Short Sales have become the thing most agents dread. I wonder if it is because so many have not taken the time to research them. Some say they specialize in them some refuse to deal with them along with every other possible opinion in between.
Not every short sale attempt will be successful, mostly due to some banks inability to process information or get the file to the true decision makers on time. Some times unfortunately it has to do with the agent. You can’t control the banks or what they will do but you can be in control of the agent you choose to represent you. I waned to highlight some important questions to ask when hiring an agent to represent you with your short sale.
- What short sale experience do you have?
- What percentage of files do you close?
- What is a sheriff’s sale, when and where does it take place?
- How long can I live in my home?
- Can I pay what I owe and keep my home?
- What is a loan modification program and how do I apply?
- How long is the redemption period and when does it start?
- What documents do the banks require to consider a short sale?
- What is a pre-negotiated short sale and does it exist?
- What are the steps in the process?
- How do you price the property, is it different with a short sale?
- What is a “complete package” that the banks are looking for?
- When is a property considered to be abandoned?
- How does a personal bankruptcy affect a short sale?
- If there is more than 1 loan, what happens to the 2nd?
- Is a promissory note and a lien the same thing?
- Can a bank ask for re-payment and what do they require?
- Are all banks the same or do they require different information?
This is at least a starting point to interviewing and finding the right agent for you. Before you consider a short sale it is very important that you speak with your attorney for legal advice as well as your tax professional. Short sales can be a great option but it has to be the correct fit for your situation.