Prompt Decision for Qualification of Short Sale Act of 2010 | At last, a bill to pass a LAW to expedite short sales!

[Account Closed]

Have you heard?! Bill H.R. 6133 has been introduced to congress to force servicers/lenders to move quickly to approve short sales in 45 days! Finally, a true push to move this housing market forward!

Prompt Decision for Qualification of Short Sale Act of 2010

Here is the link to the government's bill's website:

http://thomas.loc.gov/cgi-bin/query/z?c111:H.R.6133.IH: :mrgreen: :mrgreen:

[Bryan Hancock]

I'm too lazy to read the bill. Can you give us the highlights?

[Bryan Hancock]

Yeah?

What does respond do for ya? Can they just send a letter to them saying they are reviewing it? What is forcing them to end this stupid extend and pretend nonsense?

[Bryan Hancock]

I'll believe it when I see it. There will likely be all sorts of lawsuits over the thing if it passes. How can you legislate someone into hiring tons of employees to make such a law workable? I guess it wouldn't be the first time the gov-mint screwed something up by interfering in the private sector's business.

Do you see this as a net positive? This should force a ton of inventory on the market all at once if it really passes, is enforced, and works.

[Jason Wheeler]

There are currently a lot of things the government is requiring the banks to do that they still are not doing. Don't get your hopes up for this to be enforced anytime soon...

[Bryan Hancock]

Who knows...I definitely don't see the banks rolling over and hiring tons of people to live up to the law. I see them finding language in the law that allows them to "respond" or make a decision without making a decision.

People are expensive and hiring tons of them all at once will still necessitate training and some ramp-up time.

[Jeff NA]

Originally posted by Arnold Camps:
Making it a law for lenders/servicers to have an answer in 45 days...

Kind of like the law that says we can only drive 65 mph on the highway? That's being strictly adhered to, correct?

Sounds like two birds, at best, in the bush. I'm with Bryan. No reason to get excited when "respond" will be defined by the banks as a letter saying the case is under review and that you should expect an answer in 30 days. Which, of course, might be defined as 4 months.

[Matt Mathews]

If the Politicians who come up with all these laws would just once walk in the shoes of the people in the trenches for a while, they would know that putting a time date certain on approving short sales is impossible. It starts with the seller submitting a financial statement, letter of hardship, and a complete short sale package. Right there is where 90% of the problem lies. Then you have, the BPO, Appraisal, Mortgage servicing agent, The Investor holding the note, The Insurance Company, insuring the mortgage, maybe 2nd lien holder, finally the underwriter to make sure the package is complete and everyone involved is on the same page and approves. Oh yea, what kind of short sale is it? One in foreclosure going to auction, or one upside down without a hardship case. 45 Days?? What a Joke!!

[Jimmy C.]

Did this bill make it anywhwere? If so I would be willing to read the thing just to know what it will do.

But there is no use reading if its not going to pass. I'm too busy reading everything else about short sales in order to start doing them.

[Nick Reuter]

I have to say I agree with the above. All that does is limit the time on one portion "approval" of the short sale process. The rest of it can still take a looonnnnggg time. So do everything in your power to minimize those times by putting together compelling, ironclad documentation.