Yes, My House is ACTIVE on MLS, but No...I don't Want to Show It
I currently have a buyer that is very interested in a particular Oro Valley Community, and has a certain price point he'd like to meet. That price point means we need to be watching distressed sales.
I have my hotsheets and alerts set up, and this weekend a wonderful short sale came up with a newly revised status change - back to ACTIVE. This was day one of the change.
It was too late Saturday night to call regarding the home, so I waited until 10 a.m. Sunday morning, trying to avoid invading too much during odd hours. Meanwhile, my clients drove through the neighborhood, coasted by the house, and called to say that yes, they'd be very interested.
Being Sunday morning, you never know if the person you're calling might be in Church, and so I cautioned my buyers that I'd let them know when we could view the property, as soon as I got a call back.
I left a voice mail for the agent. She called back pretty quickly - maybe 20 minutes. But after talking with me, she had to reach her clients. Maybe 30 minutes later she called again.
"I'm sorry, but my clients don't want to show their home."
It was a much longer discussion than that, but that was the jist of the conversation. You see, the sellers had been in a short sale situation, and after 5 months, the buyer walked. The seller had a pre-approved short sale at this point, and my buyers were ecstatic to see the home.
But it wasn't to be.
When I show short sales to my buyers, I point out that although contractually in Arizona a buyer may walk from that contract without a reason, anytime before receiving written notice from the seller's lender, it's just not cool.
There's a seller out there, desperate to sell their home and move on from their hardship.
I understand short sales can take a great deal of time. But I also know there are buyers out there writing and dropping contracts at will due to the very provision set up in the short sale addendum that lets them unilaterally cancel that contract before sellers' lender's acceptance.
I always ask my buyer to commit to the short sale process for 90 days. Yes, I do that. Earnest money must be deposited, and early-bird escrow is opened. In return, I contractually ask that the seller accept no other offers, sign no other contracts during this time period. (In the AAR contract and SS addendum, this is possible)
In my mind, both sides are protected. The bank is working with one offer, and hopefully time is well-managed and the process runs more smoothly.
Back to the scenario above...I understand that five months is more than 90 days, at which time even my buyer can contractually "walk" if we haven't received notice. I don't understand a seller that can't give it a week with a pre-approved agreement with their lender to find a new buyer.
I had a ready, willing, and able buyer. Oro Valley has a new foreclosure. :(
If you have questions about short sales in Tucson, Oro Valley, Marana, and Vail - please call me. Maybe we can clear a few things up. :)