Two last notes from the proposed changes to the short sale process:
1) The program doesn’t take effect until April 5, though servicers may implement it before then it they meet certain requirements (what they are, I haven’t seen.)
2) The program is an opt-in … and that causes a little concern as I wonder if there’s enough incentive for lenders to participate.
All the statistics indicate homes sell for more money as short sales than as REOs … it’s not even close. Yet the lenders continue to opt for the foreclosures while leaving everyone twisting in the wind on short sales. Logic isn’t their collective strong suit.
Incidentally, this whole program doesn’t apply for loans guaranteed by Fannie Mae or Freddie Mac … that’s about half the loans outstanding in America. Those are going to continue on the current program, which can be measured only by a perpetual calendar.[tags]Phoenix real estate[/tags]