Survey finds problems linger with short sales

With a large number of distressed Houston properties on the market, a number of potential buyers may be looking at local short sales. However, a recent survey says those looking at short sales should be prepared to be patient.

A poll of members of the California Association of Realtors found that almost two thirds of agents said that it generally took longer than 60 days for banks to respond to short sale offers by buyers.

In addition, less than 60 percent of those offers ending up actually resulting in a sale, which may create frustration for potential buyers and drive them away from a sale.

"It's disappointing that less than three in five short sales close, despite every effort by the Realtor, home seller and potential home buyer," said CAR president Beth L. Peerce. "The survey results show that the short sale system is clearly flawed."

However, those who wait out the process may end up with a very reasonably priced property. A report last summer by RealtyTrac found that while actual discounts vary widely by region, the average discount on short sales was more than 30 percent.