When you buy a household that is owned by the bank (small sale), and you make an offer, why does it take them so long to respond? You can end up waiting for months. We have all our ducks in a row on our end. What if anything (the buyer) can I do to alacrity this total process??? Seems they (bank) would want to sell the household! The household we want is owned by Wells-Fargo, i reckon.
this is Michigan
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Category: Uncategorized
Tag: bank, Buy A House, Buy House, Ducks In A Row, housebuyer, potential, processing, Sale, Sell House, Short, Speed, Wells Fargo
Claire says:
I have a excellent friend who had this same thing. She got on the phone to the bank and said the offer expires in 48 hours. She also questioned for the persons managers name at the same time and said she would speak to the administrator if that could help alacrity up the process. The next day the deal was done. Incredible how the word “administrator” makes all the difference.
goldshire1 says:
There is not much you can do as a buyer. You can make sure that small sale package is ready to go and is submitted in a suitable fashion (there is a ton of documentation that the seller and list agent need to provide the bank with) but once the package has been received by the bank all you can do is wait.
The bank has a huge domestic evaluation process that they need to go through before they can/will accept an offer. They need to order an appraisal/BPO for the property to find out what it is worth, they need to evaluate the seller’s “hardship” and their ability to continue to pay on the property, they need to review the strength of your offer and SURPRISE… with today’s housing circumstances your small sale is not only small sale. Loss mitigators at the bank are SWAMPED with small sales that they are dealing with.
In chat for waiting you get a excellent deal on a property.
debttaxguy says:
As I just pointed out in another small sale question, this is why small sales very seldom work. It takes a very aggresive agent to get the mortgage company to respond. I don’t even mess with it because you can never get an answer back on the offer. Someone has to be the lead on this and call the mortgage company every week if you want to make it take place. The reason the bank is reluctant is because the mortgage has been packaged and repackaged so many times they cannot figure out who can make the choice to respond to your offer. The other problem is maybe this mortgage has been backed by the infamous Fannie Mae or Freddie Mac, and they are going to get 100 cents on the dollar anyway. If you are export it for what they are owed you are doubtless getting a fantastic deal anyway, except you are in Florida, Phoenix, Las Vegas, or LA.
acermill says:
Small sale properties are not owned by the bank. They are subdue in the hands of the current owner who is asking the lender to approve a sale amount for less than is really owed on the property.
The lender engages in a lot of background work to insure itself of an appropriate market value for the property in question. It does not want to agree to a sale price for less than the highest available. As well, the lender is working with the current owner to determine whether it should approve ANY small sale. If the seller is asking permission for a small sale and really has sufficient asset values to afford the household payments, it won’t agree to the small sale.
Small sales are far more complex than is a typical foreclosure
Landlord says:
Small sales are not bank owned and take about 3 months.
But you are talking about an REO. They collect bids for about a month, but may reject them all. After they pick one it closes like any other sale.