Besides submitting an overpriced offer which will never appraise, the second biggest mistake some buyer's agents make in Sacramento is they do not send the right documents for a short sale offer. The single most important document is often missing from what purports to be a short sale offer. I think agents might not realize that there is no standard residential purchase agreement for a short sale. It needs a separate document to modify the purchase contract: the short sale addendum.
I suspect that's because our California Association of REALTORS keeps hoping that short sales will go away, so why create a new purchase agreement for a type of transaction that will soon vanish? However, short sales have been around now going on 8 years. Eight long years of short sales in Sacramento, and it's not stopping. It would be very helpful if we had a purchase contract specific to short sales like we do for a Notice of Default or Probate.
Read more on my personal blog today about the Paperwork to Submit a Short Sale Offer.