Working With Real Estate Agents
(Excerpt from About.com)
A good real estate agent can make or break your deal. You want to hire the best real estate agent you can find, which means finding an agent who is a full time agent, experienced in the field that best fits your situation. All agents are different. They specialize in certain areas, utilize a variety of marketing techniques and possess particular skill sets, all of which sets them apart. You need to choose wisely or you will make a costly mistake.
First, you need to know if you & your property qualify for a short sale. There are several reasons why lenders do not grant a short sale, and if you don't know what they're looking for you're sure to fail.
Most Will Qualify!
951-324-3900
Remember: There Are No Fees to You!
Here is what we will do to make sure your short sale will close smoothly!
- Contact your Lender (s).
We may need to make dozens of phone calls before we find the person responsible for handling short sales. Knowing who to talk to can make the difference between a fast closing and no closing at all, you do not want to talk to the "real estate short sale" or "work out" department, you want the supervisor's name, the name of the individual capable of making a decision, and that's who we locate. - Submit Letter of Authorization
Lenders typically do not want to disclose any of your personal information without written authorization to do so. So we prepare the letter for you so the lender will know we are working for you. The letter will include the following:
- Property Address
- Loan Reference Number
- Your Name
- The Date
- Our Name & Contact Information
- Preliminary Net Sheet
This is an estimated closing statement that shows the sales price you expect to receive and all the costs of sale, unpaid loan balances, outstanding payments due and late fees. The lender require this and if not done properly will hold up the process. - Hardship Letter
The sadder, the better. This statement of facts describes how you got into this financial bind and makes a plea to the lender to accept less than full payment. Lenders are not inhumane and can understand if you lost your job, were hospitalized or a truck ran over your entire family, but lenders are not particularly empathetic to situations involving dishonesty or criminal behavior. - Proof of Income and Assets
It is best to be truthful and honest about your financial situation and disclose assets. Lenders will want to know if you have savings accounts, money market accounts, stocks or bonds, negotiable instruments, cash or other real estate or anything of tangible value. Lenders are not in the charity business and often require assurance that the debtor cannot pay back any of the debt that it is forgiving. - Copies of Bank Statements
If your bank statements reflect unaccountable deposits, large cash withdrawals or an unusual number of checks, it's probably a good idea to explain each of those line items to the lender. In addition, the lender might want you to account for each and every deposit so it can determine whether deposits will continue. - Comparative Market Analysis
Sometimes markets decline and property values fall. If this is part of the reason that you cannot sell your home for enough to pay off the lender, this fact should be substantiated for the lender through a comparative market analysis(CMA), which will show prices of similar homes:
- Active on the market
- Pending sales
- Sold properties from the past six months.
- Purchase Agreement & Listing Agreement
When you reach an agreement to sell with a prospective purchaser, the lender will want a copy of the offer, along with a copy of your listing agreement. Be prepared for the lender to renegotiate or even refuse to pay for certain items such as home protection plans or termite inspections.
Now, if everything goes well, the lender will approve your short sale. As part of the negotiation, you might ask that the lender not report adverse credit to the credit reporting agencies, but realize that the lender is under no obligation to accommodate this request, it never hurts to ask!
