Post # 1
Anyone here bought a foreclosed home through Fannie Mae? Fiance and I put an offer on a house last Tuesday (a full week today), and we haven’t heard ANYTHING from the bank. ZIP. We know (through the listing agent) that there have been no other offers and that it’s just waiting to be approved, countered, or declined. We offered OVER the asking price and didn’t ask for any closing costs or anything like that. Someone please tell me something encouraging because I can just feel my hair turning grey over this…
Post # 4
I don’t have any experience with this but I do know some people who have or have tried to buy foreclosed houses. Some of them eventually decided to walk away because the process was taking too long.
On the other hand, my brother-in-law put a bid on a foreclosed place in mid-January and they finalized negotiations on Friday, with a closing date of March 16.
If you really love the place, wait it out. I’m sure you’ll hear good news eventually.
Post # 5
Buying a foreclosed or short sale home can take a really long time. Also, all sorts of stuff is going on with Fannie Mae and goverment regulators right now (due to their ilegal actions during the housing meltdown), so god knows what all has them distracted. Mortgage companies are notorious for taking their sweet time, and for the process being completely illogical.
Post # 6
only a week? It took us 60 days despite a guaranteed response in 45 days on an offer. You need a lot of patience buying short sales or foreclosures.
Post # 7
@LizLemon: My friend waited…. wait for it… SIX MONTHS for an answer from the bank on a short sale property they put an offer on. Banks move at a sloth rate. Good luck!
Post # 8
@lefeymw: Well, the realtor said in the vast majority of their dealings, they hear back in less than 48 hours. It’s not a short sale, it’s an REO. We’re in the “First Look” period with Fannie Mae, meaning owner occupants only are allowed to place offers (not investors) for the first 15 days. This period ends in two days, and I guess why I’m so antsy is because I will be perturbed if the property goes to an investor despite us being “protected” by this period. That would suck.
Post # 9
@LizLemon: Any time the bank is the decision maker in short sales and foreclosures you typically should be prepared to wait.
Post # 11
@LizLemon: The govt owned foreclosure that my friend purchased had a a window of time where offers were accepted for review, and then the govt agency (can’t remember if it was fannie mae or not) would choose the highest acceptable offer, but only after that time period was closed. Bottom line was that they didn’t want to accept an offer when someone might still be willing to put in a higher one. It sounds like you might be in that period now. But if your offer isn’t as high as they want to see, they might possibly open it up to investors.
Haven’t dealt with a foreclosure myself, but did go through a very long short sale. Bank approvals and govt approvals can both take a long time. Sometimes you get lucky, but it’s definitely a ‘plan for the worst, hope for the best’ situation. Best of luck.
Post # 12
We bought one that was part of their home path and ours got acepted the next day and we offred asking and got our clossing costs covered. Not sure why it is taking so long.
Post # 13
@LizLemon: I have to disagree with what some of the PP’s are saying. A short sale can take years if they bank lets it, but your realtor was right regarding a foreclosure. Usually, the process is much shorter and answers come back within a week. I’ve bought a couple in the past (one from fannie) and never waited more than 5 days.
Post # 14
@mwitter80: Noo all are like that. My dad just bought one (foreclosure) and it took 2 YEARS for them to respond. He just waited patiently. He now has a dream home on an island at 50% the value.
Post # 15
I think it depends on the agency that the bank is using. We put in an offer through Homepath yesterday and were told today there were multiple offers and to give a “highest and best”. We will be re-submitting tomorrow and hope to hear back by the end of the week.
A couple years ago I put in an offer on a foreclosure that went through an agency, and the agent waited until there were several offers (5-10) before even submitting to the bank.Then it took another week or two to hear back from the bank.
Hang in there, every experience is different, but from what I understand, foreclosures can take a while!
Post # 16
I’ll let y’all know as soon as something happens!