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An open RANT to short sale listing agents in South Florida (a select few, you may recognize yourself here)

Dear Short Sale Listing Agent,

I've been showing, or trying to show a lot of your listings recently and have a few suggestions that might improve your business, your reputation and your actual ability to SELL and CLOSE your listings. I'm sure you "just weren't thinking", or "just too busy", or just didn't know", but here are some things you shouldnt' do if you want to actually preserve any of the above (business, reputation and closed sales):

1) Don't use your comment section intended to highlight the property features to potential buyers with a load of legal B.S. and disclaimers about the short sale. The comments (or remarks) section is to SELL your listings to buyers, you know, tell them about how great the property is?! Entice them to see it! We know you have certain things you need to tell us about the short sale, that is what BROKER remarks are for. 9 out of 10 of you have decided that marketing and selling your listings isn't really important at all, just covering your big butt!

2) Don't forget to actually take a picture of the PROPERTY! Hmm, with nearly 30,000 single family listings in South Florida, many at very competitive prices, which do you think buyers are going to select to go see? Yes! The ones that give them an idea of what the property actually looks like! Most buyers will never even look at a listing with no pictures. Did you ever consider that it is your JOB to sell the home? To SAVE your CLIENT from foreclosure? Or did you just list 100 short sales, throw them on the wall and hope a few might stick and disregard all the others (as they slip into foreclosure with no idea why - maybe you just told them"it's a tough market out there" to cover your professional negligence)?

3) Don't hire a 3rd party negotiator who doesn't know what they are doing. If you don't feel comfortable negotiating short sales yourself (or feel that you "need to be out there doing what I do best, selling homes" - and you clearly are not in the category with #1 and #2 above) make sure who ever you hire KNOWS what they are doing and is not so overwhelmed with files that they can't handle the processing in a timely manner. Oh, and don't expect MY buyer to PAY for YOUR negotiator. If you don't want to do it, you pay for it, get the seller or the bank to pay for it, but not MY Buyer!

4) Don't neglect your 3rd party processor, the seller or the selling agent. Just because there is a contract being negotiated does NOT mean you can dump YOUR job on your negotiator, the selling agent or anyone else. You still need to be involved and informed of the deal from start to finish. Don't push off duties to others. If your only job were to get listings, then you'd be a business development agent, but you are a real estate agent (or BROKER) and you are to be actively involved and informed the whole time, you are getting paid to be so!

5) Don't be so far removed from your seller that they rent the house out and never bother to tell you. It isn't pretty for selling agents with buying clients to walk into an occupied home using a lock-box combo that YOU put on the MLS only to find the home FULL of people and you sound surprised when notified of this as the selling agent stands in front of the home with shocked buyers. How often do you even speak with your sellers? ohhh I know, you "just didn't know".....

6) Don't list the home at 25% (or plug in a number) below what you know to be an APPROVED sale price. Has this ever worked for you? If the lender has agreed to take $X, maybe even several months ago, what ever makes you think that they are now going to take considerably LESS and how do you think a buyer is ever going to agree to go UP 25+% from list price?

7) Don't keep the property in ACTIVE status if you are no longer showing it. If you have an offer (or several) that you submitted to the lender(s) then put it in BACK-UP or CONTINGENT. Why are you wasting everyone's time?

8) Don't forget to keep the selling agent and the seller up to date. Yes.... we know this is a LONG process, and you are SOOO busy, but if you might actually keep us updated on a weekly, or even bi-weekly status, we'll all feel much calmer and are much more likely not to get a trigger finger and drop out of the deal. Buyers are especially nervous as time goes by and if we aren't keeping them up to date, who is to blame them when they are waiting in short sale purgatory, not knowing if they are going to go to heaven or hell for months on end?

9) Don't for goodness sake, advertise a commission that you KNOW is a LIE. I don't mean adverting a customary commission, we know that needs to be approved by the lender, but I mean a HIGHER than customary commission and then add the little disclaimer "commission must be approved by lender". Well, unless you are a miracle worker, I have rarely (actually never) seen a bank approved higher than customary percentages. If you can do that, great, then get that done up front and advertise that it is, but don't use the bait and switch game. If you are that devious from the get go, I'm basically not going to trust a word you say... ever.

10) Don't treat everyone like second class citizens. Just because this is a short sale, it does not mean that you can treat the seller, the buyer or the selling agent with any less respect, professionalism and attention than you would one of your "regular" sales.

