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NEWS »»The New Short Sale Plan - Will it work?
- March 10,2010
We have been screaming for 2 years to these short sale departments that they need to get out of their own way and let the market help solve the problem. Short sales to this point have been a miserable failure, primarly because most banks take way to long to negotiate or accept an offer. That means for the most part, retail buyers wont buy short sales leaving only investors. Investors do not pay retail prices of course, and banks dont want to accept wholesale offers. You get the paradox here?? Here are the considerations being discussed: 1.Homeowners get $1500 to sell and move. The bank servicing the first mortgage gets $1000 and the second mortgage bank get $1000 to forgive the balance. The first mortgage holder gets the proceeds from the sale. 2.Realtors will determine the value of the home. 3.The homeowner will not be told the valuation. 4.Banks will be required to accept all offers that meet or exceed the predetermined value. Our main question is will any of this actually speed up the process of getting a deal approved and closed. If it doesnt, well at least in our view, it is political jockeying for the next election cycle that begins in a few months. What do you think? www.SellMyHouse.com
