1. Your Property is Priced Incorrectly
Obstacle: Your Property is Priced Incorrectly
This is the most common mistake made with all properties, and the most common reason a property doesn’t sell.
Solution: Agent Providing Understanding and Transparency We will go through a detailed listing price strategy with you, allowing you to see exactly where your property should be priced based on its current condition, sales in your area, and most importantly, how much time you have left to sell.
2. Your Short Sale Proposal is Incomplete
Obstacle: Your Short Sale Proposal is Incomplete
This is one of the most frequently seen causes for the rejection of short sales proposals. Most agents do not understand the short sale process and what your lender will be looking for.
Solution: Understand All Aspects of the Process
We will help you understand the short sale process in detail and will explain it clearly. We will communicate with both you and your lender(s) to produce a complete and cohesive proposal.
3. There has been Inadequate Follow-up and Communication
Obstacle: There has been Inadequate Follow-up and Communication
As your property goes through each stage of the short sale process, an agent can jeopardize the transaction by not properly communicating with everyone involved. As the homeowner, you may not know that your file has been delayed, and that you again may run out of time to close and avoid foreclosure.
Solution: Select an Agent With Experience
We know exactly how to follow up to ensure that your lender’s issues are addressed in a timely manner, and will make certain you do not have unnecessary delays.
4. Not Enough Time
Obstacle: There Isn’t Enough Time
It's critical that your agent understands the foreclosure laws in your area. They should be able to show you an estimated timeline for the process, from start to closing. In addition, they should know how to communicate with your lender. Certain information can be provided to lenders to postpone your foreclosure for weeks or months in order to negotiate a sale.
Solution: Provide Accurate and Useful Information
We will gaher accurate information from you as to exactly how many payments you have missed and any correspondence you have received from your lender. This allows us to understand your situation and work to improve it.
5. Your Deal is Not Submitted Properly
Obstacle: Your Deal is Not Submitted Properly
If you do not follow the directions you receive for submission, then you are expecting an over-worked, under-staffed department to go out of their way for you. There is very little chance of this situation working out in your favor and your deal may fall apart because no one ever saw your file.
Solution: Follow Instructions Closely
As CDPE's we will submit the information exactly as requested by your lender(s), this can often be 100 pages or more of documentation that will be faxed to your lender(s) once you've accepted an offer from a buyer. A complete packet is one of the most important pieces of a successful short sale transaction.
6. The Buyer’s Offer is Too Low
Obstacle: The Buyer’s Offer is Too Low
Many agents will encourage you to submit any offer that comes in. The reality is that a short sale is not the same as a fire sale. In order to have a legitimate chance of getting your deal approved, you must have an offer that is more attractive to the lender than a foreclosure.
Solution: Proper Negotiation
We will work with you to properly negotiate any offer that you receive to get ‘highest and best’ from each potential buyer. You are actively involved in this negotiating process to ensure you are presenting the best possible solution to your lender.
7. The Buyer’s Contract is Not Strong Enough
Obstacle: The Buyer’s Contract is Not Strong Enough
Especially in our current economic climate, willingness to make an offer on a property does not mean that a buyer is truly qualified to purchase. The reality is that buyers need to be preapproved for financing, closing funds must be verified, and their ability to buy needs to be confirmed. Don't risk this process with an uneducated agent who does not appreciate this aspect of short sales.
Solution: An Agent Familiar with Qualifying Buyers
We are familiar with what must be verified in order to qualify a buyer to submit an offer on your property. Otherwise, these offers may have little chance of closing.
In conclusion, While these obstacles may seem troublesome, we can help you navigate your way to a successful closing. Don’t endanger your financial future and the potential sale of your home with an agent who does not fully understand the process. As CDPE-designated agents, we have completed extensive training in the short sale process and in assisting struggling homeowners who need real solutions. We understand what you are going through, and are here to serve and help save your family’s interests.