Many Stay at Home for Free as Banks Defer Evictions | RISMedia

Deferred evictions mean some owners who are underwater or severely behind on their payments continue to occupy their homes without being ousted.  This is much more of a problem in areas more troubled than the South Bay, but we've seen it happen here too. 

But some short sales in the area display this same behavior - - somehow, the offers that come in never seem to get approved.  In some cases, the short sale is just a sham, giving the homeowner the opportunity to tell their lender that the home is listed for sale when in fact they have no intention of moving out!

The meaning of all this is
buyer, buyer's agent, and listing agent beware of the short seller that actually has no intention of accepting an offer or moving out.  These aren't real listings, and won't be until the bank catches on and forces a trust sale or foreclosure. 

How can you tell the difference?  Speak with the bank and determine whether the home has been approved for short sale in the first place, and on what terms.  Absent this, you may find yourself waiting hopefully but unadvisedly for something that's never going to happen! - David