There are sooooo many AZ Short Sale agents in this market touting amazing short sale closing success rates. 98%, 100%, etc. etc. But what do those numbers REALLY tell you?
What it tells ME is that this particular AZ Short Sale agent either hasn't closed that many deals or has closed a TON of deals to offset the number of homes lost to foreclosure, OR they CHERRY PICK the short sale listings that they take.
I hate to be the bearer of bad news......but some short sales simply WON'T close. No matter what the AZ Short Sale agent does. No matter how strong the offer. It simply may just be in the bank's or investor's best interest to foreclose. Period.
I also know far too many AZ Short Sale agents who won't take the tough deals or challenging short sale listings. That's not to say that a seemingly 'easy' deal won't become challenging....but there is no way to know that until you are in the mix of it. It's all about controlling the controllables. They don't want to potentially waste their time or damage their percentages. But who can blame them, really?
So....What's a tough deal, you ask?
Definition of a "Challenging Short Sale":
- AZ Short Sale listings with two liens/lienholders. It's generally not so bad if both liens are with the same lienholder, but it's not uncommon that the second lien might get charged off and go to a recovery department or different servicer, in which case they may as well be with two different lienholders. Do I take these listings? You bet I do.
- AZ Short Sale listings with THREE or more liens against them. This is commonly known as Short Sale Suicide. Do I take these listings? Unfortunatley, I do.
- AZ Short Sale listings taken within 30-45 days of the Trustee Sale date. It can be very challenging to get a servicer to even consider a short sale too close to sale. I take these listings all day long.
- AZ Short Sale listings where the seller does not have a true hardship. Not everyone qualifies to short sell their home. It is still a business decision on the lienholder's part, however, to elect to accept the short sale. Yes, you guessed it. I take these too.
- AZ Short Sale listings valued below the median price for that area. At the end of the day, a Short Sale listing agent is running a business and does have to pay the bills. Short Sales are a lot of work and generally pay less than a regular listing....so agents need to decide if taking certain priced listings make sense. How 'bout a property worth $20k with 2 lien holders and over $150k owed to the bank? Yes, I just got an approval on that one! Yippee!
- AZ Short Sale listings that are severely upside down. Here in Arizona, over 2/3 of homeowners are upside down on their homes. It is not uncommon to find a property worth half of what is owed....sometimes 1/3 of what is owed! Ouch! These are particularly common with homes bought or refinanced in 2005/2006 or for AZ luxury short sales. Of course I take these....I wouldn't have many listings if I didn't.
- AZ Short Sale listings with Mortgage Insurance or PMI or MI. The MI company is the one that ulitmately calls the shots, and too often it is in their best interest to allow the home to foreclose.
- AZ Short Sale listings with banks that are notorious for being difficult to work with. This list is ever changing, however, and many agents don't understand that it's not always the bank....it may be the investor behind the loan who is calling the shots, the MI company, or just a grumpy or inexperienced negotiator. For example: Years ago, no one wanted a Citi short sale listing, a Chase short sale listing or a Bank of America short sale listing. They have since become three of the better banks to work with.
- AZ Short Sale listings with sellers who have been totally beat down by the system or who have simply given up completely. Now these listings are the ones I struggle accepting the most. There is something very wrong with this picture if I am more motivated to sell your home than you are.
So....Arizona Short Sale Agents.....if you don't want that challenging short sale listing, I will take it. Refer it to me and I will give it my all. I won't make any promises, however, but I will fight to the bitter end. I am willing to try and take the risk that it may never close.
Because, at the end of the day.....it's a dirty job, but somebody's gotta do it!
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