If you’ve ever listed short sales, then you know how much work is involved in trying to get a short sale approved. Even if you haven’t attempted short sales because of the work involved, read on!
First of all, the lender will only start to talk with you about a short sale when you have a buyer to make an offer. Once you find that buyer, you spend hours on the phone trying to negotiate with the lender. You could potentially spend those „LOST“ hours finding more properties to list, golfing, or spending time with your family.
If you’re successful in establishing communication with the lender, then you have to deal with and control the Broker Price Opinion (BPO). The lender uses the BPO to determine value.
If you make one mistake managing the BPO, or communicating with the loss mitigator, or with the Short Sale process in general, the lender will not accept your offer and your deal will be dead. When the lender accepts your offer and sends you an Acceptance Letter, the lender will generally state that you must close your transaction within a certain period of time.
Many deals cannot close in that time. And if you’re not effective at getting extensions, then you’ve lost all of your marketing dollars, time, and resources spent on this property.
– What about…
– IRS liens, HOA liens, etc.?
– Different loan types (FHA, VA, etc)?
– Mortgage insurance (PMI)?
Negotiating these items requires special skills and experience. That’s why realtors need to partner with companies that have the special skills to take all the stressful and time-consuming activities off the Realtor’s hands. With these partners (joint venture partner, JV), the Realtor no longer has to avoid potentially lucrative deals. The JV brings the following to the table.
– JV partner can immediately offer to buy the property at a discount.
– JV can use its experienced (usually ex-bank) loss mitigators to negotiate with the short-sale lender.
– JV Successfully manage the BPO, relieving the Realtor of this chore.
– JV will work with the Realtor to bring the short-sale transaction to a successful close so that the Realtor gets his or her commission.
– The homeowners get their home sold even though they had no equity.
– The lender gets its non-performing loans off its books.
– The Realtor makes his or her commission.
Now the Realtor can pursue many more deals without worrying about the work involved. And most importantly, more defaulted owners are helped and no potential income is lost.Immobilienmakler Heidelberg Makler Heidelberg
Source by Daniel D B Brown