If You Don't Believe Me, Take it from Bank of America

By
Real Estate Broker with Long & Foster REALTORS®, Gainesville, VA VA License # 0225089470

If You Don't Believe Me, Take it from Bank of America

No matter how many times I tell folks to ignore the remarks, "Bank has already approved the Short Sale," in the remarks of a Short Sale listing, there is still some contingent of folks in our industry who fall for this every time.  There is no such thing as a "Pre-approved Short Sale."  There are bank suggested listing prices, or acceptable nets to the bank, but this does mean that a Short Sale is approved.  Part of the approval process is actually laying eyes on the purchase contract.  Approving the buyers and other terms.

But if you won't take it from me, take it from Bank of America, one of the leading providers of Short Sales.  In a message to their Short Sale Agents today, Bank of America gave acceptable MLS (Multiple Listing Service) guidelines.  One of them was to NOT have remarks like:

Bank has already approved the Short Sale.

They go on to tell Short Sale Agents that the no-no's they list can actually lead to a Short Sale DENIAL.  Yep.  So go ahead and think that Short Sale was already approved.  Those of us who know better will sit back with our popcorn and watch from the sidelines.  And if it's a Bank of America Short Sale, those words being in the MLS can actually end up ruining the chance it has of getting approved at all.

 

Posted by

Chris Ann Cleland, Associate Broker- Licensed in Virginia, GRI, SFR, Northern Virginia Short Sale Specialist. Affiliated with Long & Foster, 7526 Limestone Drive, Gainesville, VA 20155.  To contact Chris Ann, call 703-402-0037 or email chrisann@LNF.com.  Or you can visit her website:  www.nvarealestate.net.

Header photos taken by Chris Ann Cleland.

The opinions expressed in this post are those of Chris Ann Cleland, not those of Long & Foster REALTORS®.

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Re-Bloggged 3 times:

Re-Blogged By Re-Blogged At
  1. Lenn Harley 02/11/2013 03:25 PM
  2. Gary McNinch 02/11/2013 09:51 PM
  3. Scott Godzyk 02/16/2013 05:04 AM
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Topic:
Home Buying
Location:
Virginia Prince William County Bristow
Groups:
Bartender, Make it a Double
Short Sales Specialists
Virginia Foreclosures Short Sales and REO (and Pre-Foreclosures)
1st Time Buyers
Short Sale REALTORS®
Tags:
gainesville va short sale agent
bristow va short sale agent
bank of america short sale agent
bank of america short sales

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Ambassador
1,518,686
Christine Donovan
Broker/Attorney 800-610-7253 DRE01267479 - Costa M
Donovan Blatt Realty

Chris Ann - It's important that potential buyers understand this.  Each short sale needs to have an approval.

February 12, 2013 10:21 PM
Rainmaker
269,225
Inna Ivchenko
Los Angeles / Valley Homes
Mannis Real Estate Group

well, short sales are mess: approved or not. I recently have no problems with banks, but with agents who have no idea what they are doing. They take the SS listing, hire a negotiator for 2% and......disappear: no calls/texts/emails would be returned. They want only cash and the client without agent....

February 13, 2013 12:35 AM
Rainer
119,991
Kathy Fuhriman
Bear River Valley Realty

When the sellers have been given the ATP (Approval to Participate) they are one positive step forward in short sale approval however that ATP generally has an expiration date. Even the pre-approved price is subject to change. Ever had a SS deal where you get a different negotiator every time you make contact with the lender? and they act like you are just starting the SS process? As others have said above-Nothing is considered approved until you get your commission check in your hand. The bank could pull the plug at the last minute because your closing rep did not follow the instructions to the letter.

February 13, 2013 06:44 AM
Ambassador
1,806,795
Chris Ann Cleland
Associate Broker, Northern VA
Long & Foster REALTORS®, Gainesville, VA

Christine:  Each contract needs to go through the approval process, that's the key.

Inna:  That sounds awful. 

Kathy:  Very true.  Though there's a difference between approved and closed.  A sale can be approved, but not close.  That last minute issue is usually not being able to get a final HUD approval.  

February 13, 2013 07:45 AM
Rainmaker
68,280
Christopher Campa
Northern VA Realtor
LONG & FOSTER REAL ESTATE

Chris Ann: Once again, you make a great point.  Always keeping the process transparent. 

February 17, 2013 06:49 AM
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Ambassador
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Chris Ann Cleland

Associate Broker, Northern VA
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