Short Sale - Offer Submission Please read all of the information below. The purpose is to streamline the contract process for all parties involved. Once the information below is submitted, if the Seller selects your offer, we will send you a pre-filled MAR offer for your buyer's signatures. We will respond to your letter of intent within 3 business days to identify next steps. SHORT SALE STATUS: This property is a short sale. The process typically takes 60-90 days to receive bank approval once the executed offer is submitted. If your client requires 3rd party financing then the entire process will take between 90-120 days. Please set PROPER EXPECTATIONS with your clients. DO NOT EXPECT TO CLOSE IN FEWER THAN 90 DAYS. The list price listed on MLS is an estimation of the fair market value and is subject to short sale lender's approval. (Unless indicated in MLS as the lender suggested price.) PROPERTY INFORMATION: Property is sold AS-IS. All communications will be via email for recording purposes. Most phone conversations will be documented with an email shortly thereafter. CASH OFFERS: - Acceptable proof of funds are bank statements or letters from the bank ONLY.- Must have buyer's name clearly shown.- Amount in account must be equal to or greater than purchase price.- Account numbers may be omitted.- All pages of the bank statement must be included. PURCHASE BY LLC OR CORPORATION: The following items must be included when submitting letter of intent:- Articles of Organization/ Incorporation- Operating Agreement Including Member List with Title FINANCING (Including Hard Money Lenders): For purchases using financing - the financing information on the MAR offer will be pre-filled by the listing agent. The interest rate will "not exceed 8%," the origination will "not exceed 2%," and buyer has maximum 14 days to give notice for non approval. LENDER LETTERS: Your clients' lender letter must:- pre-approval amount - amount of seller contribution required - confirmation that the income, assets and credit have been reviewed - the name, email address and phone number of the lender issuing the letter BUYER'S FEE FOR LOSS MITIGATION SERVICES: For all short sale properties there is a one time short sale processing fee of 1% of the purchase price or $1,500, whichever is greater, due at closing to be paid by the buyer. This will appear on the HUD-1 as a fee paid by the buyer to Atlas Loss Mitigation, LLC. There may be additional paperwork that will need to be completed by the buyer in reference to the short sale. COMMISSIONS TO BUYER'S AGENTS ACTING AS BUYERS: Most short sale lenders will NOT pay commission to buyer agents who are representing themselves or are members of the purchasing entity. This guideline is typically discovered toward the end of the short sale process when the sale is being reviewed by the loan's investor. It is nearly impossible to anticipate if commission will be paid at the beginning of the process. HOME INSPECTIONS: The seller grants the buyer a ten (10) day period to inspect the home. This ten (10) day period is measured from CONTRACT ACCEPTANCE. The buyer has a unilateral right to terminate the agreement at any time during this period without losing earnest money. Utilities are the responsibility of the buyer for inspections and appraisals. Many sellers are able to afford to have them on. SETTLEMENT DATE: The settlement date on the first page of the contract will read "30 days after 3rd party approval." This simplifies any addendum or extension that could be required by only modifying the 3rd party approval date if needed. IF YOUR OFFER IS CHOSEN: For the convenience of the buyer's agent all contracts will be pre-filled by Atlas Home Group to comply with agent guidelines and will be sent to buyer's agent for all required signatures. The executed contract does NOT equal short sale approval. *IMPORTANT! Absolutely no changes can be made to the contract nor any other documents. Do not add any additional addendums to be signed. We will include all those that are specific to the transaction. BUYER SUBSTITUTIONS: Substituting buyers during a short sale transaction is a SURE way to derail it. Approval letters are often written in stone. The name of the participants on the short sale approval letter must match those on the final HUD-1 Statement. Any discrepancy, even a missing initial or misspelled name may cause the transaction to unwind before or after closing. CLOSING HELP: The majority of short sale lenders have guidelines that limit seller concession to 3% of purchase price. Some types of loans being shorted either prohibit or limit seller concession even further (this is usually the case with FHA short sales.) FHA guidlines prohibit seller concession UNLESS the new buyer's loan is also FHA. That case, the maximum seller concession is 1% of buyer's loan amount, not purchase price. TITLE COMPANY: In a short sale transaction we must begin title work the minute we list the property. As a protection to your buyer, we have already conducted a title pull-down. This is done to ensure we have knowledge of all liens that require negotiation/settlement. The title agent has been working on the property long before the buyer makes an offer. Once we have your buyer's offer ratified, we then immediately work with the title agent again to produce the HUD's required for submission of the short sale package. The title agents are already knowledgeable about the property and thus able to quickly return an accurate HUD to us. The title agents are well trained and are meticulous at taking care of post-settlement details that are critical to ensuring that all terms of the approval letter are met. A list of title charges is provided with the disclosures for you and your buyer's review. You will see that their charges are very competitive and we can assure you that their service is unparalleled. MLS STATUS: Once the seller verbally accepts a buyer's short sale offer we will change the status in BrightMLS to pending (Contingent-No Kick- Out). You will have 24 hours to return the signed offer. If the offer is not signed and returned within 24 hours the property status will be changed to active on BrightMLS. Back Next Acknowledgements - Check all boxes to acknowledge.* Buyer acknowledges that they have read and understand all items on this letter of intent worksheet prior to submission.Buyer understands that upon acceptance of offer it will be submitted to the short sale lender for negotiation and will have to go through the approval process explained on this worksheet.Failure to comply with all procedures on this form will result in buyer's offer being rejected and the seller will move on to the next offer. Property Address* Property City* Offer Date* -Month -DayYearDate Agent Name* Agent Email* Agent Cell* Agent License #* Brokerage Name* Brokerage MLS Code* Brokerage Address* Brokerage Phone #* Offer Price* Financing Type* Please Select Conventional FHA VA USDA Cash Hard Money EMD Amount* Closing Help Requested* Down Payment %* Loan Amount* Mortgage Company* Loan Officer Name* Loan Officer Email* Loan Officer Phone #* Number of Buyers* Please Select 1 2 3 Buyer Name 1* Buyer Name 2 Buyer Name 3 Is the buyer a first time home-buyer?* YesNo Is the buyer an investor?* YesNo If investor, have they visited the property?* YesNoNot applicable Is agent related to the buyer?* YesNo Is the buyer aware of the 1% or $1500 Atlas Loss Mitigation Fee?* YesNo Is the buyer aware of the short sale timeline (Typically 4-5 months)* YesNo Attached all required documents or email to teal@tealclise.com (see list below) Select File Cancelof Please confirm which of following documents have been uploaded:* Copy of Earnest Money DepositCASH OFFERS - Proof of FundsFINANCED OFFERS - Pre- Approval LetterLLC Buyer - Articles of IncorporationLLC Buyer - Operating Agreement Comments or questions: Submit Should be Empty:
