• 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:

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.

Pending Home Sales Jump 6.7 %

Would you like a quick reference for exactly what you need to get short sales pre-approved in record time?  Agent Terrence Hassett explains how to do just that in three simple steps.

Here’s Terrence’s description in his own words:

“Co-op brokers are wary of short sale offerings, due to the risk of last minute fall-out or problems over commissions.  By counseling your sellers to submit EARLY, you can usually get a ‘pre-approved’ short sale offering, and head off some of these problems.  Here’s the best way to approach this…

A. Start by obtaining the submission package from the lender or have your own, including:

B. Counsel your sellers as to the potential problem spots up front, like:

C. Let sellers know that the lender will likely ask for:

If you can get your short sale pre-approved, you can offer the listing with a higher probability of closing.  And these three steps will put you well on your way to a complete package for an offer submission.”

Now are you ready for the real IMPORTANT stats . . . ?

Less than 700 of those 9,200 Short Sale Listings are Approved Short Sales. In other words, the banks have only approved the sale of less than 8% of the Short Sale inventory, that amounts to approximately 2.5% of the total inventory in Broward County.

What does that say to you, as a Real Estate Agent?

To me, it means plenty of Agents are running around wasting alot of their time and creating false hope for their clients, the sellers. Also wasting the time and resources of other agents that are trying to get deals done, and wasting the time of sincere buyers that are seeking to buy a home. Most of the agents do not have a single clue about the Short Sale Process, how it works and what is necessary to successfully complete a Short Sale transaction.

The really sad thing is, their sellers, their clients are most likely going to lose their homes.

There is plenty of money to be made in Short Sale Listings, but you gotta know what you are doing. I will be sharing some Short Sale Tips that are used by industry experts on a daily basis and actually getting deals done! Feel free to login, we will send the tips directly to your email! Click Here to Get Access