If you don't like short sale listings, don't take them, if you don't have the patience for short sale deals, don't take them, if you don't have the patience with short sale sellers, don't take them. These deals often require more heart, more time, more attention and more business acumen than the regular sales your are out there listing and selling. If you don't like them, just don't take them. Refer them to someone who does and can!

I hope Mr. and Mrs. Short Sale Listing Agent that I haven't offended you too much. I hope that you might actually see a thing or two differently and change your errant ways. I really might WANT to help you sell YOUR Listing, and my BUYER might really WANT to buy your listing, but if you don't do your job, don't treat us with respect and professional courtesy we might just go to one of the other 30,000 listings in South Florida instead, you ain't the only game in town. I also feel so sorry, so very sorry for your poor seller who ends up foreclosed on because you "just didn't have time" or "just didn't know"!

Sincerely,

Ms. Short Sale Selling Agent and friends

PS, if you were wondering if this letter is to YOU? If you have any question if it is, then YES it is!

8p4du2rafy

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Posted by Janie Coffey, GRI - Miami Real Estate on 09/21/2009 07:22 AM

Comments (108)

Short Sales in the Sales Strategies / Tactics Channel

short sales, short sale series for realtors

Originally posted at: Miami Real Estate by Land and Sea: An open RANT to short sale listing agents in South Florida (a select few, you may recognize yourself here)

This post has been included in Florida Information Miami-Dade County, FL Information
Post is included in group: Short Sale REALTORS®
Post is included in group: Selling Soulfully
Post is included in group: Miami, FL Real Estate
Post is included in group: Miami-Dade Florida Foreclosure and Short Sale Info
Post is included in group: Club Chaos

108 Comments on An open RANT to short sale listing agents in South Florida (a select few, you may recognize yourself here)

SEP

Good luck with the lazy, short sale agents and banks. They are a big problem for sure.

Very true! Ilike your sense of humor (and probably sense of frustration)! Good luck with your short sales

I think this open rant would apply to allot of the listintg agents for the REOs as well. Its a big problem out there right now. Alos look at your signature the HTML need revised.

Most of this you think would be ethical behavior...common sense...or geez...if you don't get it ...refer it...but that's not the case anywhere unfortunately...the law suits ARE coming....they will..they should...know what you don't know and if you don't know...don't do.

Terry, yes, both are a huge problem. If we had well trained and professionals on both sides, we'd have this housing crisis cleaned up a lot faster (add the courts too!)

Diane and Bob, thanks, the next letter is for the Short Sale Selling agents!

Laura, thanks yes REOS have their own set of issues! (I am checking with AR, it works on my outside blog (http://miamibylandandsea.com) but not my inside one, hmmmm

Sally and David, yes, I know the law suits are coming! I have seen toooo many sellers loose their homes that could have been sold and closed as short sales from the negligence of their listing agents! Very very frustrating for all invovled....

Janie, this could be for unqualified short sale agents anywhere. If you don't know how to do them, do yourself and your seller who needs help to refer it out.

Nothing gets my goat more than being here in Ann Arbor and having to deal with agents lisitng short sales and not having a clue on what they are doing.

Missy, I thought it might apply everywhere, but I didn't want to risk pissing off everyone who said "Hey, we have no issue here in Happytown, USA", I was pretty safe saying South Florida because I KNOW we have an issue! Thanks for reading!

Janie, I don't typically do short sales and foreclosures, but I have done a couple. I'm speaking as a novice here, so bear with me. I was able to sell the properties successfully and without too much extra effort because the banks I worked with were great. They told me what to do and communicated in a pretty good manner. It sounds like this is not the experience of many out there.

At some point, Realtors need to accept that (despite the prevalence of short sales) they are NOT fodder for those that haven't taken a whole lot of time to completely understand them. In NY, until we're crystal clear on ALL of the nuances, it just isn't happening that our sign will be out front. Ditto, REO's- it took over a year to gain a competent level of comprehension, which morphed into accepting listings- would never have occurred without full comprehension. Short sales? Let those that have committed the time to understanding fully every outcome maintain this essential part of the market.

Hi Janie -- Great post. Too bad most of the agents that this applies to, won't read it. If they did read it, they would go: hmm...some valid points there...and then they go back and do the same thing. I had one SS agent the other day...I had to call her 10 times over a one week period just to get a showing request confirmed. I would say 90% of agents handling ss have no business doing it.

Bob, unfortunately, a huge percentage of our listings are short sales and many agents are taking them without understanding them and it leads to soo much frustartion an worse. The thing is, if they just did their jobs, we wouldn't have the issues. Like you say, just talk to the banks and do what they tell you to. But many don't even want to do that it seems.

