Countrywide can  spell  “NIGHTMARE” for a listing agent working a Short Sale with them.  It’s also a lesson in Patents for the Seller of the property.

Yesterday while going through the dozen or so short sale files I have  with them one thing was consistent with every file.  A new negotiator was being assigned to these files almost daily….sometimes 3 in one day.  Can you say “Pass the Hot Potato” !

If your a seller and have a Short Sale in process with Countrywide/BofA this may help you on what to expect.  Also, your agent will be working with your lender to do everything possible to expedite that approval…believe me!  You may be asked for updated income information on what seems to be a weekly basis…Just remember,  the Short Sale is going to help you get a fresh start.

Countrywide has a 3 Phase Approval Process.

Phase 1 – Getting A Negotiator Assigned: This “Phase” according to Countrywide should take 10 Business Days

Phase 2 – Negotiator works the file and prepares it for the Investor: This “Phase” according to Countrywide should take 30 Business Days

Phase 3 – Investor Reviews Offer: This “Phase” according to Countrywide  should take 10 Business Days.

The Real Story:

Phase 1-Assigning a Negotiator can take up to 60 Days

Phase 2- Negotiator Prepares Short Sale Package for Investor: Here is where it gets very convoluted…Countrywide swaps out negotiators on files like new moms change diapers! We have had 3 negotiators in ONE DAY!  This is a huge problem because Countrywide allows “each negotiator” 30 Days to work the file…before they are accountable to “note” the file.  This can make Phase 2 seem endless!

Phase 3- Investor Review/Approval:  Real time is about 30 Days.

I do have to give kudos to “Bill” a supervisor in the Short Sale Department at Countrywide.  I emailed him and explained my confusion and frustration of  “swapping” negotiators and in fact giving his employees a free pass on any accountability!  “Bill” responded to me to my surprise, he actually took charge and has been working with “the same” negotiator to get that file off to the investor for approval.  Thanks Bill!

A short Sale is your best alternative in this economy if you can’t afford to keep your home.   Just be mindful of the time it may take if your lender is Bank Of America/Countrywide.

There is talk that President Obama is going to mandate a Streamlined Short Sale in the near future.