In my short sale saga in Hernando County Florida, one of the foreclosure rich areas of the country, the portended buyer's credit status changed over the six months it took to come to a closing date. The close is slated for May 27 2009, only ten days from now.
The latest buyer, who has a pre-qualification letter from their bank, cannot close by that date because it is a FHA type loan. In addition without a letter of loan commitment or letter of loan approval the entire process could be scrapped due to any glitch in the customer's credit worthiness without the latter two documents.
Naturally, the owner of the short sale home, the attorney, the selling agent, the prospective buyer and me the listing agent are feeling the heat and the pressure of the close date.
What can you learn from my experience? Avoid short sales, and stick with straight sales or nice bank owned homes.
