I see a lot of agent's going about escalating a file the wrong way. It reminds me of the appeals process game in death row. If I am correct, more inmates die of natural causes than are executed.
But, everyone has to go thru the appeals process. It drags on for years and years. After a while it simply becomes a game. I don't want to see short sale escalation turn into a "game."
I know I use some crazy analogies, but here's my point. Treat the Short Sale Escalation Process like a sales process. Don't treat it like just another technical process that you do for no reason.
Don't just escalate the file "because you felt like it." The reason you escalate a file is because the lender is making a bad decision turning down the offer. You feel, based on your superior knowledge of the property, that they will lose more money thru foreclosure.
And you are moving the file up the chain to make sure they don't lose even more money. When you escalate a file, make sure you tell everyone that they are going to lose money if they don't accept the offer. Tell them, "Based on my projections, you will net 180k with this offer and 163k as an REO." Give them documentation to back that up.
(There is more info and examples on exactly what to send them in the How To Escalate a File System. You can look into that at the bottom of this e-mail.)
Here are a few examples of documentation I send to them:.
1. Comps.
2. Active competing listings.
3. Active, competing bank owned comps.
4. Other bank owned sales that were rejected as short sales and the lenders lost money as a result.
5. MLS History.
6. Bank owned comps that may not have been allowed in the BPO or appraisal.
If you're running into problems with short sale files, then you probably need to look into the How to Escalate a File Course. Get more info at http://www.HowToEscalateAFile.com .
You can get a copy of all the fax numbers for congress and a fax template to send to them here: http://shortsaleagentadvocate.com.
Got questions about short sales? Just ask.
Ben & Chris Curry - The Short Sale Agent's Advocate
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