Comments on: Short Sale Tip 11-12-09 http://ctlms.myproptrackr.com/2009/11/12/short-sale-tip-11-12-09/ Pre-Foreclosure and Short Sale Solutions Tue, 02 Apr 2019 18:58:34 +0000 http://wordpress.org/?v=2.9.1 hourly 1 By: Sean Wilder http://ctlms.myproptrackr.com/2009/11/12/short-sale-tip-11-12-09/comment-page-1/#comment-21 Sean Wilder Sun, 15 Nov 2009 20:08:38 +0000 http://seanwilder.wordpress.com/?p=147#comment-21 Thanks for the great question Carl, The simple answer is.. It's all up to the seller. Just like any transaction the seller has ownership of the property and they have the final decision as to what is, or is not, sent to the bank. As in any transaction, the sellers can only sign one offer. The first offer would have to have been rejected by the lender or rescinded by the first buyer, before the seller could sign another offer. In this kind of situation knowing who the lender is and what there process and tendencies are is key. For instance, some lenders require you to start over from the beginning of the short sale review process if the buyer changes. So an offer that is just slightly higher than the first is not worth sending to the lender because of the huge delay it would cause. Also confusing the lender with multiple offers will drag along the process as well. If you have multiple offers before anything has been sent to the lender, you, the seller, and your negotiator should discuss which offer is best AND has the highest likelihood of being accepted by the lender. The fact that other offers have been received may be good evidence that the offer accepted is at market value. The same can be said about offers received after an offer is sent to the lender, unless they are substantially higher, it usually is not the best idea to submit it to the lender unless they have countered or rejected the first offer. It is somewhat a case by case decision, but the sellers are in charge of what is sent to the lender and there is no requirement that every offer be submitted to the lender. As for the Lease/Option question. It is very, very unlikely that a lender would accept that kind of offer. When accepting a short sale offer, the lender wants to be paid off within 30 days of the approval. It is very rare to receive an approval letter that does not expire in 30 days or less. When reviewing the offer the lender will look at when the buyer can close and how long after they approve the offer, the closing will occur. If it is farther than 30 days from acceptance, they may ask for the contract to be amended for the closing to be within 30 days of acceptance. It is the same with a Hubbard. Not worth sending to the lender because it will be rejected almost immediately. Hope this helps you out. Feel free to call me at the office if you would like to discuss this further or for more assistance. 860-265-3727 Thanks Thanks for the great question Carl,

The simple answer is.. It's all up to the seller.

Just like any transaction the seller has ownership of the property and they have the final decision as to what is, or is not, sent to the bank.

As in any transaction, the sellers can only sign one offer. The first offer would have to have been rejected by the lender or rescinded by the first buyer, before the seller could sign another offer.

In this kind of situation knowing who the lender is and what there process and tendencies are is key. For instance, some lenders require you to start over from the beginning of the short sale review process if the buyer changes. So an offer that is just slightly higher than the first is not worth sending to the lender because of the huge delay it would cause.

Also confusing the lender with multiple offers will drag along the process as well.

If you have multiple offers before anything has been sent to the lender, you, the seller, and your negotiator should discuss which offer is best AND has the highest likelihood of being accepted by the lender. The fact that other offers have been received may be good evidence that the offer accepted is at market value.

The same can be said about offers received after an offer is sent to the lender, unless they are substantially higher, it usually is not the best idea to submit it to the lender unless they have countered or rejected the first offer.

It is somewhat a case by case decision, but the sellers are in charge of what is sent to the lender and there is no requirement that every offer be submitted to the lender.

As for the Lease/Option question.

It is very, very unlikely that a lender would accept that kind of offer. When accepting a short sale offer, the lender wants to be paid off within 30 days of the approval. It is very rare to receive an approval letter that does not expire in 30 days or less. When reviewing the offer the lender will look at when the buyer can close and how long after they approve the offer, the closing will occur. If it is farther than 30 days from acceptance, they may ask for the contract to be amended for the closing to be within 30 days of acceptance. It is the same with a Hubbard. Not worth sending to the lender because it will be rejected almost immediately.

Hope this helps you out.

Feel free to call me at the office if you would like to discuss this further or for more assistance. 860-265-3727

Thanks

]]> By: Carol wanat http://ctlms.myproptrackr.com/2009/11/12/short-sale-tip-11-12-09/comment-page-1/#comment-20 Carol wanat Sun, 15 Nov 2009 19:32:01 +0000 http://seanwilder.wordpress.com/?p=147#comment-20 When a short sale seller accepts an offer from a buyer, is that the only offer the bank sees or does the bank require the seller show them all offers even ones that come in after the seller has accepted an offer? Do banks ever consider lease/options on short sales? When a short sale seller accepts an offer from a buyer, is that the only offer the bank sees or does the bank require the seller show them all offers even ones that come in after the seller has accepted an offer?

Do banks ever consider lease/options on short sales?

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