Options, I can't agree more.

Chris, yup, very frustrating! But you are right, they won't read it! I just hope some SELLERS read it and recognize what their agents should be doing...

I'm not too involved in short sales but I have certainly read enough about them and the angst they cause. Your post was to the point and very well written.

Love your sense of humor about this. As a Real Estate Virtual Assistant I have a few clients that are doing short sales and reo's, and I always make sure the listings are up to date and the listing agent is updated, but we always run across ones that don't take the time to do this. I feel your frustration!

Barb, I don't mind doing them (on either side) but they are so tedious that you have to be dealing with a competant professional or otherwise it is a disaster!

April, sounds like you make a great VA!

you get fined our association if there is no picture or out dated etc etc ,,, I love it

As an agent who represents a lot of buyers I can only say "Amen". We run into the same issues here in California.

Greater - we do to, not sure how these idiots get away with it!

Vickie - it's just a same that it is so prevalent that it had to be said! I want to email it ot a few of them!

Numbers 5 and 7 apply to many agents, not just short sales. I understand your frustration. Thanks for voicing what many agents feel when dealing with short sales and REOs.

On Number one, it is critical to have in the description Short sale, and as is. There is this word in real estate called transparency. Not only that, putting in short sale in the description is marketing. At this time it means to most people a good deal. yes it is important to keep the buyers agent informed because this is one of the main courses of trouble with contracts busting and sellers being put into jeopardy of foreclosure, uninformed buyers agents that no matter how hard you tell them that buyers must be patient, are more interested in a quicker commission. As to commission splits, a great number of short sale Realtors have short sale addendums that the buyers Realtor signs up front with an acknowledgement that commissions are not final. Speaking as one who leads a short sale team and voluntarily works at least three times harder to get to closing as a normal sale realtor, if you don't like the commission or the split, go show something else. If the commssion is what defines you, and you have no appreciation of the efforts to keep people out of foreclosure, work a different aspect of the market. Yes, you touched a nerve.

Nice! You are right on the money with all of these.

BUT! As a listing agent with 20+ short sale listings and 6 currently in negotiation, I sure would like to write an open letter to Short Sale Selling AGents.

Janie -

Wow. SING it, girl! This post is incredibly on target. Good for you being out there and fighting the good fight on behalf of your sellers and buyers.

I do wish there were uniform guidelines to follow re short sales.....I've done so many training programs I have knowledge seeping out of my wazoo....but with the rules constantly changing (YES, lenders in 2nd position will take $3-5K to make this go away; NO, lenders in 2nd position are mucking up short sales because now they want $15-30K or more...blah blah blah).....it seems to me without uniform rules re handling these deals, and without jail terms imposed on the big guys at these institutions, an increasing amount of homeowners will continue to slide their way towards foreclosure.

Sad.

Wow! You go girl. Between the banks not being to handle the short sales quickly and agents not knowing exactly what to do, it hinders the buyers purchasing and financing their new home. I've got two borrowers that are waiting for approval right now.

Maybe, I'll get to close their loans before the 8K credit goes away.

Janie - I have had experience where they don't ever call you back and you don't know what the status of the listing is.

Janie - You could be living in Arizona and the exact same items apply... From the escrow side of things, we hear all the time from the buyers agent about lack of communication, and oddly enough, we can't get in touch with the listing agent easily either...

Great post, Janie! Your remarks about each of your topics are spot on.

side note: I had a hard time reading your post in the font you selected. Probably just me, though.

Excellent post and congratulations on the feature!! I couldn't agree with you more!!! One more to add to the "request list" is that they DO NOT send multiple offers to the Seller's bank!!!

Great Post!

On many short sales that I've run across, everything you mentioned is happening because the sellers don't really want to sell the home. It's a way to hold off foreclosure as long as possible. I have an offer in on a home since last November and the sellers wont sign the offer. The listing is still "active" and it's going on 300+ days. I'm still in 1st position when and if they finally get an NOD and decide to sign the offer and send in to the bank.

So, the reality is when you run up against difficulties, move on to the next one, because they really don't want to sell. Out here, many "one-off" agents are helping their relatives live in the house as long as possible.

AMEN to this totally, completely and all the way! You have hit the nail on the head with this post...wouldn't real estate be a much more pleasant place to be if everyone just used a little common sense and courtesy???? Great post!

Janie: It's a jungle out there ... no doubt about it. It's so unfortunate that so many agents simply do not do their jobs ... and it hurts a lot of people. I agree with Eric re the font ... although pretty ... great for a love letter ... it was difficult for me to read as well ... takes longer ... I wonder how many readers you lose due to the font ... I almost clicked off of it.

