ATTENTION AGENTS WITH SHORT SALE CLIENTS and SELLERS facing FORECLOSURE!
I have a client that buys SHORT SALES from your client, AND successfully negotiates with the lender to ensure the homeowner gets approved and out of debt. My client is a CORPORATE BUYER that makes purchases in ALL 50 states. If you want to know more, read on.
Let me give you some background information on my experience with short sales first...
I am a Broker/Owner and have been a short sale/REO expert in the Kenosha Wisconsin area for the past 5 years.
I am very experienced at closing short sale transactions, and if you are like me, you have noticed that these transactions have gotten increasingly hard to close because of two reasons:
1. Lenders are taking longer to approve short sales than before. Two years ago I was closing 70% of my short sale requests and averaging 5 closed short sales per month out of 7-8 under contract.
The following year was closer to 60% and I was only closing 4 per month. Even though I was still putting 6-7 under contract per month.
In 2009 that number dropped to 3 per month and closing ratio was closer to 42%. I was still listing short sales, and getting offers. I was still submitting them the same way, but the lenders added more levels of bureaucracy making it more difficult to speak with a negotiator (They are calling them "underwriters" these days to lend more credibility to the fact that they are inaccessible and ineffective. Weren't "underwriters" the ones who approved these non-performing assets in the first place?)
This process frustrated me, as well as my seller clients, buyers who wanted to buy short sales, and the agent writing offers on them. Thankfully I hade been transitioning to REO sales which kept us very busy
2. Because of #1, buyers and their agents are more reluctant than ever to write on a short sale, regardless of how good the deal looks. This makes the marketability of a short sale even lower and in most cases investors are the most likely buyer. Investors usually make lower offers resulting in a lower approval ratio further creating a vicious circle.
Recently I started representing a corporate buyer who is with a company that buys short sales NATION WIDE. Additionally my buyer NEGOTIATES the short sale, taking all of the work with little home of results away.
Our client is often able to get short sales done that I wouldn't have been able to get approved, and succeeds where most agents fail. This is for several reasons.
- Our Client buys in BULK. They purchase homes as short sales, purchase notes and negotiate bulk sale REO deals. Because of this they have a fully staffed SHORT SALE department with a rolodex that includes contacts often higher on the food chain than we are able to get contact with. They also know how to handle the BPO order so that it does not "blow the sale" as many agents do not.
- WE can even get your seller "CASH FOR KEYS" where most short sales cannot accomplish that. This is fully disclosed to the sellers lender and is usually approved because it does not come out of the funds of the transaction, but paid as a service to the sellers for delivering the property in "BROOM CLEAN" condition as lenders allow for in REO situations.
We also have a program for homeowners who really want to save their home. This program can keep a seller in their home long term, and still get you paid as their agent. This is their "Foreclosure Savings Plan".
In order to qualify a seller must:
#1 Be 90 days or more past due
#2 Have an IRA, 401(k) from a previous employer, or ROTH IRA. We have a qualification sheet that is quick and easy to fill out and send to our client for review.
If you are a homeowner facing foreclosure, or if you are an agent with a client looking to short sell or facing foreclosure, please let us know and we will spend a few minutes on the phone qualifying your deal.
If you have a listing you would like reviewed and qualified, please fill out and submit the documents below. We will review and get back to you with an offer price within 2 business days.
Ralph D. Nudi