Short sale experience?

[Fran27]

Anyone got any experience with it?

The seller shockingly accepted our offer on the house, and we're now pretty much waiting for the lender to approve... probably going to take weeks, but we still have to spend money on the inspection while we wait.

Ugh. I can see why people don't go with short sales... We just know we won't find anything as good at that price...

[bubbatd]

Wonderful with today's market !! Happy for you !

[sparks19]

forgive my ignorance... but what does short sale mean?

[joce]

I have seen it take a year-no kidding

But in those situations the owner had no say at all. It was all the banks decision. Is it really a short sale or are they just saying that to get it sold quickly. all short sales I know of are bank approved not owner approved. Our idiot with money friends who lost their place had their home short saled but it in no way went through them. As soon as they told the bank what they wanted to do they took over and handled it all.

My friend who got hers after three months did not pay for inspection until all the paper work was in order because according to her realtor they so often fall through. Which happened to her once with the place she bought. They accepted her bid if 95,000 and it was approved. But they themselves took to long doing everything so the house defaulted to another realty company and she had to wait 30 days to rebid and she had to pay 105,000. Which wasn't bad for a house appraised for over 200,000 a couple years prior. But too much stress!!!!

I think its nuts because they take forever and screw people around when it would be better to just get someone in the house

[Fran27]

Yeah our contract says we have 10 days for the inspection, so we have no choice. I'm not too happy about it either. We had to do the contract with the seller because that's what they're showing to the bank (I think it's not always the case, but the bank wanted to see a signed contract before making their decision). We got a lawyer too so if it doesn't work we'll be out $700 overall... could be worse I guess. I just wish the contract would say that inspection and attorney review would happen after the bank's approval, but for some reason it doesn't work that way.

Apparently in this case they already have a negociator so it should cut the time by 2 months... If the bank approves we won't close before March probably (which is ok, we're saving in the meantime anyway as we closed our house yesterday).

Sparks it means they are selling the house for less than they owe, to avoid foreclosure. The bank usually agrees to 'forget' the amount they still owe from the difference, that's why they have the last word on the price.

I'm just glad I haven't seen another house I like so far...

[Labyrinth]

We sold our condo via a short sale. I think the process took a few months, but it's been almost a year now since it closed so I don't really remember. I remember we had to have a purchase agreement drawn up and signed by both buyers and sellers, along with some paperwork we (as the sellers) had to fill out and submit to the bank to see if they'd approve the amount. I think the bank approval took 2 or 3 weeks, and thankfully the buyers stuck around for it and we closed not too long after. I'm not really sure about any sort of inspection done by the buyers though, all we had to do was get the paperwork to the bank and hound them for an answer.

[Miakoda]

The house my younger brother bought was a short sale. It took 9 weeks for them to hear back on whether or not the lender accepted the offer (which they did).

They had put in offers on 2 other short sales previous to that one and they never even got a response back on either one....not even after 6 months.

I wish y'all the best!

[Island dog]

I had never heard of that before. I don't think you can do that in Canada, but I'm not positive. Certainly interesting.