What a great post/rant! All the things I've been thinking to myself but never put it out there. Good for you!

I could not agree with you more...it's bad enough that the short sale process wastes a lot of time, but we sure don't need the listing agent to exacerbate the situation.

I should add that when I take a short sale listing (I currently have none) that I require the seller as a condition of the listing agreement to hire a short-sale qualified attorney to represent them, present the offer to the bank, and handle the negotiations. No attorney, no listing...at least by me.

Janie - We have the same problems in Southern California, both with Short Sales and REO's. The agents have no idea what they are doing, are uncooperative, disinterested, rude and have a complete lack of business ethics and courtesy.

I agree with you on all accounts except the advertising of the commission comment.

If you ask the lender for 7% - you'll probably get 6%, if you ask the lender for 6% - you'll probably get 5%.

If you ask the lender for 7%, the MLS better say 7% and the listing agreement better say 7%. By starting high - you have the best chance of getting the high end of the usual and customary. It's a negotiating strategy and any buyer's agent should understand that it's both parties best interest - not an attempt to mislead.

Well put! I also work the Southwest Florida market & can't agree with you more. In Charlotte & Sarasota county it has gotten to the point where the bulk of the available homes are short sales. I am very thankful that I became well versed with the process almost 3 years ago when I saw them coming. Most of the sales I do are short sales since the number of foreclosures has been reduced by what seems like 80%. I went with the flow when I saw the number of foreclosures being reduced I focused on short sales. There are few foreclosures hitting the market & the ones that do are in a "Multiple Offer" situation within 24 hours. I find it easier & more productive to sell short sales. I knew this day was coming but it came sooner than I thought. I have had tremendous success with listing & selling short sales & am very thankful for the closings that I have had. With that being said I also apply the points that you have brought up & attribute that to part of my success.

Thanks for pointing these out to the masses that do not follow the points you made above.

Janie,

NAR is offering a new certification designation called SFR (Short Sales & Foreclosures). In Colorado, we have the first wave of courses offered in early October. I signed up as soon as it was announced, and I hope that anyone in Colorado who is planning to take Short-Sale Listings will join me.

As a broker who is currently handling several Short-Sales, of course I am eager to improve my level of service to both my Seller and your Buyer. The Short-Sale Listing Agent must do an exceptionally good job as someone who is truly concerned about whether the Sellers house sells or gets foreclosed on. Any Short-Sale Listor who doesn't care about the people that they represent isn't worth their salt and should stick to the easier sales.

Colleen "Cookie" Hooper

True Blue Realty

"Your True Blue Friend in Real Estate"

Office---720-279-9871 x701

Direct---720-457-5548

Fax---303-940-7531

Email---Cookie@MyTrueBlueHomes.com

It is critical that short sales be handled by the best among us. Unfortunately, many take listings they are not qualified to handle which clearly violates the Realtor Code of Ethics. Many suffer . . . the seller, the buying public, and the Realtor/agent community.

Please reconsider taking short sale listings if you don't want to work them. It's not fair to anyone.

I once made an inquiry of a SS listing agent about their closing ratio. The nice young man told me "under 20%. Of course, you know it's really just about putting the sign in yard - most never sell". I was so sad for the homeowner and dissapointed that this guy just didn't get short sales.

So... maybe add to the list "Putting up the Sign as a lead generator with no real commitment to actually selling the property.

Short Sales with no pictures are the ones that get me, how can you sell a property without pictures and still say you are a short sale expert.

Short Sales expert, in our market we have several people that are experts in the short sale process, but when you look at sales year todate for them they have done 1-2 and as the buiyers agent. Scary is not over

i feel your pain! The ones who make the BUYER pay the extra 1% for the negotiator are the ones who really piss me off! We recently had to take an agent to an inquiry because not only was he charging this, he didn't disclose it until the short was approved! Then he'd send this addendum the buyers had to sign agreeing to the charge. Now it's disclosed up front, but oooh it makes me mad! My buyers shouldn't have to pay because you are lazy! And your sellers shouldn't have to suffer for it too!

Great Post. I feel your frustration, here in San Diego we are having the same problem. Trying to get any kind of update from short sale agents is almost impossible. I always love when they put in the remarks " if its still active on the mls its still available." I guess there is no other reason why we would want to talk to the Listing agent or at least that is how they feel.

My big pet peeve is agents, not just short sale agents, leaving a property as Active on the MLS when they are not taking anymore offers to consider. JUST TAKE IT OFF!

