Have you seen a short sale rejected just based on the financial info. Like if they're making too much money or have too many assets?

Or rejected based on something they didn't like in the hardship letter?

I wonder how closely they look at it. Seems like a lot of that is just formality.

Or maybe not?

I heard a case recently where the short sale fell through solely because the seller looked a little bit too rich on paper.

That's a tough one. I mean, in this economy a person may look like they have assets but those assets may not be easy liquidate. Even having a ton of equity in another home doesn't mean you can easily tap it any more like we used to back in tha day.

So if I have assets and tell the bank that they may either:

1) reject the short sale

2) or even worse, now have ammunition to after you after the foreclosure (actually the second could, the first probably wouldn't in CA)

Investors with multiple homes could be taking a risk by going the short sale route because of that.

But what's the alternative? Lie and say you're really broke?

I bring this up because I think many people who are well off are still holding on to their underwater properties where it doesn't make business sense anymore.

But they're afraid to short sale those houses because of credit score implications and possible deficiency judgment by the second.

Seems like a tough choice.

Do you have examples of any investors you have done short sales for that own multiple houses? I wonder how they made that decision.

But then again, most people you're dealing with probably don't have any assets to worry about. Right?

Sorry for such a long comment. Perhaps it will add some angles for discussion.