Short Sale Guidelines A Go Go

Hi People.
The U.S. Treasury has set some new guidelines that are supposed to go into effect by April this year. The new rules include the lender giving a thumbs up or a middle finger to the seller with in 10 days of receiving a short sale offer. According to Rismedia "The Treasury rules, in addition to imposing a 10-day deadline for bank decisions, call for sellers to receive $1,500 moving allowances—and for the sellers to not have to repay any of the debt. Also, lenders will get $1,000 to cover administrative and processing costs, while investors owning the mortgages will receive a maximum $1,000 for allowing as much as $3,000 of a short sale’s proceeds to be distributed to less senior lenders".
This all sounds good, but I've done short sales on the seller's side and on the buyer's side. The lenders are swamped! Each short sale negotiator has 100s of files. This will be very interesting to see how this is received and what the penalty will be if and when they take 11 days. I predict that the short sale departments of lending institutions will be the new employer of people going "postal".
Click on the title to read more.
God Bless.