Mark, that is the next rant ;-)

Coleen, yes, if it were at least standarized it would be smoother for everyone, but it isn't and if you aren't in the game and informed, you can become the problem, not the solution

Eric, yeah I considered the font, but hoped people would still read it, maybe it helps add to the frustration factor, ;-) jk

Andrew, sad, but very true! I wish that were the case most of the time actually b/c then the sellers are in on it, but sadly it often isn't and the sellers loose

Bob, the sad thing is that some of the attorneys dont' know any better or have someone in their office do it. We personally feel better doing it ourselves, b/c we have the closest relatioanship with the seller and most knowledge of hte home, but it's not for everyone. As long as the agent is sure the 3rd party negotiator will do a good job that is all that matters.

Janie, Fantastic post!!! I can't agree with more. Definitely worth bookmarking!!! I love the ones that call themselves "expert".

Good Post. Wish it would help change the Agents in my area. They are pretty much terrible when it comes to that stuff. I think most of them could really care less if the property were to sell or not. Agents who are helping people like this need to have more dignity. People facing foreclosure need our help in a big way.

I have been experiencing the same thing here in Glendale, California! We refer to these agents as "Slacker Agents".

Cathy, that is just horrible!

Sheree, then they have you. I'd close and then report the agent and broker to the board for not dealing fairly and ethically and not disclosing...

Gene, yup, I feel the same way!

These are the kind of agents that give us all a sleazy reputation. There is never an excuse for not having pictures in the MLS. It's a guarantee that it won't be shown.

Doug, I have never ever gotten it when an agent doesn't care if their seller's listing closes or not. It breaks my heart!

Janie,

I dont' see this near as much with short sales as I do with REO listings. The good thing about this market is it will weed these agents out. Hopefully sooner rather than later.

Hi Janie, Excellent post! We have a lot of listings with no pictures, also. I think they should at least do the seller a favor and put some pictures up on mls. I don't even bother with the ones with no pictures. thanks for sharing!

Great Letter, should go out to many but please include.... Please answer your phone or emails! It kills me that you have to call or email for combo but then they don't respond. My buyers want to see the house today or tomorrow not next week.

Janie,

I have never done a short sale, but I have been to classes on how to do them. But I would still need help if I tried, and wouldn't be shy about asking my broker or others agents for help. To just bumble through if you don't know is doing everyone a disservice.

Tip; The font you've used is pretty hard to read. I gave up.

I negotiate short sales for a living and would love to negotiate one for you today!

Give me a call 8767-843-0958

I would add to this, Make the property available for showing! I have run out of fingers and toes to count the short sales I have not been able to get into. I wonder why they have bothered to list the home!

Great article, but some constructive criticism for yourself as well: Yours is a very hard font to read. It was not meant to be a blog font.

Janie,

I applaud your efforts to wake certain agents up, however, the one's that need it won't read your article. More's the tragedy. All they do is muddy the waters for everyone else out there. The agents who take their careers seriously are the victims of this lunacy and pathetic work ethic. The inability to fill out the MLS listings appropriately, or the lack of interest on the part of these useless agents is a travesty.

We all lose out.Personally, I don't show short sales any more that are not my listings. Once you have been given the run around by the useless agents as well as the banks, you can only lose buyers.

The role that the banks play in the whole short sale process can only be described as criminal. It is not possible to do business with people who don't need the money, or give a damn whether the transaction closes or not. Your time, effort and expenses are better employed dealing with sellers who are contactable and who have a vested interest in closing a transaction.

Another pet peeve I have are the REO agents who request that everything including the submission of offers is all done by e-mail. HOW LAZY AND USELESS CAN ONE GET?

Are we not entitled, once we have gone to the trouble of showing their listings to get a call from a REAL LIVE person informing us as to the status of our offers?

Real estate used to be a fun business, but with short sales, and computerized bidding, unless one picks VERY carefully what one chooses to show and work with, success is not possible.

Hello Janie,

We have the same problem out here in California. In fact I wrote a simular blog a couple of weeks ago but I wasn't quite as blunt as you. I like what you wrote. I am a hard working short sale realtor. Giving a short sale listing the attention and love it needs does take heart and yes most agents do not have it. I have succesfully closed almost 2 dozen short sales this year as a listing agent but have yet to close one as a buyer's agent. Even getting a call back from most listing agents is a miracle these days...so yes I feel your pain! Good blog! :)

Hi Janie, Don't hold back ! Let "er rip ! You'll feel better if you get it out. I only wish the agents your post is aimed at bothered to read here.

