Short Sales Tidbits
- Your lender is more than likely just the service provider for the loan. They make their money by being paid a fee for processing the payment.
- An investor entity owns the note.
- The investor can be a business such an insurance company or investment firm. It can also be a government organization that is invested in mortgage back securities to fund a retirement fund. The investor can also be located in another country that only meets once a month to make decisions.
- Your loan may be held by more than one investor.
- Some lenders are better organized than others to process a short sale.
- A lender’s negotiator will have different leeway depending on the investor’s guidelines. Each short sale will be handled differently. The goal of the negotiator is to get the best deal possible in front of the investor that stands the best chance of being approved.
- The speed of the short sale will also depend on the experience level of the short sale negotiator.
- The speed of the short sale will also depend on the seller’s real estate agent and the buyer’s real estate agent. It is especially important that the buyer’s agent explain to the buyer the process of the short sale.
- Sellers please provide all requested/required documents that the lender will need to push the short sale through the process. Even if they asked for same thing the previous week
- If there is a mortgage insurance company involved they may require cash at closing to approve the short. They may also require a Promissory Note be signed by the seller.
- The lender may also require a Promissory Note be signed by the seller.
- Remember there is no guarantee on anything. Even after you get the short sale approval letter from your lender, until you are at the closing table and the transaction has funded it is not over.
The Jones & Lara Team at Keller Williams Realty of Pensacola
7140 N. 9th Ave Pensacola FL 32504
(850) 471-5020
Email: JonesLaraTeam@gmail.com
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