Give Me Money or Give Me Short Sale!!

We all like to bring up the Short Sale Process. We all like to tout what we know about Short Sales, and how we are the specialist or the expert, but the truth is no one knows much about Short Sales.

The reason why none of us know about Short Sales is because the bank changes their guidelines everyday. I almost think that the executives in the banks sit around laughing at us realtors and clients as they change another guideline to make it more difficult and to make it longer than what it used to be.

The average short sale for us has been taking about 58 days. It would be less days if it were not for Countrywide which is 162 days.

We have found a refreshing trend out there that I wanted to share with everyone. A couple banks have been changing their guidelines for the better. Wachovia in some cases will call the listing agent and or the seller and offer $2000 and an extra 1% to the listing agent if they close by a specific time. One of my agents had 1 where they received an offer and were able to get an approval in 2 days and close prior to the specified time. Kudos to Wachovia as they are one of the only banks trying to shorten the process and being proactive about it. This program is not for all loans, but for some it really gives the seller an true incentive to move quickly as well as the agent.

I also saw where FHA backed loans are giving struggling homeowners $2500 in a program called "Cash for Keys". They are giving a homeowner who looks as though they will be facing foreclosure $2500 in order to move out quickly. They will essentially be doing a deed in lieu of foreclosure signing over the property to the bank. There are a couple stipulations:

1. It must be a FHA backed loan
2. It must be on the market for at least 90 days at a realistic list price.
3. It must be left in good condition including the leaving of appliances and so forth.
4. The homeowner must leave within a reasonable time period in which the bank sets.

The above are just some examples of why no one is an expert in a short sale. Many may know a little more than most, but like the old adage "He who speaks the loudest, knows very little"

It is a little funny in that Short Sales have become such a sensitive topic with most. We all become so defensive when a buyer's agent calls up and asks about multiple offers or how we process a short sale. The listing agent all of a sudden becomes that annoying kid in elementary class. You know the one. The kid who raises his or her hand and spouts off they know the answer to everything and goes on and on not just answering the question, but showing that they know everything about everything.

My advice to everyone who processes short sales is be knowledgeable, but be open minded. Maybe you do not know all the answers.