Wow...you think they'll get the message? Probably not!

I welcome any agent to show any of my short sale listings...as a matter of fact...the one i do have left was due to close on Friday but has a hold because we are waiting for a document. but other than that...I see no reason to grant any agent access...why wouldn't we? We want to sell them and not be the babysitter. That's why I'm glad not to show short sale listings and I only list them on a case by case basis now....good luck

JANIE,

This should be handed to every agent, in every office, in every state, every day!

Hey......are talking to ME!. OK just kidding. All of my short sale listings are fully marketed and have easy access. I have to admit I have afew that are pretty messy BUT....I'm working on it.

Janie - I think you hit all the points of frustration we have all been feeling with some short sales. Thanks for putting it so well. Hopefully, a few of the short sale listing agents who really need to see this will. Good luck.

Amen! Funny enough some of these issues were there BEFORE all the short sales came on the market. Maybe when they are on the other side of the contract, they will realize the importance of doing a good job.

Brian - REO Agents, that is rant letter number 3, right behind short sale buyer agents!

Ginger - No Pictures KILLS me, how can it be allowed??

Gary - I hope it clears up some time in the future. The thing is, I really feel personally attached and responsible to our clients, I can't believe some of these agents. I have even screamed at them that they are going to get their seller foreclosed on due to their own laziness and guess what... nothing!

Bill - yes, I do feel better and yes, likely NOT a SINGLE sucky agent will read it, but I do HOPE a seller here and there might and think, "hey, it doesn't have to be like this?"

Sidney - I take that as a HUGE compliment, thank you very much!

Great Rant, Janie!!

Wow, wish I had said that. Your message needs to be heard all over; especially here in SW Florida. As a CDPE who invested time, money and energy into actually learning HOW to help sellers (AND buyers) conduct short sales, it distresses me the number of agents who claim they know how to work them and haven't got a clue! It would be wonderful for ALL our trusting clients and customers who need real help, if those who don't have the training, patience and professionalism to just refer these listings and buyers to someone who actually WILL help them.

Thanks for the message......WAY over due!!!

Nice...I just had a fabulously confusing converstation with a short sale agent(who is part time) about a listing that I submitted an offer on almost 2 weeks ago. The seller just found out about the offer TODAY. HOw's that for unethical, unprofessional. He clearly doesn't know what he's doing or talking about since hekept referring to his conversations with short sale agents in his officeabout this offer. That hasn't been presented to the seller in 2 weeks? DUDE, you SO do not know what you're doing!

It just sounds like business as usual in Miami-Dade and Broward Counties! At least it was that way when we worked there. Add to that to number of agents who were not only unprofessional (even in our own company!) but the increasing number of agents who could speak no English.

I spoke to a former co-worker an agent still in SW Miami and he practically repeated what you are saying. He told me it is soooo great to work with an agent that knows what he or she is doing, communicates and is professional! Hang in there! Just enjoy the ride!

I am just getting into Short Sales and also have done a number of training programs and still it is hard to keep up with the changes. I have heard agents who brag about never actually going to the listing etc/ Are they sending some else to measure and take photos etc.? I plan to handle mine very similar to my regular listings - getting the best price and selling in the shortest amount of time applies to ss as well for the listing agent.

Bryant, I most definitely am not talking to you Mr. Crown Prince of all Short Sales! ;-)

Kathleen - of COURSE! they should be handled just like "regular" sales or even better, there is much MORE on the line than ever before!

There are some distress property "experts" in the Middle Tennessee area who have ceased to answer and/or return phone calls until it suits them. This is the most frustrating scenario. I get it that these transactions take longer. There are some of these agents that I just won't deal with any more because they don't seem to care two licks about how much time you are spending discussing their listed properties with your clients. EVEN WHEN THERE IS AN OFFER ONE OF MY CLIENTS WANTS TO PRESENT!!! It's unbelievable - thanks for the rant!

Janie,

Great rant. Loved it. You were spot on and you highlighted all the problem areas with short sales, terrific!

Thank you. Short sales are frustrating for all involved and get even more frustrating when some involved aren't treating them like every other sale.

You may like this Janie, I LOVE to report on the BPO that the home was IMPOSSIBLE to get into AND TENANT OCCUPIED.

If the noteholder can read between the lines, that means the owner is not making his payments and is collecting rent (it is called "rental skimming" by Freddie and is considered fraud) and the tenant is screwing the bank over by not allowing enough showings to get good, quality offers in for them.

