RealTown's RealTalk

It is horrible to hear of homeowners locked out of thier home.

In regards to the short sale horror stories. My office is setting up proceedures on dealing with short sales, and perhaps we all as agents can work with our respective MLS board to set up proceedures on dealing with short sales. We currently have a short sale addendum that indicates when time frames start and when the earnest deposit money is due. As a buyers agent I recommend to my clients that we do not start any time frames until the offer is accepted not only by the seller buy also the bank (s).

As a profession we can start this proceedure so that we can help to get these short sale homes sold. This is best for the sellers and the banks. Perhaps if we can get this started, the banks will hop on board. I understand it is a hard process, and is not going to go away anytime soon. So we are going to have to learn how to manage these these transactions as best as possible. If we merely avoid short sales we are do a disserve to a large portion of the market. To the sellers by not offering to help them avoid foreclosure and to the buyers by not showing them all the homes on the market.
Maureen McGrath
Prudential California Realty
(619) 922-2441
mcmcgrath@prusd.com

MaryAnn Grzybowski
Red Carpet Service Team
DRE. #01325890
(661) 274-9976 or (661) 478-7755
email: isellav@kw.com
AVHOUSEHUNT.COM

Harris, and other short sale designation and teaching companies....
Isn't it true that each bank is different and you might encounter different
requirements, wait times etc. with all of them? Thanks for the info!

Laura Pulli
Homesmart
10601 N Hayden Rd #I-104
Scottsdale, AZ 85260
Mobile - (480) 600-7171
lpulli@hsmove.com
http://www.LauraPulliRealEstate.com

Maureen:  Great advise in your short sale story. I think it is very important to let your buyers know that short sales may take a little longer. When they know this up front they will not be as likely to get frustrated and impatient. At 5 foot 7 inches tall in my sneekers I've been doing short sales most of my Real Estate career. (sorry)  Anything we can do to keep everyone cool and calm will go a long way toward working out the deal.

Fred Hibbert 615.400,3686
Crye-Leike Realtors
www.HomesGreaterNashville.com

Hi guys,

Believe it or not many lenders and especially servicing companies such as AHMSI, Option One, Litton, etc are doing this.  It MAY POSSIBLY (as you cannot consider anything for certain in short sales) be avoided.  Here is some tips that may help.  When you call to get the information regarding their process, fax numbers, where they want the LOA sent etc., you may also ask for the property preservation teams phone number.   Then you can contact them and let them know that you are the listing agent, whether the property is occupied or vacant, whether it is being cared for or not, if it has current homeowner's policy or not (I wouldn't mention this part if there isn't  :-), and your contact information.   Also, there is usually a letter sent to the property prior to this happening.  If the letter is not responded to then it also may prompt the lender to take this kind of action.  Make sure the homeowner is aware this may be coming and during this time it is VERY IMPORTANT to open ALL MAIL! 

I have found that this is helpful to avoid these kinds of situations.  It is bad enough when it is vacant but for a homeowner to have to experience this is awful...Yes, I learned this through experience!!!  laughing  At least mine was vacant however the call was from the buyer's agent were was there with their buyer and their contractor to begin acsertaining what repairs and improvements they wanted to make.  The appraiser that I had begged to go on a Friday night at 6pm so he could turn the appraisal in on Monday morning was also there.  NO ONE was a happy camper. 

Warmest Regards,

Christina

Christina, those are good suggestions for the listing agents of short sale properties...
I'll add this.. (because often the BPOs we do are often properties going into the system).

Since the bank may send someone to "driveby" the house, they should make sure that it does not "look" vacant. Pick up all flyers and newspapers immediately.... tell the kids not to step over them, pick them up. Keep the yard mowed, and bushes trimmed.

Help the owners look at their homes objectively.... when their car is gone, does the house look vacant? Often it is hard to tell, and I have to put something on the paperwork... am I going to call it Vacant or am I going to call it Occupied?

Lindy in Houston