On June 19, 2013 Fannie Mae released new guidelines that will require homes for which they guarantee the loan to be actively listed in the MLS for 5 days, including one weekend, before being considered for a standard short sale or HAFA II short sale. Servicers are being encouraged to implement this guideline now but they will be required to comply starting August 1, 2013.
You might be wondering why Fannie Mae would require a home to be actively listed for 5 days. I can speak to what I’m seeing in the Bend real estate market. At my office meeting each week we have our round table discussion where we throw out buyer needs and we plead with other agents in our office to allow us to preview a home before it gets listed. Quite often, we can put a deal together before the property gets entered into the MLS. This often makes the seller happy because they don’t have to deal with numerous showings and the buyer doesn’t have to compete with other buyers. As long as the buyer and seller can agree on price and terms, everyone is happy. Well, Fannie Mae disagrees. Perhaps there was a buyer, or multiple buyers, that would have paid more for the house, but those buyers were not given the opportunity to make an offer. Fannie Mae is trying to ensure that the highest and best offer is being submitted.
Here’s a link to the Fannie Mae Servicing Guide Announcement if you’re interested in reading the whole thing.