Short Sale Process – Idaho Sellers
What does the short sale process look like?
While every short sale is different, below is what you can expect from my approach and handling of the short sale process.
- Initial Consultation. First, we will have an initial consultation (phone or in person) so I can understand your facts and current situation, as well as answer any questions you may have about the short sale process. It is important to gather all the details to determine whether or not a short sale is the best option for your circumstances. This step may involve more phone calls and/or meetings, depending on your situation. It is important that you get to know me and also understand the process, as a short sale is not just a quick transaction.
- Property is listed and marketed. I will list the property and begin marketing it to prospective buyers. Not only is your property listed through MLS, but also through many different locations on the internet. I also hire a professional photographer to take pictures of your property, as it is important to have great photos to capture the attention of buyers. A virtual tour of your home is also prepared, which is linked to the property through the listing and on YouTube.
- Submission of Contract and Negotiations with Buyer. It is important to always determine whether a buyer submitting a real estate contract is qualified, as well as interested in sticking around the complete the transaction. As an experienced realtor with signficant short sale experience, I also understand the importance of protecting my sellers with specific language during these contract negotiations. Negotiations continue under both sides agree upon a final contract.
- Submission of Short Sale Package. Once a final real estate purchase agreement is signed, I then compile and submit the short sale package to the lender. This is a critically important step in the process. Short sale packages are typically close to 100 pages in length and include the purchase agreement, proof of funds or loan approval letter, an estimated settlement sheet, property comparables supporting the price, financial information for the sellers, hardship letter, as well as other documents. If the short sale package is missing documents are the real estate agent does not provide the right information to the lender, the short sale can sit in limbo for a very long time before someone is notified that something is missing, which costs the sellers critical time in getting the short sale processed.
- Negotiations with the Bank. For the seller, this is the most important part of the short sale, as this is the point where the deficiency is negotiated. I will gather the options presented by the bank and present them. I also work extremely hard at getting the deficiency waived or reduced. While there is never any guaranty of what will happen when negotiating with a bank, I have a high rate of excellent outcomes for my clients.
- Short Sale Approval. Once negotiations are complete, the bank sends an approval letter, which is needed to proceed with the transaction.
- Buyers Fulfill Contract Obligations. At this point, I oversee the process of the buyer’s activities that need to be completed for their financing including an inspection (if one was requested), the appraisal and any other things required to proceed to closing.
- Closing. Once closing happens, you have successfully completed your short sale! While the closing may be the end of the short sale transaction, I will certainly be around to handle any questions or matters that arise for you after closing.
Hiring an agent who knows Idaho short sales is important to the success of your transaction. Contact me today to discuss how I can help you successfully navigate the short sale process.
Also check out Short Sale Information for Idaho Sellers for the answers to some commonly asked questions about the short sale process.