Closed a West Sacramento Short Sale With 2 Loans
One of the common questions I hear from buyer’s agents when calling about a short sale is they want to know how many loans are secured to the property. I don’t know why they ask this information because a) they don’t know what to do with the answer, and b) it is also online, if the agent would just click on the APN link in the MLS listing. I suspect they ask that question because they read it somewhere or heard in a short sale class that they should ask that question. They also might be misinformed about what happens in a short sale with 2 loans. The think it’s troublesome, for some reason.
The problem with handing out that information is some agents will mistakenly advise their buyers not to write an offer on a short sale with 2 loans. They do this because they don’t understand how short sales work, and have heard that junior loans can be a problem. Sometimes junior loans are a problem but certainly not all of the time.
I just closed a West Sacramento short sale with 2 loans. Like most short sales these days, it takes about 90 days to get approval and another 30 days to close. The first lender was Nationstar. I’ve also heard agents say they would not do a short sale with Nationstar. See, that’s the problem with blanket assumptions. They are not true. In fact, I have never had a problem with Nationstar and this Sacramento short sale agent has close hundreds of short sales. Maybe I’ve been lucky, and maybe my day will come, but the proof is in the pudding, as my mother used to say. I don’t know what that means, btw. What exactly is in the pudding?
In any case, this West Sacramento short sale also had a second loan with Webster Bank. No problem, there, either. We opened escrow on February 14th and received a counter offer on March 20th. Met the terms of the counter and received short sale approval on May 20th. Closed less than 30 days later.
So, please don’t avoid a short sale with Nationstar or even a short sale with two loans. Now, a hard-money second loan, well, that’s another story for another time. That success depends on several factors; also NOT impossible.