a short sale you're waiting to barter an excellent style of that out of how (and no be counted what the dearth is a lot decrease) Neither one is an particularly good element.

Answer 4

In short sales, one never knows what the lender will do. They may initially agree to the price, and then decide to ask for more information concerning recent sales values for comparable properties in the area where the short sale is occurring. On occasion, I have encountered them coming back to ask for additional money, but not often.

As in any business, the bank is looking to reclaim as much of its investment in the property as possible. Even though they may seek the remainder from the original owner, they know their chances of getting money that way are FAR lower than their chances of getting it from YOU on the sale end.

Good luck !