Health Dept recommends Short Sale Innoculations

In the past thirty days, April 7 to Kentucky Derby Day of 2011, Las Vegas has closed 3074 single family homes. Of those, 744 or 24% were short sales. As a result some will say short sales are becoming a more significant portion of the market.
Yes, I admit that is true, if wearing two dead albatrosses around your neck is twice as much fun as wearing one.
The important facts for Realtors are that of 12,370 short sales during the time period 6754 were in escrow and only 5616 were available for sale. That gives you a closing ratio (744 out of 6754) of 11%, meaning only one in ten short sales in escrow in any given month actually close and MORE THAN half (6754 of 12370) of all short sales are perpetually in escrow. The descriptive word here also describes drinking soda though a straw.
For real transactions – bank-owned, flips and traditional – the same closing ratio is 78%. Of 9947 non-short sale single family homes on MLS in the same period, 6017 were available for sale and only 3930 were in escrow because they close!
Why is the short sale record so bad?
First of all, the banks have your best interests at heart. Second, of those few that closed, my experience suggests that most short sales have run through more than one buyer, perhaps several more. Ever hear of an agent who, once his client has a back up plan (short sale in contract) with a contingency (bank approval) that will NOT be removed for months, goes out and gets a real transaction?
What about Education … and Lawyers:
Well, haven’t they been offering SS classes ever since the crash? Haven’t attorneys chased the SS ambulance right into REALTOR® sales meetings? And haven’t the short sale stats tremendously improved since 2009 as a result? (no) Can results from the short sale training and results achieved by SS attorneys be confused with what comes out of the south end of a northbound bull? (yes)
Conclusion:
Save your money. Save your time. Short sales as they currently exist should be illegal.
Best wishes.