Is a short sale harder once during the NOD phase? I usually get them when they are about to miss the first house payment.

It all depends on the lender,which lienholder is foreclosing,etc.

Generally they will give an extension if it hasn't been listed before to give the subject time to sell.

I have gotten a listing 1 week before foreclosure and got an extension and closed it-harder but possible.

Hi Cool Guy,

A lot of lenders like IndyMac Bank and CountryWide (although they've adopted a similar program to HOPE) won't negotiate until a NOD is recorded. It makes no sense, but urgency takes a priority place in line. I can't tell you how many times I see short sales price above or at market value. Draw the offers in by lowering the listing price at REO sales data to generate the offer and you'll get a response by both prospective buyers and the lender. The angle you take to the lender or record is that the "end cost" is less than enlisting a trustee service to initiate the foreclosure process. You have to push!

Hal, perfectly stated! I am a pro at these short sales and that was the exact advice I was going to give the original poster too.

You are one of the first people I have heard other than me complain about these 2 banks in the same sentence. Countrywide and Indymac are the absolute worst when dealing with the short sale process! If you have seen some of my previous posts around the board, you will understand my opinion.

Len, I have to admit a little secret; I was one of those bad guys years ago. Fresh out of law school, I worked for a couple of notorious finance companies where the policy was to increase the bottom line. If we could stall a payoff or stall a short pay, it translated to bottom line profit due to added daily interest. The practice increased revenue and would produce cancellations of payoffs or short pays. Sad, but it happened and I'm sure it still does. This is why a shock to the system is best in the cases of short sales, but a change is on the horizon.

I see short sales coming to a screeching halt with the talk of new legislation forcing banks to renegotiate their existing contracts and even waiving balances which simulate the H4H program. Days are limited soon.

I have a daughter wishing to purchase her moms house with a Countrywide loan at under market value. Loan balance is somewhat low. Mom is 3 months behind in payment, but no NOD has been filed becasue of California moratorium. I am considering suggesting they do a Quick Deed and start paying the Countrywide payments to avoid NOD. Do you think Countrywide would be willing to arrange payments for back payments if they are paying curent and the daugher is now on the title?

I have stopped them 24 hours before auction. We negotiate them all the time with a 90% success rate after NOD is filed, that is how we located them.

It depends on, sometmes it is just a good luck.