Did anyone in Chicagoland have a chance to listen to the short sale segment on NBC tonight.
They stated that short sales post a 19% loss to the bank whereas foreclosures post a 40% loss.
Question was is with a short sale giving the banks the lesser of a loss why does it take so long for a response on a short sale offer? Amazing that the finacial institutions refused to answer the question. Were is all of that bailout money going?
I think the where the banks are having trouble is with the investors that are holding the specific loan. It is enough to make you pull your hair out of your head, makes no sense, but I think that is one of the big problems.
Good point, though. Why is their response rate so long?! It probably is because most banks are cutting back employees at an alarming rate.
I also don't understand why they want to take away our commission even though they are making more. Never had a foreclosure to take away the commission.
Larry -
Always good to hear from a fellow Chicagoan on AR!
I missed this, but will try to catch it on the Internet later.
You know, especially given these figures, it boggles my mind how banks could be so slow in responding. Bureaucracy, I guess - and the fact that many Loss Mitigation Employees are greatly overworked, and most are paid as simple clerks - just doing their job!
Hopefully, this will change with the new administration! It really has to!
DEAN & DEAN'S TEAM CHICAGO
Good question, it probably has to do with the banks being absolute MORONS!!! who seem to not care at times. But they will eventually learn.
The length of time for the bank to respond to a short sale offer has many variables that are out of our control but their are methods to improve the speed of the process including how you present the documentation the banks are requiring to review the short sale. If everything is in the format in which the bank prefers it to be in it can help speed up the process dramatically. The only problem is most banks have their own preferred systems so it takes some time to get each banks procedure down.
Hi Larry-
I watched it and found it quite interesting especially when they mentioned the amount of the loss between a foreclosure and a short sale. They definitely need to hire more people to work solely on short sales and clear up some of their inventory. They need to fix their short sale system sooner rather than later.
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