Banks and Short Sales
Short sale numbers are growing steadily nationwide, so why is it that there are still banks out there who have not taken the steps to streamline their approval process?
Yesterday I found myself very irritated and angry at a certain bank I am dealing with on the short sale of a listing I hold.
It would seem to me that if the loss is so much greater for a bank once a property goes into foreclosure, then why are they dragging their feet during a short sale? Makes no sense to me at all.
This particular bank went from "3-4 months for a short sale approval" to "we can't even give you a time frame for approval?" What does this mean for the sellers and buyers in this particular situation?
My sellers have been very patient during this whole process. I can't imagine from a buyers perspective the level of frustration they must feel not getting an answer for months on end on whether the bank will approve the short sale.
The amount of time it takes to close a short sale should not be any longer then what it takes to close any other peice of property. So, why aren't the banks trying to expedite and enhance the number of successful short sale transaction they do instead of losing a high percentage of the value of the property when going through foreclosure?
Short sale transactions, ARE time-consuming and patience-testing to say the least, for all parties involved. That being said, the great news is the banks are becoming aware of the increased demand and many banks are taking several steps to make the process easier and quicker. Unfortunately, this one particular bank has not heard of this concept and in turn making it more difficult in the long run to complete the short sale process. Leaving both buyer and seller in the dark.