Short Sales…those two words hold more mystery and intrigue than the best Bond movies! No matter if you’re the buyer or the seller there’s a lot going on behind the scenes while waiting on the banks to respond to the “offer.” Kris and I specialize in listing these short sales. Knowing what the banks look for has given us a real advantage when submitting offers for our buyers.
A recent conversation with a buyer of a Short Sale started off with the million dollar question… “Got an approval on the first but the second seems to be lagging. According to the selling agent they already gave a ‘Verbal’ and I was wondering if you guys knew if a verbal usually is followed by a signed approval, if no. how long after this does it usually take?”
We did our best to lay it out. What to expect, and what not to expect from these banks.
The story he shared with us in his follow up email…
“Thank you very, very much. This lets me sleep better at night knowing this. Yes I did get a bit caught up in the “bidding” frenzy and paid much more than the property was originally listed at.. Also, purchasing “as is” and, I’m covering closing costs. I still feel like it’s a great deal compared to local comps in the area. I’m a first time buyer and new to this whole process. We (me and my wife) are very excited about this location (3 miles from her work and 7 from mine) and have been waiting for years to be able to afford something in this area. We weighted out the cost saving in fuel, convenience, etc. and did pay more than originally planned on but also a lot nicer place than we expected to be able to afford”.
As a real estate agent working in this kind of market, we try to use real facts when asked questions from “buyers”. It’s not a secret that here in the Inland Empire, home values will decline for quite some time. With all things considered, interest rates climbing and lending institutions changing the way they’re doing business comes the answer to the question…is now the right time to buy?
For some absolutely not, for others like this family, absolutely yes….
We’re always here, if you have questions about selling your home on a Short Sale, or buying a Short Sale. Send us an email and we will do our best to help.
Kim Darney
