[SD Realtor]

Nesposito you have characterized the overall process very well. It is just a long haul to get through the ordeal. It is very frustrating as well with respect to lending. I actually advise people to not even bother locking in a rate until the short sale is approved by the lender. If the approval takes a long time and rates have shot up in that timeframe then that is the way it goes but by the same token, if rates do shoot up then that will put more pressure on pricing overall so maybe something better will come along.

It does help immensely if your buyers agent is savy at the process… Unfortunately though, the odds of your short sale getting through are really weighted by the listing agent of the home. Even in that arena the listing agent is at the mercy of the lender. Through the process the listing agent may get passed around to several people through loan workout, loss mitigation, and other departments at the lender. Once they reach the nirvana of the closing desk then they are home free…. It really takes ALOT of energy from the listing agent, to continue to hound the lender yet not piss them off at the same time. Meanwhile here you are Joe Buyer waiting for what generally amounts to a few months but you can and should keep looking. Again, I would not lock in a rate, just keep a wary eye on where they are at. Then if/when the offer is approved, you get that lien release letter from the short sale lender, send it to your lender and lock that darn rate in.

SD Realtor

[SD Realtor]

Nesposito you have characterized the overall process very well. It is just a long haul to get through the ordeal. It is very frustrating as well with respect to lending. I actually advise people to not even bother locking in a rate until the short sale is approved by the lender. If the approval takes a long time and rates have shot up in that timeframe then that is the way it goes but by the same token, if rates do shoot up then that will put more pressure on pricing overall so maybe something better will come along.

It does help immensely if your buyers agent is savy at the process… Unfortunately though, the odds of your short sale getting through are really weighted by the listing agent of the home. Even in that arena the listing agent is at the mercy of the lender. Through the process the listing agent may get passed around to several people through loan workout, loss mitigation, and other departments at the lender. Once they reach the nirvana of the closing desk then they are home free…. It really takes ALOT of energy from the listing agent, to continue to hound the lender yet not piss them off at the same time. Meanwhile here you are Joe Buyer waiting for what generally amounts to a few months but you can and should keep looking. Again, I would not lock in a rate, just keep a wary eye on where they are at. Then if/when the offer is approved, you get that lien release letter from the short sale lender, send it to your lender and lock that darn rate in.

SD Realtor

[SD Realtor]

Nesposito you have characterized the overall process very well. It is just a long haul to get through the ordeal. It is very frustrating as well with respect to lending. I actually advise people to not even bother locking in a rate until the short sale is approved by the lender. If the approval takes a long time and rates have shot up in that timeframe then that is the way it goes but by the same token, if rates do shoot up then that will put more pressure on pricing overall so maybe something better will come along.

It does help immensely if your buyers agent is savy at the process… Unfortunately though, the odds of your short sale getting through are really weighted by the listing agent of the home. Even in that arena the listing agent is at the mercy of the lender. Through the process the listing agent may get passed around to several people through loan workout, loss mitigation, and other departments at the lender. Once they reach the nirvana of the closing desk then they are home free…. It really takes ALOT of energy from the listing agent, to continue to hound the lender yet not piss them off at the same time. Meanwhile here you are Joe Buyer waiting for what generally amounts to a few months but you can and should keep looking. Again, I would not lock in a rate, just keep a wary eye on where they are at. Then if/when the offer is approved, you get that lien release letter from the short sale lender, send it to your lender and lock that darn rate in.

SD Realtor

[SD Realtor]

Hi Nesposito –

I have been up there alot lately for two clients. I could not agree more with the previous poster about prices dropping there over the next few years. I don’t know how far that they will drop so I will not make any bold predictions about that. All I would say is that there is so much inventory in that area that you have mentioned that it is really inevitable. From a supply/demand point of view you are really in the catbird seat if you can wait. You mentioned that you are already locked into a particular loan so that would imply you have already made an offer on a home. Is there a particular home you are thinking about or want information on.

SD Realtor

[SD Realtor]

Hi Nesposito –

I have been up there alot lately for two clients. I could not agree more with the previous poster about prices dropping there over the next few years. I don’t know how far that they will drop so I will not make any bold predictions about that. All I would say is that there is so much inventory in that area that you have mentioned that it is really inevitable. From a supply/demand point of view you are really in the catbird seat if you can wait. You mentioned that you are already locked into a particular loan so that would imply you have already made an offer on a home. Is there a particular home you are thinking about or want information on.

