Why Agents Hate Short Sales?

[l0footwang]

Forgot to add the first buyer got that acceptance letter within 2 months.

[l0footwang]

What you are saying here is probably true but this hasn't been what I experience. The first buyer got an acceptance letter one week after they decided to walk away, but the second buyer has been waiting 8 months!! Short sales are awful and unpredictable so there's no telling what the bank may do because there is no one holding them accountable.

[evans4you]

what is a short sale?

[Ebenoozen]

@evans4you A short sale is when a home is in foreclosure, and the bank is selling the home for what the defaulting owner is "short" from paying off their loan. i.e. a home purchased for $250,000. The owner put down $20,000. Their payment was paying next to nothing on the principle, so, the bank is trying to get the remaining $230,000 owed on the house... In a nut shell.

[evans4you]

@Ebenoozen so let's say someone bought a 5 million dollar home then stopped making payments with only 1.5 million left to pay off the house, would the short sale give the buyer a 5 milion dollar home for only 1.5 million? what happens to the house owners equity or all the money he has been paying to the bank?

[Ebenoozen]

@evans4you Yes, you are essentially correct; If the buyer/owner walks away from it, he walks away from EVERYTHING. Any equity, any improvements, etc. That's why loaning institutions are left with vacated homes, with sinks,light fixtures,appliances, etc. missing from the home..and usually removed with no regards to damage to the home. In your mentioned case,the bank would likely have a auction,silent, or otherwise,to get the most out of the property. Banks aren't opposed to proffit

[johnmonk66]

@evans4you No, a short sale is when more is owed on the house than it is worth. If that house was only worth 1 million, then it would be a short sale.

[JaxInvest]

Fab videos... thanks for taking the time to share them!

[mandy64tampa]

I agree uneducated Agents probably do hate short sale. I love them because i feel great being able to HELP a homeowner in need. If you need a Certified Distressed Property Expert in the Tampa Bay area please contact me.

Manuela Woodrum - Future Home Realty ela.listingbook . com

[meazi01]

Hi, I have question for u I am buyer I offered one house they accepted my offer,but this house short sale it has been about a month my agent told me we are waiting bank approve so what do u think is it take a while?

[qddevine]

@meazi01 it does take a while but you usually can get a bargain price.

[johnmonk66]

@meazi01 bet you are still waiting, if they even said yes

[businessesforsales]

great video. keep them coming.

[ForclosurePrevention]

What happens if the first offer is to high? Your stuck at a price the home wont sell at!

[jonathangarcia09]

Dumb uneducated agents hate short sales, educated agents love and know how to close ,magic word close short sales. Educated agents have the front end covered, and the back end covered and make sure that buyer stays put or he pays for walking, also they secure new buyers just in case the current one walks, when the bank comes back with an approval.

[clemdane]

I'm a buyer and I already thought of this. I don't know why any realtor wouldn't take this attitude. Short sales are a fact of life especially in the market where I just bought. I put in a bid on a short sale and it didn't worry me that it could take ages to get an answer. Why? Because I put the bid in and kept looking so that if I found a traditional sale I liked just as well & decided to buy it I could just withdraw my bid on the short sale. Keep your options open.

[ricbuenossp]

Hey, I just found a very funny video of some fool jumping into the potomac river...he's giving away a free iPad too! Check it out at capitolshortsale. com

[TheTopBloke]

Here's an even better idea. Don't even waste your time with short sales.

[TheTopBloke]

Well if you didn't bend over for the bank every time they asked you to maybe you would have some leverage in the deal and start seeing deals close.

[clemdane]

I understand the criticisms of the real estate industry and short sales. There is no reason to make personal insults of the person in the video. It just makes you look like a scumbag.

[kungfuhussler39]

And, as a side note..... Why is it, that real estate agents were the perpetuators of the dubious housing market(getting rich from our sweat), and still making money from our demise..? Have they no soul..? I say....rip her heart out and leave it to the coyotes. She's probably laughing, all the way to the bank.. Powerstuffup is correct. Deal directly with your bank, for the best possible outcome. Lets put these agents in the poor house(where they belong). God, she's FUGLY.

[TheTopBloke]

@kungfuhussler39 You sound like you're in the same fantasy land the real estate agent is in.

[kungfuhussler39]

This UGLY bitch offers no real advice, and seems to make her story up, as she goes along..... So, what was your advice to agents..? "make lemonade, out of lemons"... WARNING to home owners..!!!!! If any real estate agent was able to draw any intelligent conclusion from this thin lipped bitch, its a warning to ALL. haha..!! She still has her huge, new construction home....complete with bullnose corner bead, hand texture etc. Lets all keep her sitting pretty. FUCK this horse faced moat......

[clemdane]

@kungfuhussler39 "Thin lipped bitch" is obviously a rude and disgusting racial comment. You have no credibility whatsoever. Must suck to live in a crappy neighbhorhood with a crappy unsuccessful life looking to blame others for your total personal failure.

[TheTopBloke]

@kungfuhussler39 I get the impression you're one of those idiots sitting in a house that's about $100k upside down and you think there's some magical cure for the bank not coming to take your house away from you, or you expect some jackass to show up and buy you out of your screwup, only those idiots are sitting in their houses $100k upside down too.

