Five easy steps to Short Sale Approval
I have been working with short sales and the more we do the more we learn.
We started out trying to send the offer over to the bank for approval before the seller signed and it just wasn't working. The last sales that were approved were done completely different. Here are the five easy steps to short sale approval! :)
Step 1. As soon as you get the listing get the sellers to sign a Third Party Authorization and fax it over to the bank/banks.
Step 2. Present the offer to the Seller and counter-offer to get the best price that you think you can get in this market. Once you feel the price is the best you can get then the Seller accepts the offer and writes in the conditions that it is subject to bank approval, we usually put in the name or names of the banks involved. Don't forget to make sure you have a pre-qualification letter and/or proof of funds from the buyer before you even accept the offer.
Step 3. Draw up the P&S sign by all parties.
Step 4. Gather all of the Sellers financial Information, a Hardship letter, P&S, buyers pre-qualification and/or proof of funds, listing agreement and estimated settlement statement and fax it over to the bank/banks for approval.
Step 5. Close the deal!
Sounds easy right???? We wish it were as easy as it sounds! But honestly even though it is a lot of work and time to get them approved it is working better when we do it this way and the more we do the better we are getting at it.
Karen J. Archambault
Karen The Realtor