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Permalink Reply by Short Sale Superstars LLC on December 13, 2012 at 2:03pm

Karen,

When are you set to close? HUD approval is submitted typically around 72 hours prior to closing. HUD approval should typically take 24-48 hours. Is the seller moving out prior or after closing? This seems like some information you should be aware of.

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Permalink Reply by Karen Booker on December 13, 2012 at 3:02pm

Hi Brett,

The seller moved out over a year ago. I guess she wanted to buy before her credit got bad.

I was told we can not schedule closing until HUD was approved.

It seems like I am not getting the full story.  What specific questions should I ask my agent?

Thanks for your help.

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Permalink Reply by Short Sale Superstars LLC on December 13, 2012 at 4:16pm

When you say Bank Of America accepted your offer do you mean you have received an approval? Since the borrowers loan was FHA this short sale was processed through the Pre Foreclosure Sale Program. 5 days prior to closing a Final Estimated HUD is submitted for HUD approval. This is when the lender reviews the HUD and either gives them the green or red light to close. When you submit for HUD approval there is already a closing date in mind.   

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Permalink Reply by Karen Booker on December 14, 2012 at 2:56am

Brett,

Thank you so much for your help. I am so frustrated and confused. And it feels nice to know some one cares.

This is what the attorney for the seller told me on Nov 27........"Basically the negotiator has to submit to their quality control department for final review. This can take approximately a week to get back. Once they send their approval, I will get contract approval to proceed to closing. Then, we have to get all final figures (final utility readings, etc) and I need a final HUD from the title company 5 business days before we can close. Once I submit the final HUD to the negotiator, she will send final approval to close and fund the loan"

And this last Weds morning, Dec 12 my agent told me that HUD has it for final approval.

Brett, what do you think is going on and when do you think we can close?

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Permalink Reply by Short Sale Superstars LLC on December 14, 2012 at 5:00am

Karen,

        Your offer was submitted to Quality Control for final audit prior to being reviewed for approval. This means if you are not approved yet, but you should know if you are approved shortly. Are you a cash buyer or financed? As soon as you have the approval you can move forward with closing. Roughly 5 days prior to closing a HUD will be submitted for the green light from the bank to fund the transaction and close.

Simply put you are waiting for a decision on an approval letter. Once you have that you can begin closing. Depending on if you are cash or financed will determine how fast you can close the transaction.

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Permalink Reply by Karen Booker on December 14, 2012 at 5:05am

Brett,

Thanks again for your response. I am financing.  

My offer was submitted to Quality Control on Nov 28.  Do you have any idea when I can expect a response?? How long does it usually take?

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Permalink Reply by Short Sale Superstars LLC on December 14, 2012 at 5:11am

Response may vary, but if it was submitted on Nov 28 you should be expecting a answer any time now. Depending on the type of loan you are getting and how smoothly the closing process goes you should be able to close in a estimated time frame of 30 days. Could be more, could be less.

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Permalink Reply by Karen Booker on December 14, 2012 at 5:29am

Brett, Thank you so much for your help.  I am financing, going VA.  My lender is ready to close. 

I really appreciate the time you took to respond when no one else seems to care.

Happy Holidays!

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