"Your short sale listing ... if I write an offer today can we get it closed by November 30?"

That would be a tall challenge but any real estate agent who knows what they are doing would give it a shot.  Of course if there is a single lender and the price is reasonable for the market, perhaps yes!

Short sales and closing schedules are indeed a problem with the first time buyers credit. If the short sale has been approved you should be OK but if from scratch...its gonna be a close one.

Richard, If I were working with a buyer that wanted the tax credit I would NEVER place them on a short sale listing this late in the year. If they need that $8,000 I would not risk it on the slim chance they could close that quickly. It could happen but it's not likely. No matter what the listing agent says.

Hi Richard,

Nothing ventured nothing gained. If they really love this house and they don't have to have the $8K then go for it and it will be a bonus if it closes on time. It all boils down to the buyer's expectations. There are lots of houses out there on the market!

I have come up with an addendum for buyers to sign that states that we are not responsible and make NO guarentee that any sale will close in time to take advantage of the $8000 credit.

Richard,

I am no long showing 1st time homebuyers short sale listings if they have a "requirement" to close before November 30th, in order to take advantage of the tax credit.

If the government extends the timeframe, I'll reconsider.

Rich

Richard, it is a great answer. You can do everything in YOUR power, but you have NO control over the bank(s) involved!

It's up to the buyer if they are the gambling type...because that is exactly what they are doing in this situation!!!

Richard:  As long as you aren't dealing with Bank of America I'd say you have a fighting chance.  Keep us posted!

There's no way to say what the bank will or will not do in the middle of a short sale negotiation, so you can never make guarantees. I'd also have the buyer sign paperwork saying that you can not guarantee closing on or before the deadline.

Based on all the short sale listings I already  carry. .the answer is NO 

Richard, like others above here have said.  You're correct on the maybe, but if there's a lot riding on the deal, such as the $8,000 tax credit, the odds are probably against it.

Richard - I actually laughed out loud reading the title of your post.  My first response was, "Of this year?"  We have a short sale that might close this next week after a mere TEN months in progress, first with Countrywide, and now with Bank of America. 

Richard, I had that same question come up to me this past week, and my only answer was MAYBE!!

My suggestion is to have a fully executed contract no later than Sept 30, 2009 to give the lender at least 60 days to go through the FHA process and/or conventional process.

Currently executed a direct buyer/seller contract 3 days ago since we have yet to hear from the "bank owned"REO submitted the end of August...  We already had the inspections, appraiser came today, the closing agent will have the title work on Monday, the townhome asssociation is processing the buyer application and the credit union couldn't be happier.

I closed an approved condo short sale in three weeks with a cash buyer.

I locked up an executed contract September 15th with the seller and have yet to receive the third party approval...even though the listing agent said he works with short sales specialist attorneys to get the mission accomplished.  It isnt imperative for this buyer to take advantage of the tax credit.

We have no control in the this arena...we consult with the parties and we listen to their direction.

Richard,

While my record is 23 days offer to close on a short sale, I'm finding lately that even the "responsive" banks are black holes. Your response was appropriate and honest. I hope you get that offer on your listing - and close it fast!

Richard - I just tell them - this is the wrong property....  No way would I risk a buyer's tax credit on a short sale approval in 30 days in this climate.

Richard,

I would almost think that with the staffing problems or apathy at the banks I would be a little less than cautiously optimistic.

With all the pressure on the deadline date I'm sure some of the deals won't make it I hope none of yours.