SD Realtor

[SD Realtor]

Hi Nesposito –

I have been up there alot lately for two clients. I could not agree more with the previous poster about prices dropping there over the next few years. I don’t know how far that they will drop so I will not make any bold predictions about that. All I would say is that there is so much inventory in that area that you have mentioned that it is really inevitable. From a supply/demand point of view you are really in the catbird seat if you can wait. You mentioned that you are already locked into a particular loan so that would imply you have already made an offer on a home. Is there a particular home you are thinking about or want information on.

SD Realtor

[SD Realtor]

Hi Nesposito –

I have been up there alot lately for two clients. I could not agree more with the previous poster about prices dropping there over the next few years. I don’t know how far that they will drop so I will not make any bold predictions about that. All I would say is that there is so much inventory in that area that you have mentioned that it is really inevitable. From a supply/demand point of view you are really in the catbird seat if you can wait. You mentioned that you are already locked into a particular loan so that would imply you have already made an offer on a home. Is there a particular home you are thinking about or want information on.

SD Realtor

[SD Realtor]

Hi Nesposito –

I have been up there alot lately for two clients. I could not agree more with the previous poster about prices dropping there over the next few years. I don’t know how far that they will drop so I will not make any bold predictions about that. All I would say is that there is so much inventory in that area that you have mentioned that it is really inevitable. From a supply/demand point of view you are really in the catbird seat if you can wait. You mentioned that you are already locked into a particular loan so that would imply you have already made an offer on a home. Is there a particular home you are thinking about or want information on.

SD Realtor

[SD Realtor]

Sorry, I didn’t mean to throw another stick on your pile. I just want you to be aware of all the facts and details. I know of more then a few people who purchased a home and told the lender it would be owner occupied only to rent it out. Saying it will be owner occupied enables them to get a better rate on the loan they are getting. I am not justifying the action, just telling you that the action happens and just to be aware of everything. Perhaps you can use this knowledge to your advantage.

SD Realtor

[SD Realtor]

Sorry, I didn’t mean to throw another stick on your pile. I just want you to be aware of all the facts and details. I know of more then a few people who purchased a home and told the lender it would be owner occupied only to rent it out. Saying it will be owner occupied enables them to get a better rate on the loan they are getting. I am not justifying the action, just telling you that the action happens and just to be aware of everything. Perhaps you can use this knowledge to your advantage.

SD Realtor

[SD Realtor]

Sorry, I didn’t mean to throw another stick on your pile. I just want you to be aware of all the facts and details. I know of more then a few people who purchased a home and told the lender it would be owner occupied only to rent it out. Saying it will be owner occupied enables them to get a better rate on the loan they are getting. I am not justifying the action, just telling you that the action happens and just to be aware of everything. Perhaps you can use this knowledge to your advantage.

SD Realtor

[SD Realtor]

Sorry, I didn’t mean to throw another stick on your pile. I just want you to be aware of all the facts and details. I know of more then a few people who purchased a home and told the lender it would be owner occupied only to rent it out. Saying it will be owner occupied enables them to get a better rate on the loan they are getting. I am not justifying the action, just telling you that the action happens and just to be aware of everything. Perhaps you can use this knowledge to your advantage.

SD Realtor

[SD Realtor]

Sorry, I didn’t mean to throw another stick on your pile. I just want you to be aware of all the facts and details. I know of more then a few people who purchased a home and told the lender it would be owner occupied only to rent it out. Saying it will be owner occupied enables them to get a better rate on the loan they are getting. I am not justifying the action, just telling you that the action happens and just to be aware of everything. Perhaps you can use this knowledge to your advantage.

SD Realtor

[SD Realtor]

Harry if you guys are negotiating the lease outside of escrow then I understand. Please understand something though, and this is really between you and your agent and the others in your transaction, what you guys are doing may be problematic depending on how your buyer documented the residential purchase agreement. If your buyer marked on the residential purchase agreement that the home was going to be owner occupied, then… well needless to say more. I am not here to lecture you or anyone else, I would just urge you to be cautious and careful. With regards to the lease, like DR said above, do it all after the close of escrow.

SD Realtor

[SD Realtor]

Harry if you guys are negotiating the lease outside of escrow then I understand. Please understand something though, and this is really between you and your agent and the others in your transaction, what you guys are doing may be problematic depending on how your buyer documented the residential purchase agreement. If your buyer marked on the residential purchase agreement that the home was going to be owner occupied, then… well needless to say more. I am not here to lecture you or anyone else, I would just urge you to be cautious and careful. With regards to the lease, like DR said above, do it all after the close of escrow.

SD Realtor

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