Day 28: Progressing, But Not Fast Enough

by brandt

While I don’t have anything groundbreaking to report on, we did have some news this past week concerning House #8.

The hardest part about this house has been the waiting process. There’s only so much I personally can do, and being left up to the bank’s whim and every desire is not something I’m comfortable with. Call me a control freak, call me paranoid, but I’m the type of personality who doesn’t like to put my own fate in the hands of others. I’d rather take the bull by the horns and get things done myself.

We originally put in our purchase agreement a clause that stated that after 30 days, we could walk away from everything on this house, receive our Earnest Money Deposit back in full, and have no consequences. It might seem like a drastic clause, but considering the luck we’ve had with short sales, it was something that we put in to protect ourselves. We wanted to make sure that if the seller decided to yank us a round, we would have a way out.

That hasn’t happened. As a matter of fact, the seller has been great to work with, and other than a few “misunderstandings” early on in the process, we’re progressing. The question is, how long of a progression is it going to take?

The seller is happy. They can’t get anywhere with their own short sale unless they’ve got a willing buyer. They come to an agreement with the buyer (to which the seller is receiving no money, as they are trying to get out of an existing-debt mortgage, or “short” the mortgage), and take the offer to the bank. The bank then has a special appraisal (called a BPO) that is performed, and that’s how the bank determines how much the house is worth. They can then accept our (the buyers) offer or counter, but this is all between buyer and bank now. Even if things don’t work out with the buyer (it’s too expensive, they can’t agree to terms, etc.) the seller now has a firm price that they officially know the bank will accept.

Well, our 30 days was just about up, and my agent wanted to know what we thought about moving forward. We’ve both been watching the listings pretty closely, and seeing as there wasn’t really anything within our area that was catching our eye, even to visit, we decided to amend our purchase agreement and update the clause to expire March 20th, 2011.

So what does it all mean? We’re still in the hunt. Ashley and I discussed the whole contract before we signed, and we both had the same thought: We’ve made it this far, and there’s nothing screaming at us as a better deal, so we might as well go the distance.

Hopefully we hear something soon….

 

Image courtesy of WallyG via Flickr

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4 Comments to “Day 28: Progressing, But Not Fast Enough”

  1. We purposefully didn’t look at short sales because were weren’t in our own place at the time of purchasing. It took us two months after getting in contract to close on our house. It would have been one or two more months if we went the short sale route.

    We also didn’t appreciate the banks whims and fancies. They kept requiring more and more stuff and by the end we had to provide updated items of things we had giving them in the beginning. Silly economy and banks.

  2. Hang in there! Save from hanging out at the bank everyday (doesn’t that sound fun?) there’s not much you can really do. Even hanging out at the bank probably wouldn’t help. But you’ll get one, I know it, and start breaking out the power tools within the first week!

  3. Just so you know you don’t technically even have to extend your deadline date. From what we learned the bank pretty much totally ignores that date completely. We walked away and told the bank to kick rocks and they STILL emailed us a contract once they had FINALLY come up with their decision. The wait is so hard. If you love the house stick it out!

  4. Here’s hoping you make some more progress soon! I know I was going batsh*t crazy waiting through the process on our house, and it wasn’t even a short sale.

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