Special offer

10 Tips on How to Become a Successful Realtor in this Market

By
Education & Training with Sell Fast Realty

10 TIPS ON HOW TO BE A SUCCESSFUL REALTOR IN THIS MARKET

  

Foreclosures and Pre-foreclosures are flooding the market and they are changing the values of homes nationwide.  Times are changing and Realtors need to start Riding the Wave of the Foreclosure by changing.  We are seeing long time Realtors closing up shop because of the market.  Are you going to be one of those Realtors?  As a Licensed Real Estate Broker, my partner and I would like to share some of the tips that have made us so successful.

  

As a Realtor, it is very important to learn how to work a Foreclosure Short Sale. Many of the homeowner's can't even list their home because there is no equity in the home. Do you take the listing and let it sit on the market with the rest of the listings?   So, what do you do?  Turn the people away or do a short sale?  We say do a Short Sale for the Homeowner but do it the right way.

  

The listings that you presently have are sitting on the market because the values are decreasing and the Buyer is cherry picking.  Again, so what do you do? 

  

                                           

How would you like to receive 3% commission of a listing versus 6% commission of no deal?

  

Below are some tips that you should know if you are a Realtor that will assist you in the short sale process:

 

 

Tip #1 of Getting Foreclosure

 Short Sales Accepted

 

In order to get your short sale accepted, you must provide a detailed short sale package to the Mortgage Company. This is information that you must collect from the Seller at your first meeting otherwise you will be chasing them to get all this information.  If you are able to take a portable copy machine with you, we would recommend that you do so or just make sure that you take all their documents with you.  

  

Below is our Checklist from our Home Study Course that we send by email to the Seller prior to our meeting.  We make it clear that they need to have all this information prior to us coming out. 

 

CHECKLIST FOR SELLER

 

 

__________  COPY OF DRIVER'S LICENSE

 

__________  LAST 2 PAY STUBS

 

__________  LAST 2 YEARS TAX RETURNS OR W-2'S

 

__________  2 MONTHS OF MOST RECENT BANK STATEMENTS, BROKERAGE AND RETIREMENT STATEMENTS

 

__________  ANY MORTGAGE PAYMENT STATEMENT (On all mortgages)

 

__________  HANDWRITTEN HARDSHIP LETTER SIGNED BY SELLERS

 

__________  FINANCIAL STATEMENT SHOWING ALL ASSETS/LIABILITIES

 

__________  KEYS (2) TO HOUSE

  

NOTE:  Don't put off making your appointment with the Sellers because they do not have all the documentation, tell them that you will help them find the information and fill out the Financial Statement while you are there.  People will cancel because they procrastinate and they really need your help.

  

  

Tip #2 of Getting Foreclosure

Short Sales Accepted

 

Dealing with Banks and Mortgage Companies they all have a Company Policy that they must abide by in order to process files and/or speak with individuals about the file. 

 

It is very important that you have the Sellers sign an Authorization for Release of Information to allow you to discuss their file with the Mortgage Company.  You would then fax this document along with your letter to the Customer Service Department.   The Mortgage Company will not speak with you unless you have forwarded this Authorization to them.

 

 

Below is our Authorization for Release of Information from our Home Study Course that we fax to the Mortgage Company.

 

AUTHORIZATION TO RELEASE INFORMATION

 

 

Mortgage Company:______________________________

 

Loan / Account Number #: _________________________

 

Property Address: ________________________________

 

I/We hereby authorize you to release to _________________________________ or its agents and assigns any and all information that they may require for the transfer or payoff about my loan for the above referenced property. "Agents" shall include all associates of the above named company, real estate agents, attorneys and their assistants. You may reproduce this document to acquire reference from more than one source.

 

___________________                                  _______________________   

Borrower                                                         Social Security #        

__________________

Date

 

 

Printed Name: ___________________________________

 

_________________         _______________     ___________

Borrower                            Social Security #        Date

 

 

NOTE:  It takes 24 to 48 hours before the Bank/Mortgage Company has processed the Authorization to Release Information before you can callback and speak with the Loss Mitigation Department.

 

Tip #3 of Getting Foreclosure

Short Sales Accepted

 

Getting through to the Bank or Mortgage Company does take time and persistence.  They are working on a lot of files.  This Tip is very helpful for those of you who speak Spanish and/or have individuals that work with you who speak Spanish.  When you call into the Bank and/or Mortgage Company, you will have a choice to of either English or Spanish.  We recommend that you choose Spanish, this way you will get through a lot quicker than you would if you chose English.

