Special offer

The Short Sale Conversation

By
Real Estate Agent with American Dream Realty- Broker Associate BRE#01420207

The recurring theme around the water cooler here at the office has been the same for several months. Namely, how much of each of our business ought to consist of Short Sales. I think, in general, many Realtors are growing weary of putting so much energy into a transaction that carries with it so many variables that are outside of our control. The numbers it seems back up my sixth sense.

In a recent CAR survey titled "Short Sale Lender Satisfaction Survey," 67% of the 2,150 Realtors that responded, said they are not satisfied with the short sale approval process.

Also pointed out in the study results, as posted in the online version of The Orange County Register were the following:

  • 43% of all short sale deals that go under contract end up falling apart.
  • 70% of respondents characterized their most recent short sale as "difficult" or "extremely difficult."
  • 44% of queried Realtors said that lenders took more than five business days to return any form of communication to an agent.
  • 63% said that lenders took more than 60 days to return a written response of the approval or disapproval of the short sale agreement submitted.

What I know from personal experience is that short sales are laborious and yield less money, not really the most fun thing to have filling up your pipeline. Yet short-sale transactions accounted for 17.6% of existing home sales this past June and don’t appear to be going away… and more and more of the Realtors around me and around my water-cooler are rolling up their shirt sleeves and taking them on.

So how many short sales versus REO listings versus conventional deals make up a healthy balanced pipeline? I feel like a healthy balance has to include 30% short sales and REOS, but after many years of marketing to short sale listings, it is finally time to look optimistically towards the bigger ticket conventional deals. People are still buying and selling fabulous homes and I want to be their Realtor too.

Posted by

John Flaniken - Sell Santa CruzJOHN FLANIKEN
American Dream Realty
Broker Associate

831-334-0890 Direct
831-464-0565 Fax
www.sellsantacruz.com

Sell Santa Cruz on Facebook Sell Santa Cruz on Twitter Sell Santa Cruz on YouTube John Flaniken on LinkedIn
Knowledge. Integrity. Experience.

Comments (0)