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Metro Detroit short sales

By
Real Estate Agent with Real Estate One 6501304423

Oh how I hate metro Detroit short sales.  I will never understand banks that control the process.  One of the foreclosures agents in my office just got a listing.  It was a short sale right before it became a Northville foreclosure.  They had a short sale offer at $230,000 but they never got it closed.  The bank's REO department set a price of $205,000 and the house got 2 offers within 2 days.

So now the poor Metro Detroit short sale buyers that have been waiting for 3 months are out of luck.  Their agent "kinda failed" by not reacting and putting an offer in on  the foreclosure.  Maybe they didn't notice that it went to foreclosure.   They could have gotten the house they wanted for $25,000 cheaper.

Sadly both the bank and the short sale lost out.  But honestly I don't care about the banks.  I care more about the homebuyers that had pinned their hopes on this one house.  I just never get why one of the banks asset managers don't accept the short sale offer in a timely manner and then lose $25,000.

The different departments in the bank should be talking to each other.  Maybe they should learn to communicate with each other.  Maybe then they could be profitable or at least not need as much money.  Does anybody out there want to volunteer to teach big banks how there departments should communicate with each other?

Think of it as charity work for the American tax payer.  Maybe we won't have to give them another bailout.

Russ Ravary your Metro Detroit realtor

PS to all the hard working bank employees out there.  I am just aiming this toward the managers of these departments.  I know many of you are overworked and trying to get the short sales done but are hampered by your banks rules.

 

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Eric Reid
Renaissance Realty Group of Keller Williams Atlanta Partners - Lawrenceville, GA

The sad thing is the person who voted yes or no  on the short sale was being bad like $8.oo an hour and had 200 - 300 other files in front of them

May 21, 2009 01:35 PM
Sharon Alters
Coldwell Banker Vanguard Realty - 904-673-2308 - Fleming Island, FL
Realtor - Homes for Sale Fleming Island FL

It defies logic that an offer would be turned down and then months later, an offer 10-20% less is perfectly acceptable. But that's what's happening. There is no accountability for banks' balance sheets when it comes to short sales vs. foreclosures.

Sharon

May 21, 2009 01:41 PM
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Excellent point, Russ! I was involved in a short sale transaction that was listed at 400K. The bank declined multiple offers at "fair market value." The redemption period expired and the property was sold 9 months later. The short sale price would've been 350K+ if accepted. The foreclosure sale price? 200K. The former Seller could've been spared the foreclosure and the bank could've recovered the mortgage. It's just one of many "Horror Stories." How do the banks explain such action to share holders and Wall Street?          

May 24, 2009 03:03 PM