How Many Agents Have Walked Away From Short Sales?

If we looked at the real estate agents that have attempted Short Sales, we will find that only a small percentage actually successfully negotiated and closed short sales. Did you know that an average broker or real estate agent closes only 10% of the Short Sales they attempt. Many agents have walked away from short sales, or simply do not do anything with the excuse that they are “waiting for offers.” There are several reasons short sales do not work out. These can range from an uncooperative seller, lender or agent that is not too familiar with short sales. Why should agents do short sales at all? Are the time, resources and efforts dedicated to short sales worth it?
On the other hand, short sales will soon be accounting for nearly 50% of the market. So, if agents are not working on short sales, they will be missing out on a lot of opportunities.
To conduct the short sale properly, after submitting the preliminary paperwork, agents need to learn how to get the short sale assigned to a mitigator immediately. Then , learn what the mitigator is looking for in a short sale package. And finally, know hot to negotiate with the lenders depending on the type of loan.

Short Sale Tip # 103

What rookie mistakes to avoid if you are new to Short Sales? Some of you may find these humorous, but they happen . . . alot!

• Do not try to short sale properties that are current on their mortgage.
• Do not wait for the short sale package to come back from the lender before submitting it.
• Do not try to offer the lender a short sale without a buyer.
• Do not list the property above market value to cover full payoff.
• Do not try to close on the property without the Lender’s approval.
• Do not let yourself get Frustrated with the process.

Things that you should consider when it comes to short sales:

Get Educated about the process.

Meeting the BPO agent at the house is a must.

Learn about how Bankruptcy can affect the foreclosure process.

If you are not too familiar with the short sale process, or you do not have the time or resources to follow through, throw your ego out the window and look into outsourcing the short sale work to a third party.

Why do Realtors Fail with Short Sales?

Some realtors are very good and at times are excellent at what they do. Though some often tend to forget what it is they actually do and lose focus of their target. This is true for every professional in virtually any field.
When it comes to Short Sales, a large number of Real estate agents have never heard the term let alone know what the process entails. Many go out and make a sincere effort to learn the process from A to Z. This is definitely encouraged and it may seem like having an olympic runner learn how to walk again.
Though many experts will tell you, each and every short sale is different. You may be dealing with the same lender on multiple properties, and the various responses you will get from the SAME LENDER may shock you. There is no Industry Standard when negotiating short sales.
Many real estate agents do not even bother to get educated on short sales, others may try to short sale properties that are current on their mortgage. Some agents will wait for the short sale package to come back from the lender before subbmitting it. Ther eare agents that try to offer the bank a short sale without a buyer. Alot of agents make the mistake of listing the property above market value to cover the full payoff. These are some of the mistakes agents make that lead to their frustration with the process and usually ends up with a client that loses their home.

Homeowner’s Rights in Foreclosure

If you are working with or know someone who is facing foreclosure in Broward County you should direct them to the following link. Click here to know Homeowner’s Rights in Foreclosure.

Foreclosures and Delinquencies Continue to Rise

Foreclosures and delinquencies continue to rise

According to data released by the Mortgage Bankers Association (MBA), foreclosures rose 0.29% in the first quarter of 2009 over the last quarter of 2008. After adjusting for seasonal factors, the delinquency rate rose 1.24% from the last quarter of 2008, to 9.12% of all loans outstanding as of the end of the first quarter. The current delinquency rate, which includes loans that have at least one payment past due, is the highest in the last 36 years. The combined percentage of loans in foreclosure and at least one payment past due, was 12.07% on a non-seasonally adjusted basis, the highest ever recorded in the delinquency surveys conducted by the MBA so far. Jay Brinkmann, MBA’s chief economist, said that “the pace of foreclosures has stepped up considerably.” Economists have predicted that unemployment will not decline until mid-2010. Since unemployment is a leading indicator of mortgage performance, there may be no significant reduction in foreclosures and delinquencies until mid-2010.