I have been working with a lender to negotiate a short sale for my seller. This property has two (2) loans. In less than two weeks, because of my CDPE experience and complete short sale package, I had the 2nd lender complete a BPO and give me the amount that they need to do the short sale. I was quite happy with the progress and ready to submit paperwork and new HUD to the 1st lender, and the buyer walked. WHY? In two weeks, he lost patience with the process.
Here is what buyers can learn from this experience: 1) Short Sales take TIME, 2) Be Patient, and if you don’t have patience then don’t get involved with a short sale, 3) commit to yourself, your agent and the listing agent that you will give the process a minimum of eight weeks, 4) the process can move quick, slow down and move again, 5) be patient (did I say that before?) and 6) have your agent contact the seller’s agent on a weekly basis for a status update. (I gave the buyer’s agent weekly updates, and they still walked.)
Finally, each buyer of a short sale should have to write 50X on a sheet of paper, “there is no guarantee my offer will be excepted and it can take up to six months to hear a reply from the bank.” If each buyer did this, it would give the realtor a reference point for the buyer in waiting, and help the realtor when the buyer gets frustrated.
If you want more information on short sales, please call me. I have a Certified Distressed Property designation (CDPE), having completed extensive training to work with homeowners in distress, with a particular emphasis on short sales.
I have been working with an East Bay couple for some time. Through joint efforts, we defined the home, area and price that they wanted. When their “ideal” home came up, they were EXCITED. It was a short sale, and I told them that there was no guarantee that their offer would be accepted by the lender, but they were willing to try. My buyers wrote their offer for just UNDER .07% of asking price. (I gave them comps, but they set the purchase price.) The owner accepted and the seller’s agent started the short-sale process in motion with the lender.
After four months, my buyer was told yesterday (HAPPY EASTER!) that the lender wanted .015% MORE than asking price to accept the short sale. (The selling price was to equal BPO price.) My buyers did not accept and now feel they wasted four months of search time. I did not think the original price was that out-of-line, but my buyers wanted “a deal” and their offer was their loan approval limit.
Here is what buyers can learn from this experience: 1) Short Sales take TIME, 2) Be Patient, and if you don’t have patience then don’t get involved with a short sale, 3) just because it is a short-sale, does NOT mean that the lender is willing to give the home away, 4) lenders work in their own time and the process can move quick, slow down and move again, 5) be patient (did I say that before?) and 6) have your agent contact the seller’s agent on a weekly basis for a status update.
Finally, each buyer of a short sale should have to write 50X on a sheet of paper, “there is no guarantee my offer will be excepted and it can take up to six months to hear a reply from the bank.” If each buyer did this, it would give the buyer a reminder of what was initally said before going into the short sale, especially when the buyer gets frustrated.
If you want more information on short sales, please call me. I have a Certified Distressed Property designation (CDPE), having completed extensive training to work with homeowners in distress, with a particular emphasis on short sales.
The first quarter of 2010 is behind us already, and the home results are in for Brentwood (94513) home sales. It is worth noting that most lower-priced homes sold at or ABOVE List Price. Here is a link to all 194 Brentwood Homes Sold (Click Here – link not good past 30 days) Here are the results for Detached Home Sales in Brentwood:
List Price Sold Price
High $750,000 $750,000
Low $ 80,000 $ 60,000
Avg. $ 313,000 $317,000
Med. $297,000 $303,000
Looking at Condos/Townhomes, there were only 11 Condos/Townhomes that sold in Brentwood (Click Here – link not good past 30 days) during the first quarter, and the results are below:
List Price Sold Price
High $205,000 $200,000
Low $ 94,000 $ 102,000
Avg. $151,000 $162,000
Med. $154,900 $162,000
Included in the above numbers were 15 homes (detached and attached) that sold in Summerset (an active adult community in Brentwood). Most Summerset homes sold for less than the list price, and the average days on market was 49 day. Homes are moving if well-priced well and the buyer sees value in the home. (Click Here to see the Summerset Homes that SOLD – link not good past 30 days) Here is the breakdown of Summerset Homes SOLD in the 1st quarter of 2010:
List Price Sold Price
High $598,500 $550,000
Low $ 205,000 $ 200,000
Avg. $323,800 $314,400
Med. $280,000 $275,000
If you want additional information, please call me at (925)852-1659.
