2013 - Discounts on Short Sales Anymore?

Question

It is true that most buyers now a days post year 2013 are not able to get the banks to approve short sales at a discount anymore.

I heard now, the bank is countering back pretty much at market value, is that the case for you guys?

Are you still able to get banks to approve short sales for a discount? 
If so, at what price range and how much of a discount compared to market value?

Angel Perez · Answer

I've been told the same thing that J  Scott stated. I have also been told you can get them to accept about 10% less than whatever the BPO comes in at.

Bruce L. · Answer

There are no inventory in Vegas, just about everything that comes up for under $120K, SFR comes on the MLS already under contract to a cash buyer that I'm sure the realtor already lined up ahead of time.

A lot of realtors to listing it really low, like 70% of market value, but I heard the banks will counter back to market value.

J Scott · Answer

Exactly...10-12% off BPO is pretty standard for Fannie Mae and the other big banks.  If the house has been listed for more than 30-60 days, some banks will drop their requirements to about 80% of BPO.

J Scott · Answer

We're still getting good deals on short sales, but that's because we don't mind paying "market value" or close to it.  Now, when I say market value, though, I don't mean ARV -- I mean the value of the distressed property as compared to similar distressed properties that have sold in the same area.  Most likely I've purchased other distressed properties in the area, and the short sales are comping with those other properties.  If they were good deals for me, the short sale at the same price will likely be a good deal as well.

2013 - Discounts on Short Sales Anymore?

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