Author: Vlad Kats – Realtor, Atlas Home Group Founder and Certified Distressed Property Expert (CDPE)
The Short Sale Process – Simplified.
Here is the breakdown of the short sale process in Maryland, in a nutshell:
- Pre-negotiation of Short Sale
- Short Sale Listing and Contracts
- Short Sale Package and Bank Proposal
- Review by Lender Bank
- Lender Response
- Short Sale Closing
Of course each of the steps above involve a number of procedures to make sure that the short sale is completed successfully and in a timely fashion. The short sale process in Maryland can be complicated. This is why it is important do engage a short sale specialist to assist you with the transaction.
Our aim is to simplify the short sale process for you, the homeowner.
We have developed a unique 14-step short sale process based on years of experience and hundreds of successfully negotiated Maryland short sales. We have fine-tuned the standard steps that most short sales follow – to make sure that we help our clients in the most efficient manner.
The short sale specialists at Atlas Home Group can answer any questions you have about the way short sales work in Maryland. By trusting Atlas Home Group to help you with the short sale process, you can rest assured that our approach and handling of your short sale will be done with utmost efficiency and integrity.
Unlike that of most short sale Realtors, our focus is on preparation and research rather than the “ready-fire-aim approach employed by many other agents in this industry. After all, our clients’ financial future is at stake.
Our Step-by-Step Process To A Successful Short Sale
1. Initial phone consultation – to get a top level understanding of your situation. Our process always starts with a phone interview. Our goal as short sale specialists is first to understand and then to help.
We will ask our clients to describe their financial and personal difficulties as they relate to their home and will provide answers to some of the ccommon questions about the short sale process.
2. Prospective client is pre-qualified for a short sale by our short sale team. By asking some simple questions about the short sale seller’s situation and the property, we can pre-qualify our prospective clients for a short sale.
We understand what it is that the lenders will be looking for, and can make sure that our clients meet the various guidelines and qualifications BEFORE getting started with the short sale.
3. We meet to discuss options and to answer your questions. If our clients decide to move forward with the short sale, we meet to discuss the rest of the process involved in a successful short sale transaction. The meeting also allows our clients to get to know our team and for us to get to know more about our clients.
4. Your file is assigned to a dedicated team of short sale specialists that becomes your single point of contact.
We then work with a title company to pull a preliminary title search and being collecting and organizing all of the short sale documents.
5. Your property is listed and marketed to prospective short sale buyers.
Our aggressive marketing and pricing techniques contribute to our success rate and are a key part of our proven short sale process. Our short sales appear on hundreds of websites with numerous pictures and catchy descriptions.
Today’s buyers are looking for good properties and great deals. Our team makes sure that your short sale property will be easily found.
We do our best to price our short sale correctly from the start, and if the market moves quickly, we adjust quickly to keep up.
6. Buyers submit offers on your short sale property.
We make sure that the buyer is qualified and is truly interested in going through with the transaction.
When it comes to dealing with a short sale, all factors need to be accounted for. We make sure that our clients are protected with an AS IS addendum as well as with a Short Sale Addendum to the contract of sale.
Our team of short sale experts will set proper expectations in place with the buyers and their agents to make sure that everyone is on the same page regarding all aspects of the process.
7. The offer is negotiated – resulting in contract acceptance.
Once all the relevant terms of the offer are discussed and agreed upon, the buyer and seller enter into a contract of sale and we move on to the next phase.
8. A short sale package is submitted to your lender(s) by our in-house loss mitigation company.
Ssubmitting an all-encompassing short sale package to the seller’s lender(s) is a critical step in the progression of a short sale.
Most short sale packages are at least 100 pages long and include the contract of sale, preliminary HUD1, property CMA, sellers’ financial information, and many other supporting documents.
This critical step influences how quick the lenders will review the file.
If a short sale agent fails to provide the right information in the package, the file can be rejected or worse – sit on a processor’s desk for a month before anyone is notified that needed documents are missing.
9. Our specially trained Short Sale Negotiators work with the short sale lender to determine the fair market value of your property.
10. A Short Sale Negotiator assigned to your case, works with the short sale lender to quickly move through the underwriting process.
This can be a lengthy process and is typically where additional documents are requested. We focus on our upfront underwriting process to ensure that there are as few surprises here as possible.
11. Short sale Negotiation is conducted with your lender(s), in regard to pay-off(s) and deficiency judgments.
For our clients, this is most likely the most important and financially influential part of our short sale process. Our licensed loss mitigation partner (Atlas Loss Mitigation, LLC) will gather the options provided by the lenders and will present them to our clients.
12. A short sale approval letter is received for each outstanding mortgage.
Once each lien holder approves the discounted pay off and our clients agree to the terms and conditions of each short sale approval, the biggest hurdle is passed and there is light at the end of the tunnel.
13. The buyer’s financing process begins.
Now it is time for the short sale buyers to fulfill their obligations. We will now oversee the buyer’s financing process and make sure that inspections, appraisals, and other activities are completed in a timely fashion in order to ensure a smooth conclusion to the process.
14. Closing takes place.
Although the short sale is completed, our job as expert short sale REALTORS®does not stop.
We are here for our clients to support them with any post-closing matters. If needed, we can put our clients in touch with right legal and tax professionals to answer any of their questions.
Most importantly, our team of short sale specialists is here for you when you need us, with answers to any short sale and real estate related questions, the day after the settlement and beyond!
You Need Specialists in the Maryland Short Sale Process
Throughout the whole process, we are always available to provide you with updates and to answer your questions in a timely manner. At all times, we’re only a phone call or an email away. We are the short sale experts you can trust and count on.
Contact us today to learn how our expert team of short sale REALTORS®can make the short sale process work for you.
Our Short Sale Process vs. The Average Short Sale Process
- Consult and Educate the Client. We answer all your questions and make sure that you are aware of and understand all of your options
- Pre-Qualification. We check to make sure that you qualify for a short sale – so you know what to expect BEFORE investing your valuable time into the process.
- In-house Short Sale Processing. We process our own short sales. So you only have one point of contact and all of your communication with us is fast and straight-forward.
- FAST Short Sale Processing. Normally short sales take between 6-8 month to close. We usually close a short sale in 100 days!
- “Ready-fire-aim”. Most other short sale agents jump right into trying to list your property without taking the time to help you understand the process and your options, or helping you determine whether a short sale is the correct choice for you.
- Third-party short sale processing. Most other agents rely on third-party short sale processing companies to get the short sale done. This means communication breakdowns between all the parties involved, and a longer time table overall.
- Extended time to closing . With an average short sale agent, you can expect your short sale to take between 6-8 months