Comments on: Why you shouldn’t expect banks to make logical decisions on short sales and foreclosures http://www.chicagometroarearealestate.com/why-you-shouldnt-expect-banks-to-make-logical-decisions-on-short-sales-and-foreclosures/ by Downtown Chicago Realtor, Fran Bailey & Lakeview - Lincoln Park Realtor, Mary Kaye Buettgen Sun, 05 Feb 2012 12:49:47 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Susan http://www.chicagometroarearealestate.com/why-you-shouldnt-expect-banks-to-make-logical-decisions-on-short-sales-and-foreclosures/comment-page-1/#comment-174794 Susan Wed, 11 Nov 2009 23:33:55 +0000 http://www.chicagometroarearealestate.com/?p=2320#comment-174794 It's amazing that so many short sales fall through. I found it best to look for REOs. It’s amazing that so many short sales fall through. I found it best to look for REOs.

]]> By: Tony http://www.chicagometroarearealestate.com/why-you-shouldnt-expect-banks-to-make-logical-decisions-on-short-sales-and-foreclosures/comment-page-1/#comment-174614 Tony Thu, 05 Nov 2009 18:44:25 +0000 http://www.chicagometroarearealestate.com/?p=2320#comment-174614 But people use to say that Short sale is a good thing... That is a way to run away from foreclosures. Isn't the point? Why some people here talk to avoid it? But people use to say that Short sale is a good thing… That is a way to run away from foreclosures. Isn’t the point? Why some people here talk to avoid it?

]]> By: The Difference Between Short Sale and Foreclosed Properties | The Chicago 77 http://www.chicagometroarearealestate.com/why-you-shouldnt-expect-banks-to-make-logical-decisions-on-short-sales-and-foreclosures/comment-page-1/#comment-174612 The Difference Between Short Sale and Foreclosed Properties | The Chicago 77 Thu, 05 Nov 2009 17:02:42 +0000 http://www.chicagometroarearealestate.com/?p=2320#comment-174612 [...] The bank will often wait on signing off on the agreement until they receive more than one [...] [...] The bank will often wait on signing off on the agreement until they receive more than one [...]

]]> By: Fran Bailey http://www.chicagometroarearealestate.com/why-you-shouldnt-expect-banks-to-make-logical-decisions-on-short-sales-and-foreclosures/comment-page-1/#comment-174611 Fran Bailey Thu, 05 Nov 2009 16:04:23 +0000 http://www.chicagometroarearealestate.com/?p=2320#comment-174611 Marie & Andrew, you both bring up excellent points! There may be benefits from an accounting/tax standpoint. I also agree that selling several foreclosures or REOs (Real Estate Owned by a lender) as a group may involve less costs. However, since the short sale my buyer wants was essentially "sold", most of the work involved in that sale was already done. They just needed to approve the short sale and close it. It will be interesting to see when and how the bank decides to sell this REO. When I find out, I'll let you know! Marie & Andrew, you both bring up excellent points! There may be benefits from an accounting/tax standpoint. I also agree that selling several foreclosures or REOs (Real Estate Owned by a lender) as a group may involve less costs. However, since the short sale my buyer wants was essentially “sold”, most of the work involved in that sale was already done. They just needed to approve the short sale and close it. It will be interesting to see when and how the bank decides to sell this REO. When I find out, I’ll let you know!

]]> By: Andrew Wilson http://www.chicagometroarearealestate.com/why-you-shouldnt-expect-banks-to-make-logical-decisions-on-short-sales-and-foreclosures/comment-page-1/#comment-174584 Andrew Wilson Thu, 05 Nov 2009 04:10:20 +0000 http://www.chicagometroarearealestate.com/?p=2320#comment-174584 I am not a banker, but I can posit that many banks are doing everything possible to delay writing down the value of their assets. While taking a a greater loss by foreclosing, they may actually be helping themselves by getting to the next quarter before realizing the loss on the balance sheet. What makes absolutely NO sense for an individual can make sense for a large portfolio. I avoid short sales all together. Stick to REO to avoid maximum hassle and illogic. What say others? Andy http://www.1016architecture.com I am not a banker, but I can posit that many banks are doing everything possible to delay writing down the value of their assets. While taking a a greater loss by foreclosing, they may actually be helping themselves by getting to the next quarter before realizing the loss on the balance sheet.
What makes absolutely NO sense for an individual can make sense for a large portfolio.
I avoid short sales all together. Stick to REO to avoid maximum hassle and illogic.

What say others?

Andy
http://www.1016architecture.com

]]> By: Marie Twain http://www.chicagometroarearealestate.com/why-you-shouldnt-expect-banks-to-make-logical-decisions-on-short-sales-and-foreclosures/comment-page-1/#comment-174583 Marie Twain Thu, 05 Nov 2009 02:09:23 +0000 http://www.chicagometroarearealestate.com/?p=2320#comment-174583 See that's why I wonder about the whole minimizing losses thing. It makes me wonder if they're not looking at it in a macro level: why worry about getting these homes off the books one at a time if they can be unloaded several at a time? Either by auctioning them off in lots to investors or just auctioning several individually, but on the same day? I've even thought that perhaps they'd go to some real estate company for an exclusive brokerage deal where they might be able to negotiate discounted commissions or some sort of kick back. Why go about things piece-meal if you don't have to? Especially when you're a giant corporation and all that matters is the bottom line? It's assembly line house-unloading. Short-term you may have to pay more, but it costs you less in the long-term because you don't have to worry about managing a long process. See that’s why I wonder about the whole minimizing losses thing. It makes me wonder if they’re not looking at it in a macro level: why worry about getting these homes off the books one at a time if they can be unloaded several at a time? Either by auctioning them off in lots to investors or just auctioning several individually, but on the same day? I’ve even thought that perhaps they’d go to some real estate company for an exclusive brokerage deal where they might be able to negotiate discounted commissions or some sort of kick back. Why go about things piece-meal if you don’t have to? Especially when you’re a giant corporation and all that matters is the bottom line? It’s assembly line house-unloading. Short-term you may have to pay more, but it costs you less in the long-term because you don’t have to worry about managing a long process.

]]> By: Gary Strum http://www.chicagometroarearealestate.com/why-you-shouldnt-expect-banks-to-make-logical-decisions-on-short-sales-and-foreclosures/comment-page-1/#comment-174577 Gary Strum Wed, 04 Nov 2009 19:18:50 +0000 http://www.chicagometroarearealestate.com/?p=2320#comment-174577 There were multiple offers? Who turns down multiple offer bids? CRAZY!!! There were multiple offers? Who turns down multiple offer bids? CRAZY!!!

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