This is the third in our series on Short Sales...make sure to check out Who is Eligible for a Short Sale? , Are There Any Credit Consequences to a Short Sale? and Your Monthly Payments and a Short Sale.
All short sale situations are unique and follow their own timeline, The actual negotiation or approval process can take as little as 2 weeks or as much as 3 months to complete. On average most short sales take between 30 - 60 days from the date the offer is presented to the lender to the date of the Short Sale approval.
Many variables are associated with this timeframe:
- How quickly an offer is generated and accepted by the seller
- How quickly BPO's are completed when ordered
- How quickly the lender responds to the offer (dependent on the quantity of other short sales the lender is processing)
- How many lien holders need to provide approval
Once the Short Sale approval has been received from the bank or banks, the buyer should be prepared to close escrow within 21 - 30 days.
What happens if there is a foreclosure sale date scheduled during this process?
Lenders often times will extend the foreclsoure sale date if there is an active short sale negotiation going on. We get foreclosure sale dates extended every month so please don't ever let s sale date scare you away from one of our listings. Your foreclosure sale will usually be suspended during the short sale process.
If you are behind in your mortgage payments or are having financial difficulty and think you might want to discuss the option of a short sale, please call us at (916) 405-5766 or send email to. We are here to help!
Lori Mode & Bruce Durham, Keller Williams Realty, Elk Grove