Realtors stressed over dealing with lenders on short sales, as well as distressed homeowners looking for a way out of their mortgage that doesn’t involve foreclosure, may find relief is on the way from a new bill introduced in the U.S. House. The new legislation would impose a deadline on lenders to respond to short sale requests, requiring them to return an answer to the borrower within 45 days. I’ve heard that, as well as seen, a couple potential homebuyers walk away from purchasing short sale property because the lender has taken many months without any response.
The idea behind the bill is a good one. Let’s hope that it does not force lenders to deny a larger percentage of short sales just because they are backed up and do not have the workforce to handle the load.
If you want to keep an eye on this bill here’s more info; Prompt Decision for Qualification of Short Sale Act of 2010 (H.R. 6133), is sponsored by Reps. Robert Andrews (D-New Jersey) and Tom Rooney (R-Florida).