Short Sale process is better, faster, easier

The short sale process, while still difficult, is becoming a little less frustrating, according to a Lender Satisfaction Survey conducted by the California Association of Realtors(C.A.R.). The trade organization reported 64 percent of California Realtors expressed difficulty in closing short sales, an improvement from 77 percent in August 2011 and 70 percent in 2010.

However, the more significant improvement was the drop in Realtors who described the short sale process as “extremely difficult.” More than half (56 percent) of the Realtors surveyed in 2011 said the process was “extremely difficult” compared to about a third (34 percent) in 2012.

Both qualifying and completing the process has improved. Some short sales do not even need any financial verification to close. It is a stated short sale – just like a stated loan was.

My only assumption is that the banks have realized that if a foreclosure is inevitable then the cost of a short sale is less and has a reduced impact on the overall market.