""Loan Resolution Corporation"":http://www.LoanResolution.com said Wednesday that it is implementing a pre-approved short sale program to help the 8 million homeowners who are currently delinquent[IMAGE]on their mortgages. The company says its streamlined process can turn a short sale decision within 48 hours.
Loan Resolution Corporation is headquartered in Arizona, where elevated foreclosure numbers continue to strangle local housing markets and state lawmakers are considering legislation that would require real estate agents to complete at least 15 hours of continuing education to learn the short sale process.
""Pre-approved short sales will revolutionize the industry,"" said Travis Hamel Olsen, Loan Resolution Corporation's COO. ""Instead of homeowners and real estate agents waiting two to four months to receive a decision on a short sale, they could get one within 48 hours.""[COLUMN_BREAK]
In February, Standard & Poor's estimated a ""33-month overhang of shadow inventory"":http://dsnews.comarticles/sp-estimates-three-year-overhang-of-shadow-inventory-2010-02-16 Ã¢â‚¬" a hidden supply of REOs and pending foreclosures worth more than $400 billion. Standard & Poor's called its estimate ""conservative"" and warned that this growing cloud of shadow properties is a severe threat to a housing recovery and could wipe out any near-term gains in home prices.
""This gigantic shadow inventory is only the tip of the iceberg,"" Olsen said. ""Every month, an additional 250,000 homeowners become delinquent and home values continue to drop across the country. With this many people needing to sell their underwater property, 2010 is the year of the short sale.""
Olsen says short sales are one of the most viable tactics for keeping the foreclosure inventory under control. ""The government and big lenders are realizing that the best way to move billions of dollars worth of real estate is through short sales,"" he said.
With 80 full-time employees, Loan Resolution Corporation says it is one of the few national companies with the capacity, technology, and security systems in place to complete end-to-end short sales. To manage its 48-hour pre-approved short sale program, the company has significantly increased staff and become SAS 70 Type II-certified to ensure that information is kept secure.