Several factors seem to indicate that 2009 will be the year of the short sale.
First, it is clearly in the best interest of the lenders, as institutions and and as individuals, to use the short sale to avoid the staggering costs of a foreclosure.
Second, the lenders are growing more experienced at handling short sales and have at least a marginally more competent staff to accomplish the negotiating and processing of such sales.
Third, the nationsl figures on combined distressed and 30+ day late mortgages are now one out of every 45; at this time last year the number was 1 out of 77. Personally I interpret this to indicate that, first, there are much larger numbers to be addressed, and, second, that the lenders are slower to proceed to foreclosure. This is either because lenders are delaying foreclusures, for whatever reason, or because of recent government attempts to forestall the massive unwelcome evictions.
Fourth, there are more real estate agents nationally who are skilled at packaging short sales of listed distressed properties. As lenders receive more and more complete short sale packages they will both be encouraged to look with greater interest on short sales and to develop their own short sale protocols, which will further advance the short sale as a more attractive alternative to the foreclosure process.
All of this is my personal opinion. As in all matters for which there is not a solid foundtion of knowledge to support a personal conclusion, I am prepared to be mistaken.
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