  

NOTE:  Even if you don't speak Spanish, the person who answers the telephone speaks both English and Spanish and they will be able to assist you.  You just need to tell them that you pushed the wrong button and see if they can help you.

 

Tip #4 of Getting Foreclosure

Short Sales Accepted

 

 

When you send in your Authorization to Release Information at that time, you should be requesting a payoff of the mortgage.  The reason why you request a payoff letter from the Mortgage Company is because the second mortgage company will need to know the balance of the first mortgage so that they can work their COMPANY POLICY formula to accept the short sale, counter or deny the short sale.

  

Below is a letter from our Home Study Course that we send into the Bank and/or Mortgage Company:

  

CONSULTING GROUP, LLC.

(407)  772-2274

(407)  650-3119

To:  ASC - Customer Service

  

From:  Kimberlee Frank/Hunter Paschall

  

RE:  123 Main Street, Longwood, Florida  32750

        John Doe and Sally Doe

        Loan Number:  1234567

  

Customer Service:

  

Enclosed please find an Authorization regarding the above individual.  Please provide my office with a short sale package along with a payoff letter as of January 30, 2007.

  

Thanks and have a great day.

  

Kimberlee Frank/Hunter Paschall  - (407)  772-2274

  

  

  

NOTE:  Banks and Mortgage Companies have websites that will allow you to go on line and request the payoff letter and or obtain direct telephone numbers.  You should be making a list of all Mortgage Companies that you deal with and keep their telephone numbers on a spread sheet for future use. 

Tip #5 of Getting Foreclosure

Short Sales Accepted

 

 

When working on a short sale, it is very important that you do a market analysis on the home to determine what price you should list the house. It doesn't matter what is owed on the home.  It is normal that as a Realtor, you always want to get the highest and best price for the Seller.   Depending on where the Seller is in the Foreclosure process will determine if you can list the house for a higher value and slowly drop the price or if you need to list the house for a Quick Sale. A Quick Sale value means you need to sell it within 30 days.  In most cases, it is for less than what is owed on the home.  Therefore your list price would be lower than it would be if you were just listing the home for a normal sale and not a foreclosure. 

  

NOTE:  The fiduciary relationship to your Seller is to get the best price for them but it is also to do the best thing for the Seller.  In some cases, listing the property for a Quick Sale is the best thing.  Your commission will be lower but you will be able to sell the home.

  

Tip #6 of Getting Foreclosure

Short Sales Accepted

  

The main ingredient to get a short sale accepted is a Buyer.  What this means is that as soon as you get ANY offer you would submit the offer to the Bank so that you can start the short sale process by getting a BPO (Broker Price Opinion determining the value of the home) and/or Appraisal on value.

  

Did you know you can submit all the documentation into the Bank and they won't even look at the short sale package until you have a Buyer?

  

NOTE:  Your main goal as a Realtor is to get the BPO Agent or Appraiser to come out and get the value of the property so that the Bank can make a determination whether or not they will accept the short sale.

  

Tip #7 of Getting Foreclosure

Short Sales Accepted

  

Why does it take so long for the Bank and/or Mortgage Company to respond back to the offer after a BPO and/or Appraisal is ordered? 

  

When the Mortgage Company agrees to order a BPO and/or Appraisal, they contact a list of National Providers who conduct Appraisals and/or BPO Agents.  That National Provider will then contact an Appraiser or BPO Agent to go out to house.  Normally, they give the Appraiser/Agent a 24 to 48 hour turn around time to go out to the house and conduct the valuation of the home.  The Appraiser/Agent will then prepare the Valuation (ie. Appraisal or BPO Report) and send it back to the National Provider.  The National Provider will forward that Valuation Report to the Mortgage Company.  This period will take approximately 7 to 14 days.

  

NOTE:  Do not call the Loss Mitigator several times until after the 14 day period to determine the status of your offer.  Some Loss Mitigator's have Caller ID and they know when you are calling.  You do not want to make the Mitigator mad at you for calling all the time.

  

 

We train Realtors, Investors and Mortgage Brokers how to do short sales.   Stay tuned for the posting of the remaining 3 tips.

 

Thanks

 

  

Kimberlee Frank and Hunter Paschall

http://www.cashgroupllc.com/

email:  Kimberlee@cashgroupllc.com

 

Posted by

Kimberlee Frank

 

 

Comments (0)