Today I like short sales and am happy to report that an AGENT WHO DOESNT DO THESE THINGS ALL DAY LONG GOT THE JOB DONE. My buyer will be closing in the next two weeks because we COMMUNICATED over the last two months.

Whatta concept.

Amen!

Renee! you rock!! as SS listing agents we have not yet (knock on wood) not closed a deal, but as SS selling agents, they disappear into thin air! Just do your job people, just do you job!

'I also feel so sorry, so very sorry for your poor seller who ends up foreclosed on because you "just didn't have time" or "just didn't know"!' This, to me, is the most egregious offense in the whole short sale process.

If a realtor does not have the time and short sale knowledge, he/she should NOT be involved in short sales in the first place. The transaction should be referred to someone who will represent the homeowner in the manner to which he/she is entitled.

Sadly, it's not just a local Florida or Southern Florida issue. It stretches clear out here in CO!! I've seen it, experienced it and am awaiting even more listings that are headed that way with inexperienced agents just waiting to pounce! Good luck! Thanks for saying what we all think!!!

Hi Janie - As a short sale listing agent I hear what you are saying and agree with most of your points. However, I DO put required contract language in agent remarks for simplicity for buyer's agents, instead of getting a counter offer and wasting time. And I LOVE if the buyer's agent would call me once a week to tickle me. It doesn't bother me one bit! OH and big one- I NEVER overpromise on the co-broke. In fact, I like to underpromise and overdeliver. Thanks for sharing.

Janie - This seems to be common practice in South Florida and it becomes VERY frustrating for buyer's agents, buyer's and even seller's.

Wendy - of course, the disclsoure belongs in agent remarks. What I take issue with is the ONLY thing in the general comments section (where buyer's read about the property) says not ONE word about the property, even when room still allows after the disclosures... (which really belong in agent remarks). There is room for both, and a place for both. But of course you know this and it is those who don't read this who don't.

I agree- PLEASE communicate the status at least once a week to the selling agent so we can communicate with our buyer and they know what is going on.

Amen and Bravo! A little bit of professionalism goes a long way!

Hi Janie. I am in the Tampa Bay area and I agree with many of your points. Specifically #8: "Don't forget to keep the selling agent and the seller up to date."

This is really quite sad all the way around. It's well written and as many have said before me, the law suits are coming from sellers who did not receive proper representation to the detriment of their credit and future buying capability.

Not sure about your MLS in south Florida, but in the middle of the state the agents must specific wording apparent in both the public and the agent remark fields. And they are disclaimers. If they do not, they get turned in and likely fined. Personally, considering the patience it takes for agents and buyers to get through a short sale, it is only fair to disclose this. Also only fair to let the other agents know if the commission may not be as stated but be changed by the bank's whims.

As far as showing goes, if there is a contract it must be listed as Pending here and if it cannot be shown, it cannot be listed as Active.

Here you also cannot put a listing as Active if there is no picture. That is mandatory.

Perhaps your MLS rules are different, but ours are very clear and to the point. Are you sure that yours down there does not address any of these issues? If they do and the agents are not complying, turn them in. Hopefully your MLS has in place a way of forcing them to follow the rules so that all agents have accurate information.

Janie:

Way to go girl. Your frustration is coming through loud and clear. I love the one about the commission.

How about this one:

Tell us whether you've submitted the short sale package and whether you even know what that is and what it includes.

Here is a post I did about #2

Great post, Janie. I think I will print it and carry it around. But you just know that these agents handle all their listings like this. Their personalities don't just change in a short sale or REO situation. And they get business - amazing.

So many short sale agents don't know anything about getting the deal done. Sad but true.

11) Don't price it UNDER market value and try to create a bidding war. You ARE a licensed agent, NAR member. Fairness to ALL parties is a Code of Ethics mandate. HOW IS STARTING A BIDDING WAR "fair" to BUYERS who are trying to purchase YOUR advertised listing -- in GOOD FAITH . . . and at FULL PRICE?!? How is that FAIR??

Amen. How about showing you care about your seller?

SEP

Great Rant Janie. I could sign my name to this. You nailed most of our feelings right on the head. I hate the underpricing that gives Clients false hope of the deal of a lifetime.

That was great--well said!! I can relateto the frustration you are feeling. I have an ALL CASH offer submitted on a short sale and can't get a call back on status right now. How poorly does this reflect on us when we have to tell our clients that you can't give them a status report because we can't get a hold of the other agent. I usually try to avoid the short sales and I won't show them to a buyer until I have explained how they work and how frustrating the process can be.

It sounds like our markets have certain similarities.

