I am trying to sell my home and I have 2 offers. I had an offer before but the bank is taking 90 days to approve. Now they are talking foreclosure next month. It's like they want to foreclose on my home. Why are they doing this? My home is up on a short-sell.
2007-12-13 03:27:11 · 5 answers · asked by need2knowY 2 in Business & Finance ➔ Renting & Real Estate
You needed to get the short sale approved before you tried to sell it. They are under no obligation to take the hit just because you want them too.
2007-12-13 03:39:05 · answer #1 · answered by Landlord 7 · 3⤊ 0⤋
Banks do this alot. I was trying to buy a short sale home and offering what it was worth. The bank did not accept the offer and now they are listing it for 500.00 more then what we offered. They went to all of that trouble for 500.00, which they will not get.(If they would have tried to counter, I would have accepted, but now I am in a wonderful home that I absolutely love, which did not need any work done) The house needed alot of cosmetic repairs. But unlike what a previous person said, you can not get approved to do a short sale before you have an offer. You are going in the right direction, it just depends on how desperate the bank is to sell the home. If they think that the market will turn around in a couple of months, then they will foreclose on your home. It is whatever the investors of the bank think will make them the most profit. It does not make sense, but that is how it works.
2007-12-13 12:06:25 · answer #2 · answered by athomas4224 2 · 0⤊ 0⤋
Most banks are simply incompetent at doing anything besides following whatever the computer tells them to do. You being behind for a certain number of months means that the loan will be sent to foreclosure at a certain date, attorneys will be hired, etc. It takes no independent thinking by anyone at the bank, and they can just hire some threatening salespeople to make collection calls and badger you about foreclosure.
Accepting a short sale, on the other hand, means that someone at the bank will have to analyze the offer, decide if it's acceptable, and compare it to how much they would lose during a full foreclosure. Someone may need to look at the offer and sign off on accepting it. That creates extra work for people who hate their jobs working at a huge bank, work that they would rather avoid by simply telling a collection agent to call you again.
That's been my experience dealing with banks, at least. Incompetence at almost every level, and small incremental steps towards any sort of resolution take weeks.
Good luck.
ForeclosureFish
2007-12-13 13:28:38 · answer #3 · answered by Anonymous · 0⤊ 0⤋
The loss mitigation department of the bank assesses its risks of loss. If the bank folks think they can get more money out of selling the property as a foreclosure, that's the way they are going to go. You do not say at what value your offers are, but they're not going to accept ridiculously low offer on a short sale just to stave off a foreclosure on YOUR part.
For the lenders, it's all in the numbers.
2007-12-13 12:13:34 · answer #4 · answered by acermill 7 · 0⤊ 0⤋
Are the offers you have gotten relevant to what you owe?
Have you had a short sale approved? If you have you should already know how low the bank will go.
2007-12-13 11:44:47 · answer #5 · answered by Sharingan 6 · 0⤊ 0⤋