| The term "Short Sale" is used as a teaser by real | | | | little expenditure of time and angst. |
| estate professionals (unethical in my opinion) to | | | | How much time are you willing to spend on your short |
| suggest that a discounted deal is at hand, and that you | | | | sale? |
| can score "a good deal" with a distressed property | | | | It usually takes three to six weeks to receive your |
| owner. A quick review of the real estate ads in your | | | | answer from the lender, provided all your supporting |
| local paper, free listing of foreclosure houses, or a | | | | materials have been submitted properly. With the |
| review of the MLS with your agent, will reveal just | | | | foreclosure sale fast approaching, direct contact with |
| how widely used (and misused) the description "short | | | | the lender is vital to your success. |
| sale" is. | | | | The lender may approve a "short sale" when the |
| Do you know what a short sale really is? | | | | borrower is past due 3 or more payments. Given this |
| There is some misconception regarding foreclosure | | | | information, time is closing in on your good deal. You |
| short sales, real estate short sales and foreclosures. | | | | can use pre foreclosure lists to find qualified properties. |
| A Short Sale is a transaction between a mortgage | | | | So, how do you master the short sale market? |
| lender/creditor and a mortgage borrower/debtor in | | | | The Mortgage Industry's performance in this default |
| which the lender may authorize the borrower to sell | | | | arena is, in the majority of cases, ponderous and |
| their home for an amount that is less than the total | | | | abusive and is a negative force to deal with. It will |
| owed to the lender. | | | | require one individual in the collective seller/buyer |
| The lender could be a junior mortgage holder, as well | | | | grouping to aggressively, timely, and persistently |
| as a first trust deed holder. | | | | co-ordinate all the documentation required by the |
| The circumstances that cause this payment default | | | | lender and who will represent the interests of those |
| could be due to job/income loss, loss of a spouse, | | | | parties directly to the "true" decision maker in the |
| catastrophic health issues, addictions, financial | | | | lenders hierarchy. |
| carelessness (misuse of re-finance proceeds) and | | | | Often the lender will opt to bring about a foreclosure |
| credit card abuse, negative market valuations, and last | | | | instead of agreeing to short sales. The best path for all |
| but not least, the adjustable rate conversion, or recast, | | | | concerned is the real estate short sale. |
| by the lender leading to higher and higher mortgage | | | | The package presented to the "true" decision maker |
| payments. | | | | must have data sufficient to answer any questions as |
| Random short sale attempts by inexperienced | | | | to property conditions, values, market viability, and |
| Realtors result in a 1 in 20 success ratio | | | | borrower claims of insolvency. Finding a path to the |
| Inexperience can lead to 100's of hours of wasted time | | | | decision maker is extremely difficult. There are |
| and tons of anger along with frustration. Doing your | | | | services available that can assist you in finding the |
| research about short sales will increase the ratio, but | | | | appropriate departments and people with the target |
| do you have the time to dedicate to this? And where | | | | mortgage company. Often you can find information on |
| so you begin with foreclosure or short sales? | | | | pre foreclosure lists. |
| How can you avoid these costly mistakes? | | | | There are no guarantees in this market, but consulting |
| Professional Short Sale Case Management | | | | a professional will drastically improve the odds in your |
| representation can result in a 1in 2 success ratio with | | | | favor. And that good deal will be closer at hand. |