A reality of today’s Real Estate Market. A Short Sale is a way for a Seller who otherwise would lose their homes to foreclosure can request their bank reduce their principle balance so the Seller can Sell (get out from under the payment burden).
The problem is that a Bank will not review the request for a Short Sale until the home is marketed and an offer is written. It’s a problem because a “today” ready, willing and able Buyer wants to purchase a home and move in 30-45 days later. This is not possible since the Bank has to decide whether they will or will not reduce the Seller’s principle balance so the Seller’s can sell. Most banks don’t have an effective process in place so it can take over ninety days to get a response. Agents representing the Seller’s often take multiple offers figuring they will lose some Buyer’s along the way (because of the long waiting period for a response). It difficult for everyone involved in the transaction including the Realtor. The good news is that most do close eventually the Seller’s are saved from foreclosure and the lucky patient Buyer who beats out all the offers that had previously been submitted gets to move into their new home.
