When is time for a Short Sale?

Unluckily, short sales have been common these days on many states, here in Colorado, they are a bad REALTY for many home owners, usually home owners they own more than their home is worth

There are some factors that could drive you to a short sale.

* Pay option ARMS (No Equity thanks for the minimum payment option).
* 100% Financing (No Equity).
* Buyer's Market (Usually depreciation and excess of inventory).
* Homes bought over priced (Inflated appraisals).
* Refinanced to 100% or more than 100%.
* When you are in a Buyer's Market and you are not able to Refinance your home.
* Your economic situation is upside down and you are not able to afford the mortgage payments (late mortgage payments).
* Net proceeds do not cover Realtors Fees and closing costs.
* You are passing through a divorce.
* Job Transfers.

If you are facing one of these problems, please call a Realtor with enough experience on this Branch "Short Sales" you have a choice to elect to sale your home as a "Short Sale", you will avoid "Foreclosure".

Be prepared with these tips to influence a BPO

*  Provide the appraiser, real estate agent, broker comparables that you have found.,
*  You need to have solid comparables
*  Why do you think that your comparables should be considered?
*  Condition report from the real estate would be a good idea to provide together with your comps.
*  Do not go against the BPO, just give your considerations / opinions..

You can get a discounted substantial short sale!

Phone Numbers to work on you short sale!

Washington Mutual- Loss Mitigation
Phone: 800-496-9633
phone: 904-281-3900 Collections Dept.
Phone: 866-356-5789 Foreclosure Dept.
Fax: 818-775-2010

Bank of New York- Loss Mitigation
Phone: 212-495-1784
Fax: 212-415-2035

Wells Fargo Loss Mitigation
Phone: 800 or 888.231.0757
877) 216-8448 Loss Mitigation
(800) 551-9808 Borrower Assistance
(800) 868-0043 Home Owners in Foreclosure
(800) 352-7654

Citi Mortgage -
Loss Mitigation 800.682.2286
Foreclosure 877.202.3846
Loss Mitigation 866.357.6015
Loss Mitigation Fax 248.488.7727
Workout Fax 248.488.8357
Loss Mitigation 866.357.0614
First American 800.511.1278
Workout Fax 636.256.2884

Citi Financial
Foreclosure 800.424.3562
800.423.8158
800.848.7491
Dial by Extension 800.888.6001

Cendant Loss Mitigation
Phone: 800-750-2518.
fax:  856-917-8334

Homecomings  Loss Mitigation
Phone1: 800-206-2901
Phone2: (858)-874-7417

Litton  Loss Mitigation:
Phone: 713-966-8803


Chase  Loss Mitigation
Phone: (510)652-0401


Saxson Loss Mitigation:

Phone1: 262-502-6724  
Phone2: 817-665-6537
Phone3: 414-278-8068


Nat City Mtg. Loss Mitigation
Phone: 937-910-3563


Home Side Loss Mitigation:
Phone: 904-281-3900

Whitney National Bank's Loss Mitigation :
Phone: 1-800-347-7272

Fairbanks Loss Mitigation :
Phone: 888 818 6032
customer service fax 904 232 4607

American General  Loss Mitigation:
Phone: 770 614 6005

Fairbanks: Loss Mitigation :
Phone: 801-270-7713

First Horizon Home Loans
Phone:  800 707-0139  ask for ext: 17305

Chase Manhattan Mortgage
Homeowners Assistance Department (foreclosure)
phone: 1-800-446-8939
Fax: (614) 422-7259
additional numbers
1-800-981-3792
fax 1-858-605-3006

Countrywide Loss Mitigation:
Phone: 800-669-6607
 fax: 800-658-0395

Bank of America.
Loss Mitigation: 1-800-846-2222 or 716-635-2000
Authorization Fax: 716-635-7265
Short Sale Package Fax: 716-635-7255

Short Sale Documents List From Seller

Short Sale Documents from seller

This is a list of documents the lenders typically request from the seller along with any lender documents for a short sale package:

* Hardship letter - This should be handwritten by the seller if possible explaining their situation and requesting the lender to do a short sale.
* Tax returns + W2 - Federal only ( most recent 2 years ).
* 2 most recent bank statements & 401K & IRA accounts
* 2 most recent pay stubs
* Documentation supporting your hardship if the sellers have any, termination letter, disability letter, doctors bills, etc.,

Remember:
* That list can vary from lender to lender, but this is a general, this is a must!!!
* Always Prepare a  complete Short Sale Package,
* Never send an  incomplete short sale request, they can ignored it or throw it away if that is the case.
* Here in Colorado takes between from 30 to 60 days for a short sale acceptance or approval.
* Always call them once daily, but just once, do not bother them.
* Lenders  daily have Short Sales requests around 300 to 400 daily, so you can imagine how busy they are, at least these days on this market

So do not expect that they will call you soon or to give you a follow up next day or daily.

After that, have fun and learn about every lender.

The don'ts of a Short Sale

1) Don't ever fax a short sale to the seller's lender in the listing phase
2) Don't ever fax an incomplete short sale package to the lender. They Receive around 300 to 400 requests a day for shot sales, if it is not complete they will not begin to process it and they might toss it.
3) Don't ever tell the selling agent we should hear in a week or so, Be honest
4) Don't ever submit a short sale package to the lender if that lender has taken the property to foreclosure sale and you are in the redemption period.  YOU CAN NOT DO A SHORT SALE IN THE REDEMPTION PERIOD, I have been told by other guys that is possible, LOL :)
5) Don't ever recommend that the buyer do their inspection and appraisal before you have approval on the short sale.
6) Don't advise the seller to move out the property, especially when they have an FHA Mortgage.

Are you experienced about Short Sales? Please add more to the list and I will includethem in the main blog,  

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1) Obtain all existing lender information from your client. Name of the bank and loans numbers.
2) Have seller sign authorization so you can speak to the bank on their behalf make sure to have them include their SS#
3) Order O&E and TBD on the property so you have no surprises. Judgments, bankruptcies, etc.
4) Order payoffs immediately so you know exactly what the #'s are.
5) Order the HOA status letter, you need to know the entire picture prior to a contract coming in.
6) Get Short sale package from lender, some lenders provide that, some others not.
7) Listing Agreement/MLS contract all of these should state that any offers or contracts are contingent upn seller's lender(s) accepting a short sale.

Please add more to the list and I will include them in the main blog

 

The don'ts of a Short Sale 1) Don't ever fax a short sale to the seller's lender in the listing phase 2) Don't ever fax an incomplete short sale package to the lender. They Receive around 300 to 400 requests a day for shot sales, if it is not complete they will not begin to process it and they might toss it. 3) Don't ever tell the selling agent we should hear in a week or so, Be honest 4) Don't ever submit a short sale package to the lender if that lender has taken the property to foreclosure sale and you are in the redemption period.  YOU CAN NOT DO A SHORT SALE IN THE REDEMPTION PERIOD, I have been told by other guys that is possible, LOL :) 5) Don't ever recommend that the buyer do their inspection and appraisal before you have approval on the short sale. 6) Don't advise the seller to move out the property, especially when they have an FHA Mortgage. Are you experienced about Short Sales? Please add more to the list and I will includethem in the main blog,