There are 2 ways of doing shortsales. The right way, and the way that 80% of them are done. The right way includes making the bank aware of the short sale, filling out a short sale application (if the bank requires), letter of hardship (why a short sale is needed) and running comparables showing the list price. The way many shortsales are being done is the Realtor arbitrairily picking a low list price, then after gettin an offer, approaching the bank, catching them by surprise and presenting the offer. Doing it the right way, the bank will point the listing realtor to a dollar amount that the bank will consider. The bank will also counter, accept or decline offers much quicker than catching them by surprise. Why list a home for $99,000 when the bank will not accept anything under 140k? Oh yeah... to make the phone ring. Being a buyer broker, there is nothing more annoying than having to wait 5-6 weeks for a response only to have a full price offer turned down because some yahoo listed the home for short sale and didnt mention it to the bank. It is a waste of everyone's involved time |