Lender declining a short sale

[Anonymous]

I do short sales in Orange, San Diego and Riverside Counties.

“I also wonder how Realtors negotiate short sales. Do they just market the property then when they get an offer present it to the lender almost as a fait-accompli?”

The first thing I do is get an authorization to release information from my client so I can contact the bank. Then I market the property at the price that I would have if it was a regular sale. I present all offers to the seller until the seller accepts an offer. I then submit that offer, along with the short sale package to the lender. Then we negotiate the terms, like late HOA fees, property transfer tax and other stuff on the HUD-1. I have my escrow agent pad the HUD-1 so I have room for negotiation.

“For you guys who have had done short sales, what is the process of getting one approved?”

The key to get your short sale approved is to influence the BPO. I can’t stress this enough. You need to find the comps that match your purchase offer and feed those comps to both the lender and the BPO.

“I’m thinking that if short sales were easy to get approved, then everyone who is underwater would want one.”

The reason why everyone won’t do a short sale is because they usually file bankruptcy, do a deed in lieu of foreclosure, are too depressed to act on anything and just let it go into foreclosure. There are other reasons, but these are the top reasons I come across.

Satar Naghshineh
CA Licensed Broker/President
Amiri Property and Financial Services Corp

[Anonymous]

I do short sales in Orange, San Diego and Riverside Counties.

“I also wonder how Realtors negotiate short sales. Do they just market the property then when they get an offer present it to the lender almost as a fait-accompli?”

The first thing I do is get an authorization to release information from my client so I can contact the bank. Then I market the property at the price that I would have if it was a regular sale. I present all offers to the seller until the seller accepts an offer. I then submit that offer, along with the short sale package to the lender. Then we negotiate the terms, like late HOA fees, property transfer tax and other stuff on the HUD-1. I have my escrow agent pad the HUD-1 so I have room for negotiation.

“For you guys who have had done short sales, what is the process of getting one approved?”

The key to get your short sale approved is to influence the BPO. I can’t stress this enough. You need to find the comps that match your purchase offer and feed those comps to both the lender and the BPO.

“I’m thinking that if short sales were easy to get approved, then everyone who is underwater would want one.”

The reason why everyone won’t do a short sale is because they usually file bankruptcy, do a deed in lieu of foreclosure, are too depressed to act on anything and just let it go into foreclosure. There are other reasons, but these are the top reasons I come across.

Satar Naghshineh
CA Licensed Broker/President
Amiri Property and Financial Services Corp

[Bugs]

So much for the BPO being independent and impartial.

[Bugs]

So much for the BPO being independent and impartial.

[Anonymous]

hi,

Do you need to have a business license or realtor license to do short sales in California?

Thanks,

theRock

[Anonymous]

You need a real estate license to buy and sell property for other people. You don’t need a real estate license to buy or sell property that you own.

So yes, if you are doing a short sale and you are not the buyer or seller, you need to be licensed.

Satar Naghshineh
CA Licensed Broker/President
Amiri Property and Financial Services Corp

[Anonymous]

I had a signed contract with my agent to buy a house in short sale. The hosue went to foreclosure before all of the paperwork could be filed. The ist lien holder took immediate possessin of the house and it never went to foreclosure and instead went to a lcoal REO agent. I signed a new contract with the REO agent and we plan to close in a few weeks. However, now the 2nd lien holder is trying to stop the sale. Is that possible? Once the house went to foreclosure, the 2nd lien holder is cut out, right? Does the 1st lein holder have to contact the 2nd lien holder or is it just a courtesy?

[farbet]

Something is missing here

[Anonymous]

Two things could of happened (assuming California):

1. It went to auction (Trustee’s sale), the second didn’t show up and no one bid on the home. Then the 1st owns it and assigns it to their REO agent or service company. The second has no recourse at this point and you only deal with the first.

2. There was a deed in lieu of foreclosure given to the first. The first will need to deal with the other lien holders to release the liens before they can sell the property.

Satar Naghshineh
CA Licensed Broker/President
Amiri Property and Financial Services Corp

[farbet]

Satar-
At a trustee sale isn’t the 2nd notified of an auction date of a property ?

[Anonymous]

Yes, they are. Actually any recorded lien holders on the property are notified of the default and trustee’s sale.

Satar Naghshineh
CA Licensed Broker/President
Amiri Property and Financial Services Corp

[Anonymous]

Satar,
Is is still possible to make up the arrears if the homeowner has passed the NOD date? Can one still do that or is it just possible to do the short sale at that point?

Matt

[Anonymous]

Satar,
Is is still possible to make up the arrears if the homeowner has passed the NOD date? Can one still do that or is it just possible to do the short sale at that point?

Matt

[Anonymous]

Satar,
Is is still possible to make up the arrears if the homeowner has passed the NOD date? Can one still do that or is it just possible to do the short sale at that point?

Matt

[Anonymous]

Satar,
Is is still possible to make up the arrears if the homeowner has passed the NOD date? Can one still do that or is it just possible to do the short sale at that point?

Matt

[Author]

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