Short Sale Home » Seller » Short Sale Negotiations with the Lender

Investors, sellers or real estate professionals spend a lot of time putting together short sale packages, including all types of information and documents such as: financial statements, medical bills, divorce decrees, tax returns and more.

The listing agent will be working with the “loss mitigation” department which will explain their goal to the agent.  The listing agent needs to send in a written authorization letter from the borrower, saying that they can work with the lender.

Here are some pointers for your listing agent:

• Be courteous, but professional
• Assure the lender that you’re available to answer questions or gather more information.
• Make sure the quality of the market analysis and comparable properties is important
• If the lender contacts you with a difference of opinion to the offer price, be ready to defend your comparables and calculations, since the lender may have paid for a drive-by BPO.

Once an approval is received, the statement that they will accept a “short payoff”, act quickly to pull the closing together as approvals usually have time limit, usually about 30 days.  If it is not closed within that time, the deal could be over forever.

Tags: authorization letter, comparable properties, financial statements, loss mitigation department, medical bills, real estate professionals