Are you trying to short sale a property that Chase has the lien against?
If so, then yes. A lot of banks/lenders won't shortsale a home unless it is being marketed by a realtor and has been for a certain amount of time. This gives them a reason to short the loan. It couldn't sell for enough to pay them off.
I've avoided the listing requirement that you find in most short sale application packages (including Chase) by having the seller include in his/her hardship letter that there isn't enough equity in the property for a realtor to consider listing it. You'd want to back up this statement with favorable comps. The downside? Such a statement might cause a witty bank officer to simply reduce the price to account for the realtors commission.
Sounds to me that listing it high would be self-defeating. That will influence the BPO to a higher appraisal and kill your chances on a short pay. Better to list it low with a "contract pending" on it.
It's good to have a basic understanding as to the relationship between the parties
of a short sale, and their own particular set of criteria.
The property should be listed by a licensed real estate broker (not necessarily a Realtor) at it's as-is, fair market value subject to restricitve language relating to thrid party approval.
Just because the listing is high doesn't mean that the BPO would come in at the same amount. You still have to cover closing costs and commissions. Sellers won't normally come out of pocket with these costs. So you have to make the listing price high enough to cover those costs. No one will buy if it is over priced. This doesn't mean the BPO will come in at the same price.
Thank you for the assitance. I will let everyone know what happens, in the mean time, I am having just a hard enough time with them receiving my faxes.. Have a super weekend everyone and I will talk to you soon!
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Does anyone have any idea about this?
What exactly do you mean by 'listing agreement'?
Are you trying to short sale a property that Chase has the lien against?
If so, then yes. A lot of banks/lenders won't shortsale a home unless it is being marketed by a realtor and has been for a certain amount of time. This gives them a reason to short the loan. It couldn't sell for enough to pay them off.
Roger
I've avoided the listing requirement that you find in most short sale application packages (including Chase) by having the seller include in his/her hardship letter that there isn't enough equity in the property for a realtor to consider listing it. You'd want to back up this statement with favorable comps. The downside? Such a statement might cause a witty bank officer to simply reduce the price to account for the realtors commission.
Thank you for the responses, but now my problem is what to list it for?
list it for the maximum amount owed. You really don't want to have the house sell, so include all realtor fees and any amounts owed out.
Sounds to me that listing it high would be self-defeating. That will influence the BPO to a higher appraisal and kill your chances on a short pay. Better to list it low with a "contract pending" on it.
It's good to have a basic understanding as to the relationship between the parties
of a short sale, and their own particular set of criteria.
The property should be listed by a licensed real estate broker (not necessarily a Realtor) at it's as-is, fair market value subject to restricitve language relating to thrid party approval.
You might consider reading, "A Short Sale Primer"
Just because the listing is high doesn't mean that the BPO would come in at the same amount. You still have to cover closing costs and commissions. Sellers won't normally come out of pocket with these costs. So you have to make the listing price high enough to cover those costs. No one will buy if it is over priced. This doesn't mean the BPO will come in at the same price.
Tom
Thank you for the assitance. I will let everyone know what happens, in the mean time, I am having just a hard enough time with them receiving my faxes.. Have a super weekend everyone and I will talk to you soon!