Bank of America is striving to make the short sales process more efficient with a stated goal of dramatically increasing the number of these pre-foreclosure transactions this year.
Short sales are a "big focus for us," the head of B of A REO operations Hattie Sharp told a meeting of Hispanic Realtors recently. "We want to double our production from 2011.”
The nation's second largest residential servicer completed 107,000 short sales in 2011, up from 92,000 the prior year.
In a short sale the bank gives the delinquent borrower an opportunity to sell the property before it's scheduled for a foreclosure sale. However, these transactions are cumbersome and can take many months to complete.
"Everyone in the industry I know is really focused on how to fix this problem," Sharp said, so it doesn't take six months to get to closing.
She also noted that it is important to work with delinquent homeowners early in the process so they know their options and choose the best option -- whether it is a short sale, deed for lease, or deed in lieu.
Sharp made her comments at a National Association of Hispanic Real Estate Professionals conference in Washington.
