anyone with any short sale experience? submitting bid in a few hours.

So, in search of land in DH's perfect neighborhood has left me with a great find.

One of the nice suburbs, has townhouses...one is vacant and has been on the market over 90 days.

Just had a price drop.

So, I am jumping on it, its perfect. I can rent it out easily if we have to move for DH's job, but cheap enough that we can also cover the mortgage if vacant.

low crime, sidewalks(i am quite the walker), great schools.

Buyers agent wants me to go slightly higher then asking price, which I am fine with since appraised value is almost 20K higher.

I can get a zero percent down, no pmi deal...but Buyers Agent feels its sending the wrong message to the bank. Which is okay since we have the house fund.

has anyone done this sucessfully? if you need more info I can fm it.

After I put bid in, they said it takes atleast 3 weeks to hear back from bank.

tia!


11/7
so, offers been in for 2 weeks.

got a call today from buyers agent. Bank called him for more info from seller. Bank told him we are the only offer in right now...and it could be as early as monday that we hear back.

I did not talk to him, DH did...which means I am only getting bits and pieces of the conversation.

Message edited 11/7/2008 1:54:04 PM.

Re: anyone with any short sale experience? submitting bid in a few hours.

Not sure how different it is in each state, but my REA told me to expect about a 2-3 month wait to hear back on an offer on a short sale (in FL).

We almost put an offer in on one b/c the list price was so low, but then we found out they priced it that way to get people to come see it. The people actually owed $100k OVER what the house was listed at and the bank wouldn't take anything even close to list price.

Do you know if there are other offers on the table already? I'm not sure in this market that i'd bid over asking... even if it is a short sale.

Re: anyone with any short sale experience? submitting bid in a few hours.

WE looked at a property we liked that was headed for short sale. The listed price was 299K, but the owners owed 420K on the house. There is no way that house was even worth 299K it was nasty and needed to be gutted. But the listing agent was SET that she did her homework and the bank would not entertain any offers below 300K based on comps in the area.
I was also told it could take 90 days to hear from bank if offer was accepted as well.
I am in CT.

Re: anyone with any short sale experience? submitting bid in a few hours.

thanks Jess!

If we bid over, its going to be max 2K over asking...

The realtor would not say if there were other offers.

They gave me a guide line of 3-6 weeks.
It would have been longer if property was only on market for less then 30 days.

At least we will know how the process works after this...you posted exactly what I have been reading...that its just a price to get people through the door.

Re: anyone with any short sale experience? submitting bid in a few hours.

I 'll fm both of you the numbers

Re: anyone with any short sale experience? submitting bid in a few hours.

We went back and forth one house for 8 months (before it turned into a short sale) and then once it went into a short sale, we had to then submit an offer to the bank and it then took 3 months until we heard anything.
And unfortunately what we heard was that they accepted a higher offer than ours.....which was only $5k more.

Re: anyone with any short sale experience? submitting bid in a few hours.

sorry Cindy that sounds like a nightmare!

curious though, did you offer the asking or way below asking?

tia!

Re: anyone with any short sale experience? submitting bid in a few hours.

I think your REA might be blowing smoke up your butt. I've never heard of a bank making a decision that quickly. Ones I've dealt with through work haven taken months and then have always been denied.

It sounds like a great place though and I hope it all works out

Re: anyone with any short sale experience? submitting bid in a few hours.

thanks, I am not in any rush.

Just a great deal, if it happens wonderful, if not its okay.

Re: anyone with any short sale experience? submitting bid in a few hours.

Good luck, Janice! My BIL (DH's bro) & his wife just bought a short sale property in GA, near where they live. They totally fixed it up and are now trying to rent it out. Hopefully they'll have a tenant soon. Your situation is a little different, but if you have any questions I could see what he knows if you want.

Re: anyone with any short sale experience? submitting bid in a few hours.

Posted by Janice

sorry Cindy that sounds like a nightmare!

curious though, did you offer the asking or way below asking?

tia!

Re: anyone with any short sale experience? submitting bid in a few hours.

Re: anyone with any short sale experience? submitting bid in a few hours.

thanks guys!

small update:

so bid is in.

our Buyers Agent spoke with their realtor...she said there has been very little interest in it. She told him she thinks our paperwork will move quickly.

Spoke with DH's boss's wife...they just purchased a short sale this summer...turn around time was 8 weeks. Which isn't bad at all for the amount that they saved on the purchase.

So, that's it. Now a waiting game. If they accept our offer, we have 21 days to close.

I have to figure out what to do with my apt if this should happen.

Re: anyone with any short sale experience? submitting bid in a few hours.

Been through 2 short sales last one we almost lost our down payment.. i have had HORRIBLE experiences!

I think buying from a person and not getting an approval from a bank is much better