Thanks for sharing your story here w/us. It really doesn’t make any sense at all why banks would rather take a bigger hit and foreclose than do a short sale. I’m sure there’s more than meets the eye, behind the scene explanation for this. Thanks for your honesty.

Thanks for sharing your story here w/us. It really doesn’t make any sense at all why banks would rather take a bigger hit and foreclose than do a short sale. I’m sure there’s more than meets the eye, behind the scene explanation for this. Thanks for your honesty.

The problem is you were cavalier about the whole thing so they got punitive on you. Had you been more remorseful you could likely have been successful.

One thing I would add to anyone doing a short sale is not to expect the lender to act rationally or in their best interests. They constantly do quite the opposite. There are so many variables to getting one done properly and it truly depends upon the skill of the agent representing you and more importantly their level of experience. I have closed a couple dozen and get better each time. Beware of so-called short sale experts out there. Every time I see one advertising as such I check out their closed sales and without exception they are all highyly inflated.

The problem is you were cavalier about the whole thing so they got punitive on you. Had you been more remorseful you could likely have been successful.

One thing I would add to anyone doing a short sale is not to expect the lender to act rationally or in their best interests. They constantly do quite the opposite. There are so many variables to getting one done properly and it truly depends upon the skill of the agent representing you and more importantly their level of experience. I have closed a couple dozen and get better each time. Beware of so-called short sale experts out there. Every time I see one advertising as such I check out their closed sales and without exception they are all highyly inflated.

The problem is you were cavalier about the whole thing so they got punitive on you. Had you been more remorseful you could likely have been successful.

One thing I would add to anyone doing a short sale is not to expect the lender to act rationally or in their best interests. They constantly do quite the opposite. There are so many variables to getting one done properly and it truly depends upon the skill of the agent representing you and more importantly their level of experience. I have closed a couple dozen and get better each time. Beware of so-called short sale experts out there. Every time I see one advertising as such I check out their closed sales and without exception they are all highyly inflated.

Asset managers is stupid.

It has pretty much always been this way. If they acted rationally, they would minimize losses. They don’t. They spend enormous amounts of time (and money) in valuing assets, then make decisions which seemingly ignore that valuation, and choose an option which increases their losses. I watched it happen during the downturn in the early 80’s, again in the early 90’s, and once more during the current crash. It is systemic stupidity.

(In fairness to asset managers, it may in fact be management. I was part of the management team for the court ordered liquidation of a $250 million hard money lender portfolio in the early 90’s, and we employed some very competent asset managers that had big bank experience. They provided detailed evaulations of every asset but it was always management’s decision to pull the trigger on a deal. I have no idea what level of management pulls the trigger for big bank distressed asset departments. Whoever it is, they do a crappy job.)

Asset managers is stupid.

It has pretty much always been this way. If they acted rationally, they would minimize losses. They don’t. They spend enormous amounts of time (and money) in valuing assets, then make decisions which seemingly ignore that valuation, and choose an option which increases their losses. I watched it happen during the downturn in the early 80’s, again in the early 90’s, and once more during the current crash. It is systemic stupidity.

(In fairness to asset managers, it may in fact be management. I was part of the management team for the court ordered liquidation of a $250 million hard money lender portfolio in the early 90’s, and we employed some very competent asset managers that had big bank experience. They provided detailed evaulations of every asset but it was always management’s decision to pull the trigger on a deal. I have no idea what level of management pulls the trigger for big bank distressed asset departments. Whoever it is, they do a crappy job.)