After a recent cancellation of an offer on our San Jose Short Sale Listing; the owners of the property started asking us about why the buyers would cancel a offer on a property where they were competing bids! Here are some of the reasons our own buyers have told us about their decision to continue looking when despite having written offers on Short Sales:
1) Uncertainty: Despite the recent efforts by banks to streamline their Short Sale process there are no standard performance data available on WHEN a Short Sale might get approved. So, the delay and the unknown time limit forces buyers to continue to look for alternatives to Short Sales.
2) Number of Lenders: If there are more than 1 lender that would require a Short Sale approval, the odds are that the buyers will not stick around long enough to see the approval.
3) Property Condition: Most home owners are concerned that the owner of the Short Sale might damage the property prior to leaving the property, so they are inclined to continue looking.
4) Seller Cooperation: Some not all of the home owners who are waiting for a Short Sale approval are not in the mood to cooperate with inspection and additional visits to the property by the buyers which in turns creates more hesitation on the buyers’s mind about the suitability of their decision to purchase that specific property.
5) Buyers Remorse: Everyone of us has made a purchase where after some deliberations have all concluded that the decision was in haste and we need to back out.
Finally, there are tons of Wholesale buyers in some markets who are looking to tie up a property for a small cash from the eventual buyer and these folks are also could be the one’s who have tied up your property.
Contact Us if you have any questions about your Short Sale.