Apparently there is a bill circulating that would demand that banks give an answer to a short sale offer in 75 days. (read full article)They could be granted one 21 day extension.  It would be a step in the right direction.  The banks and primarily the government (Fannie Mae and Freddie Mac) need to stop laying blame and start making a business decision to stop the foreclosures.  Foreclosures are no good to anyone, everyone involved loses and there is a much better solution.  Allow the borrower to short sale their home for market value or reduce their principals to market value. This stops foreclosures allowing the market to stabilize and start to appreciate.  The banks start getting more and more for the short sales, less homes need to be sold or adjusted because owners now see the light and banks make more money because no legal fees are needed and a short sale brings more money than a foreclosure.  Why can’t they see that this will work?  Please anyone tell me(comment) why this wouldn’t work?