"Why would it take 14 days to get a response and is it worth submitting a lower offer? "

Banks HATE to lose money.

Really, really hate it.

A short sale mans they are losing money.

They most often have some type of 'committee' set up to review and sign off on loses, absolving any single person of being THE person that lost the money.

Each committee member must review and initial the offer before it can be 'accepted.'

If the bank is the agent for the note owner (very common with 'servicer' type arrangements), that alone adds some delay.

Only the owner of the note can agree to the short sale.

I have always used an attorney to make offers on short sales and REO.
The banks seem to respond better (faster) to them, and listen when comparables are offered to justify the offer price tendered.

If you are on a tight schedule, steer clear.

Jane,
Just offer what you have come up with as a fair market value. They either will accept, decline, or counter. Never believe a seller when they say the offer price is their best price.

I think ncrealestateguy is right about that. I've seen several short sale/foreclosure listings that stated right on the listing page that no offer would be considered if it was less than the list price, but when those properties finally sold, they were all for less than that.

Thanks for the thorough information. Brickeye, your explanation makes sense. I have yet to understand how these things work.

At the open house, there were a number of people looking at the house. I heard the listing agent explain that the bank will not accept any offers below their accepted price. The LA said, 'the price is what it is and that is what you must offer.' We were told we can't submit a lower offer.

Jane

"We were told we can't submit a lower offer. "

Report any RE agent that refuses to write up a lower offer.

They can lose their license.

""We were told we can't submit a lower offer. "
Report any RE agent that refuses to write up a lower offer.

They can lose their license."

Not if so instructed by their client!

Just to clarify, your agent must help submit an offer for whatever price you want. The listing agent is under no obligation to help you write up a contract but is required to pass along any offer you submit. The bank can chose to toss the offer in the garbage or act on it.

Jayne, I have come across this a few times. The bank "has approved" the short sale for a specified price. This means you dont have to go thru the 4 to 6 month process if you offer the current "approved price". If you choose to submit an offer other than the "approved price", you would have to start the process all over again.

Exactly what Linda says...
Just make an offer and be done with it.

"Just make an offer and be done with it."

And make it expire in a reasonable time so they cannot just sit on it or shop it.

While you can always withdraw an offer that has not been accepted, you can eliminate this step by making an offer expire automatically.
If the bank is seriously considering the offer it can always be extended.

EBay Comparison -
Buy It Now at x - immediate sale as long as you have financing.

You can bid lower but the bank probably will sit on it until they get asking price. If the unit is empty it makes no sense to me why they don't take it but the logic of banks doesn't match that of common sense at times.

Unfortunately with short sales the bank typically takes so long a buyer loses interest or goes elsewhere.