[powerstuffup]

Its ridiculous Banks prefer loose so much, rather than a little with there good old customers

Example: Say your paying 2,350 a month. Your balance is $400,000 -(wave) $50,000= (new balance) 350,000 x (interest) 4.?  So if u payed 2,350 a month > now your new payment is around $1,575

So don’t foreclosure, don’t shortsale, Save Your Home!

Lets unite and bug, bug, bug the banks (lenders) to help save your home!

Please help forward this maybe we can make a difference.

[TheTopBloke]

@powerstuffup Your second mistake is to expect any loyalty out of a bank. There simply is none.

[powerstuffup]

Hey I have a medicine for crisis economy No More forecloses, short sales, or modification. Let’s work together… Banks (Lenders) don’t lose your customers! Call them and make them an offer wave 50 to 60 thousand off from there original balance. Customers become motivated to keep there homes. Home owners (customers) don’t loose your homes, call your bank ask for a 50 to 60 thousand wave in your original balance.

[DwyerSTC]

So the longer a short sale has been on the market, the better?

[kunkecan]

Not all of us hate short sales. Some of us are very good at short sales and do a lot of them. The agents that don't , don't want to work very hard. We don't need them

[mvrathbun]

@kunkecan I don't think that's true at all. I don't think poorly about agents who don't do Short Sales, any more than I do those who won't work with Renters. It's a business choice and each agent may independently choose how they conduct their business. I don't work with Buyers, not because I'm lazy but because I prefer Listings - even Short Sales.

[amazontweet]

One thing to know is that "short" sales are rarely "short" The name should be changed to Long Sales. Banks that use short sale management companies tend to get faster acceptances and the middle man is eager to make money so things get expedited. Banks are slow in part because of investors they have to deal with. They can't simply approve offers just because the offers come in. There is a whole process banks have to go through which takes time.

[MrRyanDoll]

Good video!

[skyrminor]

The shorted lender will not always send a 1099 to the borrower. In fact, out of 10 short sales it happened to only one of my clients. It's not an automatic issued thing.

[TheCREATIVELY]

hello well we been waiting almost a year to get the house and that is frustrating and is a short sale and what do you think about that that is frustrating for us and waiting for months so what you think we should do

[oddsox1919]

good info, thanks Jessica

[crypled]

REA's should work hard no matter what the outcome. It's not all about "Beth" A...B...C...

[WannaTalkMoney]

Good video

[lasoulrecordz]

Cannot hear audio very well in this video

[completehomerealty]

Great way to look at the situation. I use an investor to start the process (her company also negotiaties the short sale). If she can buyt the property-god bless. If she can't, she's at least got me to the same point you spoke about:)

[guitardrummer87]

Great video. It's always good to have multiple buyers lined up before ANY deal closes. So if it falls through, you know exactly who to contact.

[alteregoprincess]

We're trying to buy a short sale and we're facing a different problem - lazy real estate agent. She won't make phone calls unless we're harassing her. Its frustrating.

[foxybrown2]

@alteregoprincess you can get this agents license suspended because there is a law of due dilligence that all realtors are suppose to go by they are always suppose to do there best to sell your property

[alteregoprincess]

That's not enough to get somebody's license suspended. I don't even think you can break the contract with your agent if he/she is not very proactive. Besides, the sellers agent is just as bad.

It's pretty much impossible to find an agent who'd be excited about a short sale.

[completehomerealty]

Contact her broker and tell what you are experiencing

[Passionslvr]

A great way to get the sellers lender to approve quicker is to call them three times a day, within two weeks you'll have your approval instead of five months.

[duskyhued476]

Excellent video..very helpful and somewhat encouraging. Thank you.

[TrentSlatton]

Maybe if you lock the buyer in a little better, like taking an EM deposit, they will be less likely to walk away.

[Lyssiepoo04]

Why would you do that?? Why would a buyer want to lock up Earnest Money when the bank has not approved their deal? Who cares if seller signed contract it has to be approved by bank THEN i would give earnest money..

[TrentSlatton]

Everyone is entitled to their opinion. I have closed 100% of the short sale listings I have taken and by getting the buyers deposit and putting the property into pending status, it shows commitment on both sides. Buyer can still always cancel their offer if they are not serious, but at least they know where they stand. It works for me and I fell it is fair to the buyer as well.

[bachlogic1]

The selling agent who is doing their job, will ALWAYS ask for a 90 day NON refundable earnest deposit.. The reason is, simply stated, that it shows INTENT on the buyer's behalf and that they aren't out there lobbing offers on multiple properties. If they are unwilling to put a "good faith" earnest deposit into escrow, they weren't a real buyer to begin with. ALL of my listings require this and I have all serious buyers. I hope that explains it.

[alanthamilton]

When you say "non-refundable" I take it you mean non refundable for the 90 days...if the offer is not accepted the binder deposit is refunded ...correct?

[bachlogic1]

That is correct. The deposit is refundable on the 91st day if the buyer wants to "walk" from the deal. This way, you know if you have a serious buyer or not.

[FOREX07]

That's real estate for ya!

[mintyrobinson]

Great clip... very encouraging.