From HW:
A new Senate bill aims to speed up the short-sale process by requiring mortgage lenders or servicers to respond within a mandated timeline or face potential fines.
The bill, introduced late last week by Sen. Lisa Murkowski, R-Alaska, gives the servicer 75 days to reply to a homeowner’s written request, which must include a copy of a contract with a prospective buyer.
The servicer would have to answer with an approval, denial or request to extend the response period up to 21 days. The companies could also approve the short sale subject to certain changes.
Homeowners would receive $1,000 each time the lender or servicer fails to respond, along with other “appropriate relief,” according to the requirements of the bill.
“What we have here is a failure to communicate,” Murkowski said in a statement. “Why don’t we make it easier for Americans trying to participate in the housing market, regardless of whether the answer is ‘yes,’ ‘no’ or ‘maybe?'”
Moe Veissi, president of the National Association of Realtors, said real estate agents support “any effort to improve the process for approving short sales.”
The bill, co-sponsored by Sens. Scott Brown, R-Mass., and Sherrod Brown, D-Ohio, was referred to the Senate Banking Committee. Legislators introduced at least six bills related to short sales in 2011. None made it beyond the committee level.
One introduced by Rep. Thomas Rooney, R-Fla., would automatically approve a short sale, unless a lender or servicer responds within a 45-day window. The bill, H.R. 1498, holds limited bipartisian support in the House.
Our bid was sent to the bank on December 13th…still waiting.
Gee, I don’t want to hear that. I’m hoping ours is quick.
We are Day 40 right now.
I think I am the rare case where I couldn’t care less how long it takes for the bank to respond (sorry Jim).
In the meantime, I keep paying down the CC bill and saving whatever money is left over.
Enforcement would assume there is a justice department operating in the US and laws are being enforced.
Good Luck with that.
Sen. Lisa Murkowski, R-Alaska, I notice a vague resemblance to Funny Yunny there…
Today is our 90th day and was told it would be at least another two weeks before we here back from them. We were prequalified before even looking. So told number of days we might be able to move in will be around 150 days.
This bill is a joke – give the free-renting homeowners $1,000?
They need to furnish their financials to get approved, so if they just sit on their hands they will be getting more free-rent and $1,000?
I’m sorry, you assume facts not in evidence, there, Jim. Let’s say I need to sell my underwater house. Maybe I’m making the payments but it’s hurting me because I lost my job or got divorced. Who knows. Banks need to be incitivized to act. Because you can’t “deem approval” to sell a piece of real preoprty. That’s never going to fly. But, fining them $1,000 makes some sense as it will get their attention.
I think we just want an answer…Yes or No on the offer…that’s all so we can move on or counter offer.
You don’t see my clients complaining.
Those of you who enjoy bubbleinfo but use another realtor should expect differences.
I wish you wouldn’t comment here, because for those readers who might think it’s me who is providing your realtor service, they might think that JtR’s not getting it done.
Frankly, you shouldn’t read bubbleinfo, because this is for my clients – both current and potential. You should read your realtor’s blog – that way there won’t be any conflict.