Buying a short sale property is a way to get a great deal in Real Estate while also helping a seller get out of a tight situation. Unfortunately, due to bank delays and regulations, short sales have also become a source of frustration for REALTORS® and their clients. With average closing times of six months, the short sale process is certainly not for the impatient. What does it take to navigate the difficult short sale process?

Erin Attardi blogs about a very stressful short sale closing:

“The second lender was taking a while to complete its analysis, and fortunately, I was able to negotiate and obtain written extensions from the first lender. Finally, when I called to check in with the second lender on July 10th (a Friday), I was informed that the short sale was showing ‘APPROVED’ in their system, and that the written approval document was going to be emailed to me by the following Monday. I immediately called the buyer’s agent to let her know of the great news! The buyer had already completed his inspections and was ready to go. The first lender’s latest extension was valid through August 15th, which would allow the buyer plenty of time to close escrow. Monday rolled around, and the short sale approval document did not arrive. I called the second lender, and they said it was on the way. Tuesday…still no approval letter. What was the problem? I called Bank of America’s Short Sale Support Department to find out…the Final Negotiator (or Closer, as they are now referred to), was not returning my voicemails or emails. Turns out that for some reason, they emailed the short sale approval document to the wrong email address!! Ugh…annoying, but not the end of the world. I gave the lady I was speaking with the correct email address.”

Attardi’s constant call backs helped her catch the bank’s clerical mistakes, saving her and her client from further delays. Attention to details and persistence will help every Realtor when dealing with banks during the short sale process.

Getting a short sale approved is tricky business. You can be dealing with 2 lenders or one of the lenders might not agree to let the seller totally off the hook. The bank might not want to accept an offer because it’s not high enough or the seller might not qualify for the short sale. There are a dozen reasons, plus some, why a short sale may be denied.

However, after a short sale is approved, it doesn’t mean that another buyer can always automatically step right into place and pick up where the last buyer left off. So, an approved short sale notation in a listing might be misleading . . . read more about an Approved Short Sale.