There are so many short sales that they are inevitable and many who don't understand them.

Janie, You are so on target. I personally try to avoid short sale listings, but find it a necessity to offer them when a buyer has a limited price point. I agree with every point you made! The short sale process could be a lot more pleasant for all involved if the listings were more user friendly. The MFR/MLS that includes Tampa requires at least one picture per listing, but for short sales, the photos usually stop there. My buyers and I have had many wonderful surprises upon entering what looks like a well kept home. And, yes, the comment section is for the buyer and should be kept that way. Our listings now must disclose in a separate section whether they are Short Sale, REO, Foreclosure, or None of the Above. Prices should be set realistically as in a regular listing because the buyer feels it is his/her obligation to offer at least slightly lower and, another YES, the property listing needs to disclose that there is an offer or if multiple offers are being accepted. I think legally and ethically, the status needs to be changed to pending when an offer is received. If the list price is realistic and buyer's agents do their part, this would not delay sales and could possibly speed them up. I just had a short sale close in about 9 weeks from offer to closing and it was a beautiful home with an unhappy tenant, one listing photo, and an agent who had never seen the property. IT DOES TAKE PERSERVERENCE!

Wow, I see I struck a cord here. For those of you who were wondering, South Florida (South East Florida MLS) DOES require all of this:

1. Special Y or N for Short Sale entry

2. Special Y or N for Approved or Unapproved short sale

3. When you Click Y to short sale, you get a Pop-Up to make SURE that you disclose how commissions will be split

4. We have Comment Section for teh Buyers to read about the Paragraph

5. We have a Broker Remark section where you can share info with fellow agents

6. We are REQUIRED one picture and have room for 16

7. We have an attachments section where you can add anything you like, disclosures, addendum, etc.

8. Florida has a short sale addendum which spells out most of the open endedness of a short sale contract (I have issues with, but that is another blog post)

9. We have a pending and a backup status, if both the buyer and the seller have signed the contract and it is only pending bank approval, it should go to Pending, if you have multiple offers submitted to the bank (none signed by the seller and returned), it should go in Backup until it is resolved

- SOOOOO my beef is this.... There is AMPLE room to HIGHLIGHT the Property to SELL it and AMPLE and REQUIRED room to state exactly what the deal is to both agent and buyer without shorting the seller on your duty to them.

I know that other areas might not be as far along as we are with disclosure requirements so my rant might not make sense, but here it is, and they STILL don't do their job (ie MARKET TO SELL THE PROPERTY) and that is my #1 beef (that and not knowing what they are doing, like Carol Pease mentioned above)

Standardization in Real Estate. If it where up to the Real Estate powers that be, you would be carrying around MLS books

Why is it that the agents who seem to list the bank-owned properties and many of the short sales seem to NOT CARE if they show them? Many of those agents in our area are OUT OF THE AREA and have no clue what the house even looks like.

Thought I'd pop in here again(emailed you separately) to tell you that Google alerts picked up this post :)

A good REO of short sale agent must treat each transaction as if it were their own. They key is helping people, not being a predatory agent looking to make a buck on bad luck.

Janie nice job with your post. There are lots of agents in my area that take short sale listings and don't have a clue about what they are doing.

SEP

These people kind of kill me. I'm a new agent and I work mostly in short sales/reo properties. I obviously don't list REO's, I believe you have to do some sort of ritual to be one of those people. I am a mortgage broker so I understand that side better than most agents. What is more important though is the training and education. It is a unique and specialized field. It actually adds a lot of value be becoming experts in the field. Two other tips; even with all my confidence, reading, and training. I still took on a co-lister who is an expert and has closed over 50 this year.

Don't be shy, this is one area where it might be worth it to get a mentor.

SEP

Who said short sales were the wave of the future? I'm glad I've got my problems in IL compared to those.

SEP

Great rant, er post, Janie! I enjoyed it and hope some of those agents you target will read it and mend their ways.

Cheers,

Robin

OCT

Janie, great post, I'd like to add:

How about returning phone calls, emails or text messages to confirm they've received my buyer's offer.

And as for photos, my personal favorite is the SS listing of a relative's home with no photos, inside or out. Gee, is it too much to ask that you drive to your relative's house and snap a few pics with your cell phone camera?

My 2nd favorite photo is the one of the development's monument sign. Okay, okay, it's a photo, satisfys the MLS requirement, but did you really think my buyer will get a feel for the house by looking at a monument sign?

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What does the graphic say?

An open RANT to short sale listing agents in South Florida (a select few, you may recognize yourself here)

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