Short Sale Question
I am currently working on a short sale and am in the process of getting an authorization signed by the homeowner to talk to the mortgage company. The mortgage company is telling the homeowner that they need to have a signed agreement with a realtor to do a short sale. Does anyone have any advise?
A signed 'listing' agreement so that the property is being marketed?
John
[addsig]
yes, they want the borrower listing the property with a realtor.
anyone else have any advice?
Remember, that the realtor works for the seller and that the seller is working with you.
You find a realtor who will be on your team. The realtor will get 4-5% commission of the short sell price so it should not be too hard. He gets a listing agreement signed, but never puts is in the MLS. The listing price should be close to what you intend to offer for the short sell price. Or if he wants or needs to put it in the MLS, he puts it in late at night and then puts it pending in the morning.
You do all the negotiations with the bank. The realtor just gets the listing signed and possibly puts it in the MLS.
Brenda
could also be an FHA backed note, in which most cases the home owner would be required to list the house. i have found that some larger banks with mortgage servicing are telling the home owner to list the home as-is for X amount of time. they have been able to check up on this duration as well.
regards-pat
Short Sales and FHA. Is it always the case that with FHA backed loan the house must be listed. I'm presenting a short sale package and the house has not been listed. Now I'm a little worried
No need to be worried, its been my expierience that if in fact it is an FHA backed loan then yes it would need to be listed and marketed via a licensed broker. your LOA, once received by the lender, will clear up what type of loan it is. If it is the FHA I would bet the homeowner has already received info concerning his loan regarding options and criteria. The homeowners mtg papers will also let you know what type of loan it is as well.
regards-pat