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Are short sale banks starting to reduce their staff?

By
Real Estate Broker/Owner with Metro Life Homes RS-78439 / BRE #01708344

Are short sale banks starting to reduce their staff?

I've been processing short sales since 2005 for not only my own files, but for other agents and brokers.

It may be just me, but it seems that the expediency and responsiveness from the short sale banks is not exactly what it used to be.  Also, I've seen a lot more mis-handling and unwareness from one department to the next on some files.

I've had this theory that the banks have maybe started to reduce the number of staff allocated to short sales since in general the amount of short sales have reduced in the last 18 months significantly.

I had one file recently that has a first and second lien with the same bank that after 35 days of processing, I questioned why the 1st lender was involved since they are getting paid off in full.  The negotiator's response was basically "Oops".  They then killed the file and told me it would be re-assigned to the 2nd.  That never happened, and I had to become Chinese water torture and called in every day until someone did something.

I also had another file recently with a different bank that was right at the point of approval.  I then never heard back from the negotiator.  When I finally got a response from someone, I was told that the negotiator left the company.  Turns out no one knew about my file and it just sat there.  Then I was told that the valuation had expired as a result, and we had to start all over again.

Just wanted to patch in with my peers and see what your responsiveness has been lately with your short sale files.

Inquiring minds want to know.........

Mahalo!

Ralph Gorgoglione


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Comments(3)

Mike Baltierra
Rise Realty - Eastvale, CA
Full Service at Your Service Realtor-Eastvale CA

Just closed a short sale with Bank of America that I had no shortage of help. It was a pain like all short sales but I guess we should be used to that. Just have to stay on top of it. Most issues I see is just incomplete file which is why so many take so long. These negotiators only get paid on complete files that will close. It's not uncommon for them to change negotiators frequently. 

Jan 14, 2014 05:55 AM
Evelyn Johnston
Friends & Neighbors Real Estate - Elkhart, IN
The People You Know, Like and Trust!

I have seen a lack of responsiveness from Bank of America and Wells Fargo for the past year and a half.  About the same amount of time you mentioned.

Jan 22, 2014 06:49 AM
Shanna Hall
Real Estate Solutions - Kirkwood, MO
I love selling houses!!!St. Louis, MO 314-703-1311

Ralph- I stopped doing short sales due to the frustration level for myself and the client- I have had the seller 'give up' several times and then it was all for nothing and I wasted many many hours...  Good luck- I am hearing the same thing from other agents that I know continue to do them... 

Jan 27, 2014 10:58 PM