New Bill Would Help Short Sale Process

A bill introduced in the House of Representatives this week could substantially improve the process of short sales by putting time limits on bank responses. Titled “Prompt Decision for Qualification for Short Sale Act of 2011”, this legislation would impose a deadline of 45 days on lenders to respond to requests for short sales. To date one of the most difficult tasks has been to get any response from a bank when negotiating a short sale transaction. Often the banks are unsure of whether to accept a short sale offer and the long delays lead to potential buyers walking away before a response it even made.

Short sales are typically much more cost effective for a bank to undergo than a foreclosure and the impact on the seller’s credit is much less severe as well. Buyers themselves reap benefits too as the sales are often at a discounted price when compared with a non-distressed property. Having a quicker response time at least allows buyers to be more informed and have a quicker read on whether to move ahead with the purchase or pursue a different avenue.

Stephen Woodall

REALTOR, GRI @ Long Realty Company

Stephen has made real estate his full-time career and passion since 2008, primarily specializing in the Foothills & the Northwest Tucson areas of Oro Valley and Marana. He is a multi-million dollar producer, representing both sellers & buyers. Stephen has tremendous experience in new home sales, listing & selling primary residences, listing & selling vacant land, listing & selling luxury homes, investment properties, rentals, and real estate development parcels.